Biofuels Digest emailed this out this morning. It’s a good point:
Thought of the Day
“Isn’t it a little strange, that a company which monetizes the social habits of teenage girls (Hello Facebook!), is more valuable than the future of food, materials and energy?
“Without exaggeration almost everything we touch, wear, eat, drive, etc. depends on chemicals and fuels. Yet, right now the market capitalization of the entire publicly traded sector for renewable fuels and chemicals is down sharply to ~$2.5B (not including corporate subsidiaries, ethanol, sugar, etc.).
“Facebook of course is expected to price soon around ~$100B. That’s not quite in the league of ExxonMobil, but it’s close to BP, and right there with the combined value of Dow Chemical ($39B),DuPont ($48B) and Archer Daniels Midland ($22B).
“Does this make any sense? If Facebook disappeared tomorrow the world would go on. If petroleum disappeared tomorrow would there even be an economy?”
Sam Nejame, Promotum.com
Interesting, though, that when talking about renewable fuels, Sam excludes ethanol, the most widely produced and used renewable fuel in the US and globally by a very wide margin.
At any rate, I continue to believe that Facebook is massively over-valued. That isn’t to say it’s a bad company, but $100B?
520 Chestnut 
Leave a Reply