Soaring Valuations in Consumer Web Companies?

The WSJ has out a timely piece tipping the rapidly rising valuations being seen in private market financings of consumer web companies. Graph and excerpt follows:

MK-BG215_WEBVAL_NS_20100921190819 (1).gif

The escalating valuations for consumer Web start-ups are reflected in the secondary market, where investors buy and sell the shares of closely held companies such as social-networking company Facebook Inc. On SecondMarket, which operates an exchange where investors can trade the stocks of closely held start-ups, the share prices of six actively traded private companies—including four consumer Web start-ups—rose an average of 39% between January and August, according to the company

To be fair, the data is mostly anecdotal, and rising secondary market valuations can be a reflection of scarcity of issues as much as anything, but it is all worth noting — especially in light of the current made-in-blogland noisy chatter about angel cartels and the like.