The writing was on the wall (street)....
Any second rate investor knew that this IPO was an unique
opportunity to massively short sell this fiat stocks....
The writing was on the wall (street)....
Any second rate investor knew that this IPO was an unique
opportunity to massively short sell this fiat stocks....
I don't know, I am not sure if that is a good way to go about thinking about it. What I'd want to see isn't a lower price, but a better way for them to make money. Facebook needs to take their talent and reapply it, or get some bodies on board that can make it happen. As it is now, it seems like they are just trying to squeeze more blood out of a turnip. Actually, I don't even see how doing an IPO would help them with that anyway. Is it like they need extra money to enact their plans? The way I understand an IPO is that you want to grow, and you have a plan to do it but not enough money to do so. So you go to the public, sell some shares, and you get money to do what you want. When you're successful with your plans, your investors get something nice in the way of dividends and/or better stock prices.
But I dunno, I haven't really dug too hard on the facebook thing. Maybe they really do have some sort of a plan.
Everyone was anticipating the stock to go up on Friday. Those who were allowed to purchase stock before everyone else was given the opportunity to profit when the stock price increased. The stock price may be lower now than the IPO price, but the opportunity isn't what it was on Friday.Facebook down to $35, if you bitched about not being able to "get in on" the IPO, now's your chance!!!
ROFL
How many ATers will admit they lost money on FB?
So the underwriters have no trust in an "open" and "free" market?This is how IPO's work. The underwriters deal with the people they trust. Nothing wrong happened.
So the underwriters have no trust in an "open" and "free" market?
What I saw was a lot of hype to buy it.
Not true, from what I read on the internet fora most were skeptical of the high valuation.
Not true, from what I read on the internet fora most were skeptical of the high valuation.
The way businessmen have forever been attempting to legally monopolize every market possible since they fashioned a way to profit from its mere existence, there has never ever been an open and free market in the USA.
Funny how few posted that confidently here in advance.
I posted in favor of shorting it in the long term, but said that I wasn't sure enough to risk money on it, or what time frame.
It's hard to sort out a lot of things including how investors will view the stock - it could have gone way up - or profit taking by these insiders to get real cash etc.
What I saw was a lot of hype to buy it.
Try reading the rules about shorting an IPO. The average investor would have to wait thirty days. And anyone wanting to do so would still have to be able to borrow the shares.
Shouldn't there be more competition for a 'facebook'?
How many ATers will admit they lost money on FB?
My hat goes off to you. You had the balls to try this and you succeeded.Same here..I bought at 42 and dumped at 45 for a tidy profit.
So the underwriters have no trust in an "open" and "free" market?
blah blah blah. I wanted to buy a car from this dude and he decided to sell it to his son instead. Total bullshit. We need the government to enforce the free market so there are no "preferred" buyers or sellers.You do understand that "open" and "free" markets have very little to do with how contracts are created and issued out between 2 parties right?.
In this case FB contracted out the selling of their shares to Morgan Stanley who is then under a contract to attempt to sell those shares so that it benefits FB, Morgan Stanley and so it provides those who are willing to pay a premium or have been offered shares before hand as a form of payment the opportunity to also turn a benefit from FB's IPO offering. Never mind that IPO's are not guaranteed to be successful and it is completely possible that FB shares could be worth nothing in a day, week, month, year, etc all those parties involved that got first dibs would end up with worthless scraps of paper.
NVM...obviously I'm talking to a child who probably doesn't understand the meaning of risk or contractual obligations toward clients.
blah blah blah. I wanted to buy a car from this dude and he decided to sell it to his son instead. Total bullshit. We need the government to enforce the free market so there are no "preferred" buyers or sellers.
LOL - Government enforcing a free market.
A free market means I come and shoot you and take your stuff. Got a problem with it?
As for the idiots who bought it and lost money, I have no sympathy at all. Right now Google Finance shows Facebook as having a PE ratio of roughly 100. That means their profit is 1%. Would you invest in a company where your profit is $1 for every $100 you put in? Apparently a lot of people answer with a loud YES and put their money where their mouth is. Unbelievable. People being horrible at math is why the sub-prime lending thing was such a major problem. Astrophysicist Neil DeGrasse Tyson expressed this feeling in one of his speeches; he was making a point about the importance of math and education.
I posted in the OT stock thread on Saturday.. no replies.. people still clamoring away to buy.Funny how few posted that confidently here in advance.
I posted in favor of shorting it in the long term, but said that I wasn't sure enough to risk money on it, or what time frame.
It's hard to sort out a lot of things including how investors will view the stock - it could have gone way up - or profit taking by these insiders to get real cash etc.
What I saw was a lot of hype to buy it.