Note to eager Facebook investors: don't get your hopes up yet. In a detailed Wall Street Journal profile
, Mark Zuckerberg says he's in "no rush" to take his company public. Facebook has grown its user base to 400 million and many predicted
2010 was the year of the company's IPO. Not so. Analysts are now
thinking 2011. Here's what industry observers are saying about the
25-year-old's cautious strategy:
- Zuckerberg Can Afford to Be Patient, writes Stan Schroeder
at Mashable: "While estimates about Facebook's future earnings vary
wildly, Facebook recently turned cash flow positive, which is a big
deal for a company many once thought was pure vaporware. As long as
Facebook keeps it that way, it can calculate and delay the IPO for as
long as it deems necessary."
- Don't Expect an IPO Anytime Soon, writes Jason Kincaid
at TechCrunch: "[Zuckerberg] doesn't sound all that keen to take his
company public ...With regard to Facebook's IPO, the article discusses
Zuckerberg's penchant for 'delayed gratification', which he says he has
a special capacity for. And because Zuckerberg still maintains firm
control over the company, and when it will IPO, delayed gratification
seems to be the law of the land."
- Not Going Public Is Smart, applauds Kara Swisher
at All Things Digital: "Looking at the stock performance of four big
digital companies so far this year, there's not been much upside yet
for Facebook to jump into." She notes that shares are down at Yahoo!,
Apple, Google, and Microsoft.
- Expect Big Things When IPO Does Happen, writes the WSJ's Jessica Vascellaro
in a follow-up piece: "Investors currently buying or looking to buy
Facebook shares anticipate the company will go public in 2011 with a
market capitalization of between $35 billion to $40 billion, according
to people familiar with their thinking ... Some analysts are even more
bullish, suggesting that Facebook could be worth $59 billion in 2011
and more than $100 billion by 2015."
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