Should You Buy Facebook? A Few Things To Consider Before Tomorrow's Frenzy

Facebook will go public tomorrow at $38 a share, valuing the social network company at more than $100B. That will make it the biggest Internet IPO ever — and one of the toughest stocks to analyze. Fans see it as the opportunity of a lifetime to own of piece of company that’s becoming central to the world’s digital future. Critics warn that Facebook’s shrewd owners and bankers aren’t doing anybody a favor: Buyers could discover that they’ve been caught up in a faith-based craze over a young company that lacks a track record of strong earnings, or even a clear strategy for consistent profit growth. What to do? Here are some arguments to consider: (more…)