Facebook Inc (FB) & MySpace: For Decades…

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And that’s just your photos. Say adios to your status updates, too. Basically, you would have to say goodbye to a well-documented history: yours, your family’s, and your friends’.

For decades …
Facebook’s demise is unlikely. A decade from now, you’ll still probably be logging on to the same site to post photos of your most recent meaningful excursion. With Facebook stock trading at a valuation that makes sense only if the service is going to be around for decades, investors seem to agree.

On this note, if Facebook is in your portfolio, I wouldn’t sell on the stock’s recent run-up. Instead, I would hold true to Warren Buffett’s dogma:”Our favorite holding period is forever.” Facebook shareholders should give this company a chance to show them what it can do with 699 million daily active users — because it’s going to be around for decades.

The article Why Facebook Isn’t Doomed to MySpace’s Fate originally appeared on Fool.com is written by Daniel Sparks.

Fool contributor Daniel Sparks owns shares of Apple. The Motley Fool recommends and owns shares of Amazon.com, Apple, eBay, Facebook, and Google.

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