Mark Zuckerberg is the brains behind Facebook. The site that is responsible for some of the most memorable moments in our history was built by Zuck, and it is the biggest thing to hit the internet since Napster. However, with all the press coverage as well as being called the founder of Facebook, a lot of people are curious about how much Mark Zuckerberg’s worth is. Luckily, we have some figures at hand to help you out.
As the son of an Ivy League professor, Mark Zuckerberg definitely has a great deal of influence as an entrepreneur. Many consider him to be one of the best college graduates to have graduated from college, and his track record as a young person with a lot of successes under his belt will likely continue into his adult life. The question that needs to be asked is how much does he really worth? Well, worth is a relative term that is used by people to estimate an individual’s worth based on their monetary value or worth. This means that it can be compared with others and the net worth calculation.
So how is net worth calculated? For many, the worth of something is the amount of money it could potentially earn if sold, donated, or simply kept aside. Net worth is not equivalent to net profit because profit is the total income minus the cost of production. The net worth of Facebook could be considered to be a lot of money considering the fact that it is still relatively new, and its current value may only go up over time. However, the long-term worth of Facebook is probably far more than anyone would currently give it credit for.
In order to arrive at a proper estimation of the value of Facebook, one must first look at its past few months of financial results. After the great financial meltdown of late, many people had lost jobs and their homes, and Facebook’s stock prices took a huge dip. Though the company made an appearance on Wall Street last week, investors were quick to flee from it due to fears that it would suffer the same fate. Though the stock prices did bounce back somewhat and regained most of their losses, it still marked one of the biggest losses in the history of Wall Street, and therefore marked a substantial decline in net worth.
Now, when looking at net worth, it is important to remember that there are many different types of people who can legitimately put up their assets in Facebook, which will inflate its value. Mark Zuckerberg is one such person, and though he may be worth several billion dollars by himself, it is still only a drop in the ocean compared to the holdings of others in the company. It would be fair to estimate that the amount of Facebook’s net worth that remains unsold is in the multi-billions. Even if Zuckerberg personally manages to sell his stake in Facebook, he will most likely give up his ownership in the company at the same time.
But let us keep an eye on what else might affect the value of Facebook. Take a look at the recent earnings report released by the company. It was not particularly great, but it certainly showed that the company is doing something right in the wake of the economic crisis. This is certainly good news for investors, who are waiting for the Facebook stock to rebound higher. In fact, this could be one of the reasons why Facebook is poised to reverse its recent losses, even though no exact details have been given by the CEO as of yet. No doubt, analysts will try to figure out just how they can lift the value of the stock through various moves, including the rumored purchase of a gaming site from Yahoo.
The value of Facebook would definitely go up even if there is no acquisition of a gaming site from Yahoo. There are also rumors that the site may offer some sort of social networking component to its site, and this could be a shot in the arm of Facebook, helping it regain some of its previous momenta. Whatever the case may be, one thing is for sure: Mark Zuckerberg is undoubtedly rich with a net worth of several billion dollars. Not bad for a guy who only attended Harvard.
The question now is whether or not investors will see fit to jump on the bandwagon and add Facebook to their portfolios. Only time will tell, and there is no guarantee that the stock will make any headway. However, it would be a bad idea for an investor to avoid these stocks entirely, especially if net worth is a major concern for you. Do your research, but take care not to overextend yourself financially in the process. You might find yourself regretting that decision in the very near future.