Tomahawk, WI 11/07/2013 (BasicsMedia) – Facebook Inc (NASDAQ:FB) has satisfied the prerequisite to join the S&P 500 Index. The social networking company has had at least six months of trading as a listed company. It also has enough of its shares available to the public. Moreover, FB has met the profitability consistency required for the standard upgrade as well as the market cap. The company which boasts more than 1 billion active users in its network currently has a market cap around $119.62 billion.

Joining S&P 500 index is a standard upgrade that FB not only deserve because of its performance so far, but it also needs very much considering that is arguable archrival Twitter is just about to go public. At the S&P 500, FB will be joining the big names in tech industry such as Yahoo!, eBay, Amazon, Google and Expedia. The list is very long, but what is important is that among the tech members at the index, FB is the latest member that faltered just as soon as it went public. But today its valued is not only huge, but one has to combine several of its S&P peers to much it.

Given its market value, the social networking giant is ranked at the 29 spot among the largest companies on the index. Since January 2010 when Berkshire Hathaway was called to the index, FB now becomes the largest.

For four consecutive quarters this year, FB has delivered positive net income and its share valuation has gone up more than 85% this year alone. This is no mean fete considering the red-hot competition in the tech industry where new threats continue to emerge while completers up their game.

Facebook has broken the jinx

Social networking stocks which went public ahead of FB created impression on investors that such stocks are not designed to live but to die as soon as they go public. The frequently mentioned names are Friendster and MySpace which have since reduced to pale shadows of their former self. But FB did get its strategy right early by seeking to accumulate a huge user base before going public. At the time FB got listed on NASDAQ, its active user base was more than a billion.

But is there anything more ahead for FB now that it is entering S&P 500 index at an elevated spot? The social networking company has lately been seeking to increase its advertisement revenue. Its mobile platform has become the new frontier in revenue generation. Currently the company is considering the option of paid ads in efforts to boost its revenue.

In joining S&P 500 index, FB will have its stock price effectively upped and its investor base grows. The company is also set to enjoy greater liquidity.

Facebook’s interest in real estate

Investors should know that FB has been on an exponential growth for in its revenue income as well as subscriber base. And beyond these horizons, the company is also investing in real estate. Its constructing apartments near its headquarters which would be used by its highly  valued staff while other units will be rented out at market rates for interested tenants in the tech hub.

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