Facebooks IPO

[TSD]

http://news.yahoo.com/facebook-shares-sink-11-percent-reality-overtakes-hype-053349929--sector.html



If they went public 5 or 6 years ago, that would have been a good time to invest, Now....not so much.



I just don't see this being the cash crop people hoped it would.

 

[MassHavoc]

I liked this very good article in wired about this. Don't know if anyone will read it but it's a good read. It's from March 20th,



http://www.wired.com/epicenter/2012/03/ff_facebookipo/

 

[MassHavoc]

I love this coincidental foreshadowing! haha

When Facebook goes public this year, it will raise at least $5 billion, making it the biggest InternetIPO the world has ever seen. The day it debuts on the stock exchange, Facebook will be worth more than General Motors, the New York Times Company, and Sprint Nextel combined. The next morning, Mark Zuckerberg’s smiling face will appear on the front page of newspapers around the world.​

[font=Arial, Verdana, sans-serif]But don’t be surprised if that smile looks like the forced grin of someone dragged to the altar.[/font]​

[font=Arial, Verdana, sans-serif]If you follow the news you know why it's funny.[/font]​

 

[The Count Dante]

They have cash, that is the only value. My guess is no higher that 32 a share.

 

[BigPete]

During IPO or Initial Public Offering the stocks can not be purchased by large brokerages. That is the part that is hurting the current selling price. Once those firms get in on it in a few months then the machines that perform most trading (not humans as some naive people think) the price will rise in the great computer game called 'The Stock Market'.

 

[supraman]

We'll see. Most info I've read says the big firms aren't interested in Facebook

 

[R K]

When the SEC gets ahold of JP Morgan, Morgan Stanley and Goldman Sachs there is going to be some severe penalties. They cut the earnings forcast in the middle of the IPO. Some of the "larger" investors were most definitely at a disadvantage.



tsk tsk tsk.....

 

[The Count Dante]

NASDAQ screwed up some of the large individual investments and never sent a confirmation back so many of the large funds double bought the orders and now there will be litagation with NASDAQ for the screw up, but what it DID do? Inflated the price because of the error.

 

[BigPete]

We'll see. Most info I've read says the big firms aren't interested in Facebook

Once Facebook tells everyone how it is going to make MORE money than it already does, they will be very interested. There are several 'secret' plans on how they will gain new streams of revenue. One plan is that they will start offering tiered pricing plans for access packages. They will give you an account for $5 a month, they will let you host and post pictures for an additional $5 a month, they will let you use the invite function for another fee and so on. (those are theoretical by the way - I don't work for FB and my name isn't Mark Zuckerberg)

 

[BigPete]

When the SEC gets ahold of JP Morgan, Morgan Stanley and Goldman Sachs there is going to be some severe penalties. They cut the earnings forcast in the middle of the IPO. Some of the "larger" investors were most definitely at a disadvantage. tsk tsk tsk.....

Because their computers told them so...?

 

[BigPete]

NASDAQ screwed up some of the large individual investments and never sent a confirmation back so many of the large funds double bought the orders and now there will be litagation with NASDAQ for the screw up, but what it DID do? Inflated the price because of the error.

So the price right now is actually more like $16 a share? WOW!

 

[R K]

Because their computers told them so...?

Thats not how I read it.



http://finance.yahoo.com/blogs/daily-ticker/facebook-bankers-secretly-cut-facebook-revenue-estimates-middle-133648905.html;_ylt=AiNHTrcbFa2U._hCC_cmHXmiuYdG;_ylu=X3oDMTNyOTExNTgxBG1pdANGUCBUb3AgU3RvcnkgTGVmdARwa2cDYTgxZmJkOWYtODVmZC0zMWNiLWI4ODAtOGEyZjllY2ZiYTkyBHBvcwMxBHNlYwN0b3Bfc3RvcnkEdmVyAzViN2EyZjEwLWE0MTgtMTFlMS05NmY2LTVhMTNiMDVhOTBiMg--;_ylg=X3oDMTJmZ2I0NTZoBGludGwDdXMEbGFuZwNlbi11cwRwc3RhaWQDBHBzdGNhdANob21lBHB0A3NlY3Rpb25zBHRlc3QDTWFya2V0VXBkYXRlX0Fib3ZlX0xSRUM-;_ylv=3

 

[R K]

According to Reuters, the underwriter analysts cut their estimates after Facebook issued an amended IPO prospectus in which the company mentioned, vaguely, that recent trends in which users were growing faster than revenue had continued into the second quarter.

To those experienced in reading financial statements, this language was unnerving, because its mere existence could have been taken to mean that Facebook's revenue in the second quarter wasn't coming in as strong as Facebook had hoped (why else would the language have suddenly been added at the 11th hour?)

 

[BigPete]

Thats not how I read it.



http://finance.yahoo...X0xSRUM-;_ylv=3

No, I meant that 'someone' at the big firms setting future earnings forecasts undercut the price and THEN computers advising the market on what to set the price at FUBARd.

 

[MassHavoc]

Once Facebook tells everyone how it is going to make MORE money than it already does, they will be very interested. There are several 'secret' plans on how they will gain new streams of revenue. One plan is that they will start offering tiered pricing plans for access packages. They will give you an account for $5 a month, they will let you host and post pictures for an additional $5 a month, they will let you use the invite function for another fee and so on. (those are theoretical by the way - I don't work for FB and my name isn't Mark Zuckerberg)

hahah secret plans, then you go on to quote internet hoaxes.

 

[supraman]

Once Facebook tells everyone how it is going to make MORE money than it already does, they will be very interested. There are several 'secret' plans on how they will gain new streams of revenue. One plan is that they will start offering tiered pricing plans for access packages. They will give you an account for $5 a month, they will let you host and post pictures for an additional $5 a month, they will let you use the invite function for another fee and so on. (those are theoretical by the way - I don't work for FB and my name isn't Mark Zuckerberg)

And people will bail from facebook likes rats on a sinking ship. Google will just smile as all the FB users migrate to Google+

 

[BigPete]

hahah secret plans, then you go on to quote internet hoaxes.

This hoax?



http://www.snopes.com/computer/facebook/fbcharge.asp



Do you really think they won't do it? Or that they wouldn't deny that they are thinking about doing it, just prior to an IPO launch?



I guess we will have to wait and see. I don't see why the notion is so outlandish. I pay for my Yahoo account and have for years.

 

[BigPete]

And people will bail from facebook likes rats on a sinking ship. Google will just smile as all the FB users migrate to Google+

And so begins the hot potato that is the free market. "We can beat any price in town!" Until the next firm comes along and recycles that slogan. (I am not bashing free enterprise here, just stating the facts)

 

[MassHavoc]

HAHAHAHAHAHA you pay for Yahoo, hahahaha

 

[TSD]

Once Facebook tells everyone how it is going to make MORE money than it already does, they will be very interested. There are several 'secret' plans on how they will gain new streams of revenue. One plan is that they will start offering tiered pricing plans for access packages. They will give you an account for $5 a month, they will let you host and post pictures for an additional $5 a month, they will let you use the invite function for another fee and so on. (those are theoretical by the way - I don't work for FB and my name isn't Mark Zuckerberg)

Once people have to pay for existing features on facebook, that will be the death of it. I don't know about you but I aint payin for a damn facebook account.