Wow. I was too young when bubble started and all I remember is the talk that "Internet is going to change the world". But if companies like the one mentioned went public then I must imagine how bad situation might be at that time. Currently, companies that are going public have some solid revenue numbers and are in business for a while.
True, but taking Facebook as an example, it's IPO'd with a 100:1 P/E ratio. It would take 100 years at current earnings in order to pay for its current value. So, the question is: will they double revenue for enough consecutive years to bring that P/E ratio down? If they manage it, it will be a very impressive feat.
(for the record, I'm not saying it's a bubble, and I'm not necessarily saying FB is overvalued. I admit that they have a lot of bright people and are probably the best-poised company right now to develop completely innovative revenue streams)
