Tag - US Markets

February 2012

Facebook IPO!!! Valuation @ approx $100Billion

facebook, facebook ipo, google comparison, us stock market,financeFacebook IPO valuation is tagged @ $100Billion making it one of the largest IPO launch in history. Personally, I think that this is a BIG Hype. At $100 billion total value Facebook will be trading at a Price to Earnings multiple, or P/E, of 77 and Price to Sales multiple of around 25. A significant chunk of revenues come from casual video games developer Zynga, which brings in 12 per cent of all revenue.

Google’s IPO worked for long-term investors because the search engine literally became one of the best companies on earth. Google’s price has gone up 7-fold since the IPO but the company has grown into it’s expensive initial price. Can Facebook replicate the success story? Now this is a big question mark..

Follow the story here :

Now that everyone on earth has offered their 2-cents on the upcoming Facebook IPO, one question remains: Should you buy shares when the social networking king becomes a publicly traded company sometime in April or May?


Amazon enters India via Junglee.com

OK, so news is that Amazon has moved to India with Junglee.com. Amazon had actually already had acquired Junglee in 1998 for $140 million.
Now amazon is one of the most successful internet companies out there. This move is being viewed and noticed, because Indian e-commerce market is in a nascent stage and has the potential of $400+Billion market. So the Pie is huge. And it will only get larger.

Amazon, Junglee, Amazon India, Junglee India, E commerce India, Flipkart

But for Junglee to rule the Jungle …. Well… I think that this might take some time. First looks of Junglee.com is pathetic. It says beta… But coming from amazon you would expect more. You do not feel like browsing beyond the first page.
Personally I have used Infibeam.com and Flipkart.com and I would say that these two are amongst the best e-commerce sites in India at present. they have excellent service levels. Provide Cash on delivery.. (which really works in India)…
Now, Junglee.com itself will not sell the products. Instead it will redirect to other online and offline vendors. OK…Big promises… but what about returns, customer care , service levels and product quality. Are you interested only in your sales commission by trying to rope in as many vendors as possible and take the market from thereon….. It ain’t gonna be so easy.
For me it is a wait and watch… and oh by the way.. I have to rush to the current e-commerce sites to search for my fav book…. till then good luck Junglee…

July 2010

Indian Markets are outperforming ….

Indian Markets are outperforming , Sensex, Nifty, Stocks, Global Indices, Sensex compared to DOW

The Indian Stock Markets are outperforming other markets over the past month and a half.  As seen in the charts above, the out performance of the Indian Markets started in May 2010.  How long this goes on is anybody’s guess.

However, this out performance is sweet for Indian investors; especially because (1 ) There is a heavy impact of the European crisis on Stocks worldwide and (2) – the US markets are demonstrating serious weakness in near term especially with Dow below 10,000 and S&P Index below 1050.

In India, well — The tax collections are up.  Corporate performance in Q1 is expected to be better, at least by 15%.  Monsoon is active again and covered almost all the areas ten days in advance. Earnings season will begin soon.

The above factors are seemingly having a favorable impact on markets.

It will be interesting to see the performance of the markets vis-à-vis the US Markets in the coming weeks and months.