For fun I have been looking at some of the big cap, high flying, stocks. I don’t need to do my valuation formula to know they are way overvalued, but I did it for Amazon and now Facebook.
My valuation came in at $64. This is what I think it is worth today–fully valued. I am not saying it is not a really good company, but the projected growth rates that analysts are using to get to the current price better be right, or this will end up a real stinker.