SunTrust Robinson Humphrey Reiterates Buy Rating on Facebook Following Twitter S-1 Filing
In a report published Friday, SunTrust Robinson Humphrey analyst Robert S. Peck reiterated a Buy rating on Facebook (NASDAQ: FB).
In the report, SunTrust Robinson Humphrey noted, “Twitter filed its S-1 yesterday with the SEC, which we believe could value the company as high as $20b. Twitter is reported to be expecting to generate over $1b in revenues next year. If we apply Facebook and LinkedIn's FY13 P/Sales multiples of 15x and 19x, that would imply a value of ~$20b. This was on the heels of Facebook CEO Mark Zuckerberg's reiteration of the company's core mission at TechCrunch Disrupt on Wednesday. His interview drove home several key points regarding Facebook as a company, and our investment thesis: mission, vision, and catalysts.”
Facebook closed on Thursday at $44.75.
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