META
📱 Known company, but often considered anti-value due to high multiples.
📊 Multiples may seem high, but optionality is not fully appreciated.
💰 Data is a key raw material that will continue to grow in importance.
💡 Accounting practices may obscure true value by expensing investments immediately.
@emeritoquintana:
“Facebook is a well-known company, often considered anti-value because its multiples seem high. However, when people value its optionality, the multiple becomes ridiculous. The objection that Facebook is too well-known and large is not valid because the movements of large companies are gigantic. There are accounting aspects that do not reflect reality, making it seem like it is at very high multiples when, in reality, its investments affect the income statement to a greater extent than other companies. There is also the optionality of using its 2 billion users to create things that others cannot.”
Watch the exact part of the video where Emerito talks about Facebook here:
View the video on YouTube.
Read more articles featuring the most recent analysis of Facebook (META) at this link: META stock.
