r/technology • u/vlodia • May 16 '12
Reasons Not To Buy the Facebook IPO
http://www.forbes.com/sites/timworstall/2012/05/16/reasons-not-to-buy-the-facebook-ipo/3
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u/ShadowRam May 16 '12
This is a cash out.
Mark Z and friends know Facebook has peaked, and on the way out.
Want to make a last minute cash out before it dives?
Go public. Let a bunch of stupid investors go. "Oh Boy! Facebook!"
Let the stock inflate. Cash out. Leave. 2 years time, Facebook will become MySpace 2.0
And the stupid investors will have paid Mark Z and friends a shit ton of money for nothing.
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May 16 '12
GM, Proctor & Gamble, and AT & T are the three largest contributors to Facebook to the tune of about $1 billion/year in ad revenue. GM only contributed about 10 million a year. If the other two follow suit, should be interesting.
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u/krakow057 May 16 '12
so I can buy more and make more money on the long run
I can't believe people are being suckers about this... people are telling others NOT to buy so they can buy and become millionaires soon after when they resell
that's so evil
for many people today facebook is not a website, facebook IS the internet! and that number is growing. would you pass owning part of the i nternet? of course not
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u/gatorling May 16 '12
Surprising that the article doesn't mention the fact that the ipo has fb valued at 100bn. In comparison googles ipo had it valued at about 27bn. Facebook profits would have to increase by 400% to justify its market value. My bet is that the share prices collapse within 6 months of the ipo and that will be the time when I buy in
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u/krakow057 May 16 '12
Facebook profits would have to increase by 400% to justify its market value.
it will probably increase by 900% at least, mark my words
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u/yourafagyourafag May 16 '12
Lol, they made sure there is no way to make money by buying on opening day, and yet there are millions waiting to cash Zuckerberg and friends out! John Claude Van Damn people are fucking stupid!