Nonfinancial ratios such as value to web site hits,value to unique visitors,and value to number of subscribers had some explanatory power for assessing Internet company stock prices in the early years of the wave of Internet companies.

Question

Quizplus · Accepted Answer

Nonfinancial ratios such as value to web site hits, value to unique visitors, and value to number of subscribers were indeed used as a measure for assessing Internet company stock prices in the early years of the wave of Internet companies. However, their usefulness in predicting stock prices was later questioned as the dot-com bubble burst.

Nonfinancial Ratios Such as Value to Web Site Hits,value to Unique