In Facebook's third quarter report we see revenue of $2.016 billion and earnings of .17cents. These are generally accepted accounting principled numbers. The Average Revenue Per User or ARPU currently is, $7.08 in my estimate.

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REVENUE 2013

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Q1 Q2 Q3 Q4

1.458B 1.813B 2.016B 2.031B E

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EARNING PER SHARE

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Q1 Q2 Q3 Q4

.09 .13 .17 .25 E

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AVERAGEREVENUE PER SUBSCRIBER

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2012 2013

$5.27 $7.08 E

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FB has 1.2 billion subscribers which suggests they are making over $7 billion this year we can use the ARPU number to see what value is forecasted by management. Its another insight into what the company might be worth at years end, a snapshot that can be estimated before hand.

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Forecast for 2014 Revenue currently stands at:

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$10.35B

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Marke Research maybe facebook's endgame. Where essentially facebook sells much of the info we make public online to companies willing to pay for it. To the intent they can mine the data to obtain useful insights about us. Sell us just what we are ready to buy at just the right time. Because all this is not entirely clear yet people are still indeferrent to the stock. The smart money is not so indicisive they have already positioned themselves in the stock. Think about walking into a store only to have your picture taken and married to your Facebook profile. knowledge of you is passed to said merchant who now has insight into your very taste or in FB's idiom "Likes or Unlike."

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Also facebook acquired Onavo an analytics and data compression concern this they did because of the failed Waze acquisition attempt. It is clear the analytics is needed to help predict and make tons of user data more useful.

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Other, highlighs of note is Facebooks new program to connect the world so as to allow anyone in the world to participated in the knowledge based economy. Mark Zuckeberge call this:

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INTERNET.ORG

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Also coninue to look in this area for further upates. The Sage maintains a strong buy on Facebook (FB) I am a bull of this stock until revenue growth rates declines below 16% and profits are 6%. More to Come....