Details on FB:
Facebook Inc is a social networking company that has a worldwide reach. It has built a host of tools for its users to help them communicate, connect and discover not just on the computer platform but increasingly so on the mobile. The PE ratio for FB at the moment is around 230.7. 27 analysts rate FB stock as a buy, 3 analysts rate it has a hold and nobody recommends selling. The average daily volume for Facebook Class A has been 66.6 million shares everyday for the past month. It has a market cap of 88.1 billion dollars and is part of the internet and technology sector.
The Street Quant Ratings has also released a ratings report on FB. The rating given here is a hold. The company has many strong points such as revenue growth, strong financial position and debt levels that are nothing short of impressive. It also boasts of impressive earnings per share growth which is unparalleled. Despite of all this, the return on the equity return has been somewhat disappointing.
FB has a very impressive revenue growth; this outpaces the industry average of 22.7%. Revenues since the same quarter last year have gone up by 53.1% and this has helped boost the earnings per share too. The debt to equity ratio for FB is at 0.18 which is still higher than the industry average. Its ability to cover short term cash needs is also well displayed as it has a quick ratio of 10.22. Gross profit margin for Facebook Inc is really high at 87.04% and this has also seen an increase from the previous quarter from last year. Strangely however the profit margin trails the industry average, the profit margin stands at 18.36%.