Comments on: Goldman’s old-school Facebook deal sets new tests http://blogs.reuters.com/breakingviews/2011/01/03/goldmans-old-school-facebook-deal-sets-new-tests/ Mon, 17 Jun 2013 22:19:50 +0000 hourly 1 http://wordpress.org/?v=3.4.2 By: Bos-Mike http://blogs.reuters.com/breakingviews/2011/01/03/goldmans-old-school-facebook-deal-sets-new-tests/comment-page-1/#comment-5669 Bos-Mike Tue, 04 Jan 2011 05:01:08 +0000 http://blogs.reuters.com/columns/?p=5014#comment-5669 Goldman also invested more than a hundred million in Webvan (the on-line grocer) a decade ago and $1BN of investor money went up in flames as the business failed. As recently as 2008, predicted that oil would go to $200. Facebook's $50BN valuation is ridiculous even by Google standards: Google has $40BN in revenue and a $200BN valuation. Facebook has 1/20th of the revenue and has a a quarter of capitalization. Since there have been no and not expected to be any major tech IPOs that would together add up to $100BN, Goldman is trying to hype a single $100BN IPO so the individual investor making $9.95 trades is left holding the bag. Goldman also invested more than a hundred million in Webvan (the on-line grocer) a decade ago and $1BN of investor money went up in flames as the business failed.

As recently as 2008, predicted that oil would go to $200.

Facebook’s $50BN valuation is ridiculous even by Google standards: Google has $40BN in revenue and a $200BN valuation. Facebook has 1/20th of the revenue and has a a quarter of capitalization.

Since there have been no and not expected to be any major tech IPOs that would together add up to $100BN, Goldman is trying to hype a single $100BN IPO so the individual investor making $9.95 trades is left holding the bag.

]]> By: Janeallen http://blogs.reuters.com/breakingviews/2011/01/03/goldmans-old-school-facebook-deal-sets-new-tests/comment-page-1/#comment-5666 Janeallen Mon, 03 Jan 2011 21:50:03 +0000 http://blogs.reuters.com/columns/?p=5014#comment-5666 Are you saying that Goldman will do the same with Facebook as with its naive investors, the Federal government which keeps hiring its ex-CEO, etc, etc, so that they can fatten themselves at the expense of the longterm economy of America, hence, the financial wellbeing of the average American. Are you saying that Goldman will do the same with Facebook as with its naive investors, the Federal government which keeps hiring its ex-CEO, etc, etc, so that they can fatten themselves at the expense of the longterm economy of America, hence, the financial wellbeing of the average American.

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