Peter Schiff on facebook and he is totally right!

Quote from running_bare:

But how many Elitetards here/elesewhere - even if they had the money - would have cut Zuck $500,000 like Peter Thiel (and others) did back in 2004, buying for pennies?

That's the difference between the billionaire Thiels of the world & Etards

If you are so "right" how comes you're not rich, b tch!?

LOL
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OF COURSE the insiders did well, and the public got fleeced, that's the whole point being made by the posts on this thread, lol!

By the way, how much did YOU buy in the pennies, b tch? LOL
 
Quote from Don Bright:

FWIW...

FB is too high, they screwed up by not bringing it out at about $25, a fair price IMO.

I have never seen an IPO face so much negative press. Forbes said something like "stay away" - and the CNBC webinar was a hit job.

That being said, they do have a zillion users, and perhaps a new way of monetizing it may come about. Don't sell it short, literally or figuratively.

Don
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Couldn't agree more re pricing! I was thinking they should have priced it at 20-25. Probably closer to 20. Lol!:D

Those really nice inv bankers decided on 38, put the lipstick on the pig, and made $$$$$$$ with what IMO they knew was over priced from the get go.

These nice guys packaged up some really good derivative products that did so well 07-present... I've gotta say I'm not surprised by this stunt considering the past track record. The problem is the average retail investor has all but thrown in the towel with this one, and the bad actors involved will no question skate as usual. Sad
 
Quote from ScalperJoe:

According to FB's registration statement (publicly available)

180 million shares were sold by Facebook, and the other 241 million shares by "selling stockholders" (read: those who got in BEFORE the IPO).

Average price paid by existing stockholders: $1.11
Offer price to public: $38

After various "lock-up" periods expire, these are the approximate amounts of shares that WILL BE AVAILABLE FOR SALE TO THE PUBLIC:

after 91 days: another 271 million shares
after 151 to 180 days: another 127 million shares
after 181 days: another 1,194,153,445 (yes, that's OVER 1 BILLION SHARES)
after 211 days: another 149 million shares
after 366 days: another 47 million shares

If everyone decided to sell their stock after the lock up, FB would have over 2 billion shares in the secondary market!

Therefore, if they can't grow their earnings fast enough to justify a higher multiple, and given there will be so many more shares outstanding, the stock has nowhere to go, but DOWN.
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ScalperJoe,
This is very important information you've extracted from a document I can't even begin to make sense of!
Thanks.

For those interested, the original is here:
http://sec.gov/Archives/edgar/data/1326801/000119312512034517/d287954ds1.htm
:cool:
 
People have no idea how much FB worths (including me). If you want to buy something and they price it 1500, you would want to buy it at 1300, but the reality the right price might be $100, Now since FB, IPO was 38, everyone thinks that 25 was the right price. Have you ever thought that maybe $4 is closer to reality?
 
Of course, there was the inevitable argument on the news "Since when are investors guaranteed a profit on an investment/IPO?"

And, of course, this is true....

But - where is that argument when they discuss Greece/Italy/PIIGS, et al...?

Since when are creditors/lenders guaranteed repayment - especially if they are stupid in their lending? :D

Because it may not be commonly known in the US and elsewhere - but in Europe, Greece has been famous for 2 things for a very long time:

The Parthenon. And tax-cheats. :D

So if you are a supposedly sophisticatedly-stupid lender and loan them all they want - what is supposed to happen? (see same idea as sentence #1) :D
 
It's just so sad that the underwriters specifically targeted the retail market, just to extract every last cent they could for the angels... If MS couldn't even put a proper valuation on this pos a week before issuing, how does joe lunchbox even begin to try and figure out what its worth? They unfortunately rely on the hype and are so grateful that the "little guy" is so generously being offered a piece of the dream that they close their eyes, plug their nose, and take the plunge. All the while, the lead bookrunner is downgrading the valuation as that clown zuck parades around in his hoodie and graces (unimpressed) investors with his presence. I'm not saying the guy didn't create something huge (or maybe he stole it, who knows) but I'll give credit where credit is due. Pretty clear he's not CEO material though, and I agree - he'll be hitting the old dusty trail sooner rather than later as this thing plunges off a cliff.

Add in the bang up job by Naz and no wonder the public is stuffing bens into their mattresses...
 
Quote from hajimow:

People have no idea how much FB worths (including me). If you want to buy something and they price it 1500, you would want to buy it at 1300, but the reality the right price might be $100, Now since FB, IPO was 38, everyone thinks that 25 was the right price. Have you ever thought that maybe $4 is closer to reality?
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The difference between 25 and 38 is gargantuan.
 
Quote from cactiman:

ScalperJoe,
This is very important information you've extracted from a document I can't even begin to make sense of!
Thanks.

For those interested, the original is here:
http://sec.gov/Archives/edgar/data/1326801/000119312512034517/d287954ds1.htm
:cool:
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Sure, but honestly, I only went through the chapters regarding dilution and shares eligible for future sale.

There's probably a lot more to consider in the 150+ pages of fine print. At least on Tuesday May 29th the options begin trading, which should be interesting to see how they price the premiums.
 
Quote from ScalperJoe:

Sure, but honestly, I only went through the chapters regarding dilution and shares eligible for future sale.

There's probably a lot more to consider in the 150+ pages of fine print. At least on Tuesday May 29th the options begin trading, which should be interesting to see how they price the premiums.
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Vols will be fairly low. I would expect FB to open in the 32-34% (annualized) vola range.
 
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