People invest based on what they think the company will earn in the future. That's how investment works - you're betting that, given some money now, they'll make you more money later.
Considering the huge role Facebook has taken in the Internet, I'd say betting on them is a great idea.
The question is, is Facebooks huge role on the internet a sustained groundswell or a passing fad? Will Facebook be as big a deal 10 years from now, or will we all be using personal gossip AI's to keep track of our friends instead?
Considering the huge role Facebook has taken in the Internet, I'd say betting on them is a great idea.