Facebook Price to Earning vs. Cash and Equivalents

Facebook Inc -- USA Stock  

USD 180.95  0.91  0.5%

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Facebook Inc Cash and Equivalents vs. Price to Earning Fundamental Analysis

Facebook Inc is rated below average in price to earning category among related companies. It is rated below average in cash and equivalents category among related companies creating about  884,922,616  of Cash and Equivalents per Price to Earning.
Price to Earnings ratio is typically used for current valuation of a company and is one of the most popular ratios that investor monitor on a daily basis. Holding a low PE stock is less risky because. When a company's profitability fall, it is likely that earnings will also go down..In other words, if you start from a lower position your downside risk is limited. There are also some investors who believe that low Price to Earnings ratio reflects the low pricing because a given company is in trouble. On the other hand, a higher PE ratio means that investors are paying more for each unit of profit.
Facebook 
P/E 
 = 
Market Value Per Share 
Earnings Per Share 
=
40.06 times
Generally speaking, the Price to Earnings ratio gives investors an idea of what the market is willing to pay for the company's current earnings.
Cash or Cash Equivalents are the most liquid of all assets found on company's balance sheet. It is used in calculating many of the firm's liquidity ratios and is a good indicator of overall financial health of a company. Companies with a lot of cash are usually attractive takeover targets. Cash Equivalents are balance sheet items that are typically reported using currency printed on notes.
Facebook 
Cash 
 = 
Bank Deposits 
+  
Liquidities 
=
35.45 B
Cash equivalents represent current assets that are easily convertible to cash such as short term bonds, savings account, money market funds, or certificate of deposits (CDs). One of the important consideration companies make when classifying assets as cash equivalent is that investments they report on their balance sheets under current assets should have almost no risk of change in value over the next few months (usually 3 months).

Comparison

Cash and Equivalents Comparison
  Cash and Equivalents 
      Facebook Comparables 
Facebook is rated below average in cash and equivalents category among related companies.
Facebook is rated below average in price to earning category among related companies.
Facebook, Inc. operates as a mobile application and Website that enables people to connect, share, discover, and communicate each other on mobile devices and personal computers worldwide. more
NameFacebook Inc
Analyst Consensus
Piotroski F Score
Macroaxis Advice
InstrumentUSA Stock Stocks Directory
RegionNorth America
ExchangeNASDAQ
CIK Number01326801.0
ISINUS30303M1027
CUSIP30303M102
CurrencyUSD - US Dollar
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