Famed NYU professor and valuation theorist Aswath Damodaran has confirmed he will be selling his Facebook (NASDAQ:FB) position in the near future. In his mind, shares have surpassed their intrinsic value of $27.65, and since Facebook is a growth company, there is little reason to hold on to shares. He grounds his view in his experience that investors tend to overreact to a growth company's results, and right now, he believes investors are reacting too positively to Facebook's recent quarterly results.
However, Fool contributor Steve Heller believes that if you're truly a growth investor, it may not be wise to follow Damodaran's logic. Check out the following video to get the full story.