Bull Market
The real stock market may be stuck in a rut, but you’d never know it from the way things are hopping over at BlogShares! At the risk of sounding irrationally exuberant, I must say I’m giddy at the recent performance of my own firm—er, weblog.
You see, today I looked at my BlogShares account for the first time in a couple of weeks and was shocked to discover that Sci-Fi Hi-Fi’s share price had balooned to the point where my P/E was a staggering 22.24 (anything over 1 is considered to be overvalued!).
I immediately issued a 5/1 stock split in an attempt to bring Sci-Fi Hi-Fi shares down to manageable levels, but it doesn’t seem to have had any effect on my P/E. I also tried to issue more shares, but the system doesn’t seem to want to let me (it won’t allow me to set the amount higher than zero). Obviously there are a lot of things about BlogShares that I don’t understand, but I’m enjoying the ride nonetheless!
(Update: As Erik points out, Blogshares has actually made a change to the way P/E is calculated: anything over 20 is now considered to be overvalued. So, I was correct that my weblog was overvalued, but not quite to the level I imagined. At the time of my initial post, the BlogShares manual hadn’t been updated to reflect this change.)
