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Friday, May 11, 2012

What Facebook Thinks Its Shares Are Worth


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Friday, May 11, 2012
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What Facebook Thinks Its Shares Are Worth

When Facebook goes public, first its bankers and then the market will determine the price of its shares. But like other private companies, Facebook has had to set a price on itself to calculate the taxes the company and its employees owe.

The internal share price jumped in the first half of 2011. But from there it stagnated. Most recently, it dropped 5 percent in February—a fluctuation that hasn't been explained in the company's SEC filings—only to rebound, at least on paper, when it paid for Instagram partly in stock. Read »


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