Facebook looking for $85 to $95 billion valuation in IPO

Facebook's upcoming initial public offering now has a valuation goal: the company is expecting to obtain a valuation ranging from $85 to $95 billion based on the price the company will offer its first public shares at.

According to the Wall Street Journal's sources, Facebook plans to place a "high-$20s to mid-$30s" share price. If this information turns out to be accurate, Facebook have the largest valuation for an Internet company ever at the time of an IPO. Google, by comparison, had a valuation of $23 billion when its IPO occurred (Google began trading at $85 a share), which is currently the largest valuation for an Internet company at the time of an IPO. In December, Facebook partner Zynga launched its own IPO, where shares began trading at $10, which valued the company at $8.9 billion. In addition to Zynga, online coupon site Groupon recently held its own highly publicized IPO, launching in November with a valuation of roughly $13 billion.

Facebook's estimated valuation would place it behind Amazon but ahead of HP, according to the Wall Street Journal's article. The company will be traded under the symbol "FB" on the NASDAQ stock market. Previous reports suggested that Facebook was seeking a $100 billion valuation, which the company could still reach if it places a slightly higher pricing on its initial shares. Facebook's IPO is believed to take place on May 18. The company filed for its IPO on Feb. 1.

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13 Comments

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Not worth 85Billion.
First of all, i think they only make what, 1Billion or so? (in revs?)

Yes, i admit, their user base is impressive. But seems volatile, take a look at myspace.

Id say they should be worth 25billion at most.

auziez said,
Not worth 85Billion.
First of all, i think they only make what, 1Billion or so? (in revs?)

Yes, i admit, their user base is impressive. But seems volatile, take a look at myspace.

Id say they should be worth 25billion at most.

facebook has $4 bln in revenue at a growth rate over 100% in each of the last two years....worth at least 80 billion

Xerino said,
it will never be worth that much... I dont even think Microsoft and Apple combined are worth near that

your joking right?
Microsoft and apple both [combined] are worth 700-800 BILLION dollars.

****ing bull****,

**** facebook... idiots are so amazed at chatting to friends by looking at a screen when they can can and do talk to them each day.

all the tax money going to this ****ing ****

WHAT THE ****ING HELL !!! 85 BILLION?
WHY NOT PUT THAT MONEY TOWARDS MAKING A BETTER FUTURE?

aiir said,
****ing bull****,

**** facebook... idiots are so amazed at chatting to friends by looking at a screen when they can can and do talk to them each day.

all the tax money going to this ****ing ****

WHAT THE ****ING HELL !!! 85 BILLION?
WHY NOT PUT THAT MONEY TOWARDS MAKING A BETTER FUTURE?


Facebook pays taxes bro.

DClark said,

Facebook pays taxes bro.

there has been some news that they actually registered in off-shores

any way it doesn't worth $85bln. all it have is just a large userbase. max fair price is around $3-4bln.

amazes me how it's valued at nearly half the market cap of google when google earns 10x more in any given quarter...

amazes me more that the IPO will pop when retail investors jump on the bandwagon previously limited to goldman sachs' favourites.