Facebook has the Internets abuzz this week in advance of its IPO announcement. It is coming with plenty of speculation: Is the wunderkind of Silicon Valley worth its reported $105 billion valuation?
We’re wondering, would you buy Facebook stock, its value tottering between $34-$38 per share? In a piece today in the The New York Times, even MIT profs are questioning if the giant can cash in on its wealth of information: “We know Facebook has an awful lot of data, but what they have not worked out yet is the most effective means of using that data for advertising,” said Catherine Tucker, a professor of marketing at the Sloan School of Management at the Massachusetts Institute of Technology. “They are going to have to experiment a lot more.”
In a blow to FB’s mo’ money week, GM announced that it would pull its ads from the site, telling the Wall Street Journal “their paid ads had little impact on consumers’ car purchases.”
In an AP-CNBC poll, about half, 51 percent, of Americans think FB would be a good buy. And 31 percent of Americans say that the smart money is not on FB’s future. Strangely, that same poll said that people who had seen The Social Network had a more favorable impression of CEO Mark Zuckerberg than those who had not seen the movie.
What do you think? Is FB a good buy?
Previously on GeekWire: Poll: Mark Zuckerberg’s hoodie, thumbs up or down?