Are Social Media Companies Overvalued? [Infographic]

Are we experiencing a tech bubble in shares of social media companies?

When LinkedIn recently went public with a blockbuster IPO, its shares were priced at $45 and they skyrocketed to over $100 in the first day of trading, a valuation of $8.9 billion. Hysteria ensued about the ballooning stock price amid warnings about the formation of a new speculative bubble in tech stocks. Its shares have since come down, but the last time I looked they were still a very healthy $88 per share, enough to please anyone who was in on the initial public offering — and then some.

In addition to LinkedIn’s IPO, there have been some other recent developments in the world of social media finance:

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