Whilst the main equity market battled hard to hold the low sp'1770s, the momo stocks were living in a world of their own, and ramped hard into the weekend. Facebook (FB) and Twitter (TWTR) both saw very strong gains of 2.9% and 6.9% respectively, and both look set for the $60s.
It was amusing to see the Drudge Report today highlight how Twitter - a loss making social media company..is now worth tens of billions.
After all, Twitter is just a website, with very limited advertising revenue. Just what is the future for this bizarre company?
How about a merger/buy out from...FB ?
The $60s are likely
FB looks set to challenge the $54 high of mid October ($56s in AH, on earnings) next Mon/Tuesday..and if the main market holds together..post-FOMC, then FB will probably be in the $60s before year end.
TWTR, at the current rate of increase, will probably be $60 by the Monday close.