They're not. They're worth less than nothing. They have never had a profitable year and they never will. Their value as a company is completely unrelated to their profitability. That's not how the stock market works and hasn't for many years.
Once you understand that basic, essential premise, you will begin to understand why the stock market is completely divorced from reality and why it means absolutely nothing as an indicator of economic health.
I still fail to see how Twitter is worth billions more than RSS feeds...
They're not. They're worth less than nothing. They have never had a profitable year and they never will. Their value as a company is completely unrelated to their profitability. That's not how the stock market works and hasn't for many years.
Once you understand that basic, essential premise, you will begin to understand why the stock market is completely divorced from reality and why it means absolutely nothing as an indicator of economic health.
So how does it work? Do shares have no intrinsic value, people buy them only because they know they'll be able to sell them at a higher price later?
I still believe my triple colored tulips will be worth millions per bulb any day now