facebook networth
8 Answers
Revenue and market valuation are two completely different things.
The $190 Billion you are taking about - that's the market valuation.
The $1 Billion you are taking about - that's the revenue.
Just to show you a clear difference,
Revenue - The
amount of money that a company actually receives during a specific
period, including discounts and deductions for returned merchandise. It
is the "top line" or "gross income" figure from which costs are
subtracted to determine net income.
Market Valuation -The price an asset would fetch in the marketplace. Market value is also commonly used to refer to the market capitalization
of a publicly-traded company, and is obtained by multiplying the number
of its outstanding shares by the current share price.
To show you this with a small example,
Walmart
has more sales than Facebook. Meaning they made a bigger revenue than
Facebook but in 2015 since Facebook's stock increase by more than ~11%
(much of this rise was due to Facebook's new video ads) making it $235
Billion and on the other side, Walmart's stock went down by ~15% this
year(due to it's rising competitors like Amazon, Tech30 and others)
making it $230 Billion
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