Facebook - IPO

hows that working out....

s

 

"The stock market.........

a legal venue for a banksta and his crew to dump an over hyped IPO at triple the value to a group of retail muppets.”

s

 

That's what the greeks keep telling the bondholders.
Caveat emptor, bitches!

 

May 31, 2012

SouthAmerica: I never whined on my postings about the Facebook IPO.

I have been warning people for a long time that all they were buying regarding the Facebook IPO it was a bunch of hype and nothing else.

But don't forget that if people had common sense then half of Wall Street would be out of business – they need to keep the illusion going a little longer until the house of cards have another major collapse.

Today, the financials of most large banks in the old USA are not good even to use it as toilet paper, never mind invest on these bankrupt Zombie organizations.

Wall Street needs these fools and suckers to keep the game going another day.

Today, Wall Street is based on a Ponzi scheme and the foundation of this massive Ponzi scheme has been built on top of quicksand.

The global banking system is at the edge of the abyss, and we would have a massive global financial meltdown, if they were not trying to play games with the figures, and trying very hard to hide their massive losses the best way they can.

I have no idea who is in the other side of these derivatives with a notional amount outstanding of US$ 730 trillion US dollars as reported by the Bank for International Settlements.

The derivatives market is an unregulated market that is in automatic pilot, and since the financial meltdown in September/October 2008 when the entire global financial system was collapsing – at that time the total outstanding notional amount of all derivatives rose from $673 trillion at June 30, 2008 to $708 trillion at June 30, 2011 – and to the latest estimated figure of US$ 730 trillion dollars as of December 31, 2011.

“Derivatives” and “Credit Default Swaps” is very important for people to grasp what is behind the latest estimate figure of US$ 730 trillion dollars “derivatives nuclear weapon” market that can explode at any time resulting in a catastrophic meltdown of the global economy.

What this US$ 730 trillion dollars figure is telling me is that most of the derivatives is nothing more than a humongous “Ponzi Scheme” that can blow up at any time and start a massive chain reaction that can destroy the entire global financial system – it will be remembered as: the mother of all financial meltdowns.


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Facebook will never Trade single digits

Mark the floor against me!

I say low mid 20's.......... all time low

 

I don't know how much cash Facebook has right now - with the cash that they raised on the IPO they actually can buy a company with actual products, and a real demand for their products.

Depending on what Facebook does with their cash, then the market will be able to come up with a more realist valuation of its shares.

In the meantime Facebook stock is worth the amount of cash that they have right now.

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May 31, 2012

SouthAmerica: Here is an example of “Goldman Sachs the Pillage People” setting up the trap for their latest scam – one and half years ago these scam artists were already valuing Facebook stock at US$ 50 billion dollars (Based on a lot of hype, and nothing else.)


*****


Goldman Sachs chief on 'attractive' Facebook investment – BBC - January 10, 2011
http://news.bbc.co.uk/2/hi/programmes/hardtalk/9354083.stm

...At the beginning of 2011, Goldman Sachs announced it was investing $450m (£290m) into the social-networking company Facebook. This reported deal gives Facebook a valuation of $50bn (£32bn). Is the company worth such an amount? Concerns are already being raised of a new dotcom bubble.

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June 16, 2012

SouthAmerica: On May 18, 2012 Facebook went public at US$ 38 per share, in the few minutes after the IPO started trading the stock reached US$ 45 per share and after that the stock has been heading south until June 4, 2012 when the Facebook stock reached US$ 25 per share – since then some fools have been buying some Facebook stock and the stock closed at US$ 30 per share on June 15, 2012.

It is obvious to me that the fools who bought the Facebook stock are completely clueless about what is happening with Facebook, and I am sure they don't use that social networking website.

If these fools who think that they made a good investment had any idea of what they really bought, then the Facebook stock it would be trading in the range of US$ 3 to US$ 4 per share.

Even at that price which would give a market cap valuation of around US$ 10 billion that stock it would be overvalued based on what Facebook has become – nothing more of a dying empty shell.

Until few months ago the Facebook members had a Facebook wall where you could see all the postings that you had made on Facebook since you opened your account.

All your postings where there on your FB wall listed in descending order as you had posted on Facebook.

On April 2012 Facebook made it official that its new “Timeline” feature went from being “optional” to “mandatory” for everyone.

In plain English: they turned your old Facebook wall into a “Timeline” piece of shit.

Basically, Facebook destroyed their product when they transformed their members account from a “Wall” to this “Timeline” crap.

When they did this change to my account I lost most of my postings that I had made to my Facebook wall in the last 4 years.

For the people who don't use Facebook a good analogy is: Facebook was a “BMW” when they had the Facebook “Wall”, and they turned it into a Ford Edsel when they became a “Timeline.”

A Ford Edsel still is too good to represent what the Facebook “Timeline” turned Facebook into after the new “Timeline” feature went from being “optional” to “mandatory.”

A better picture of what happened at Facebook is: Facebook was a “BMW” when they had the Facebook “Wall”, and they turned Facebook into a “Yugo” the Yugoslavian car when they transformed their members account from a “Wall” into this “Timeline” crap.


Here is a visualization of what Facebook used to be when they had the Facebook “Wall”:


Facebook “Wall” = BMW

<iframe width="560" height="315" src="http://www.youtube.com/embed/Ni4HJcHDrNQ" frameborder="0" allowfullscreen></iframe>



*****



Here is a visualization of what Facebook bacame after Facebook forced on its members the new “Timeline” feature, and this new piece of garbage went from being “optional” to “mandatory”:


Facebook “Timeline” = Yugo

<iframe width="420" height="315" src="http://www.youtube.com/embed/tgG8K86wK2o" frameborder="0" allowfullscreen></iframe>



Review: Facebook “Timeline” = Yugo
http://www.time.com/time/specials/2007/article/0,28804,1658545_1658533_1658529,00.html


*****


In a nutshell:

When Facebook changed in April 2012 from having the original Facebook “Wall” format for its members, and made the new “Timeline” feature from being “optional” to “mandatory” - that was the turning point when Facebook website self destroyed, and became irrelevant and obsolete overnight.

The people who created the Facebook website has managed to destroy their product with one silly change to their product; with one change Facebook went from being an interesting new useful product, a new social networking tool, and they transformed it into a new obsolete piece of garbage and the new Ford Edsel, the Yugo, and another good idea that turned sour overnight in the internet.

I reduced drastically the amount of time that I used to waste on Facebook, and many of the people of my circle of friends at Facebook are doing the same.

When Facebook changed its format from a “Wall” to a “Timeline” for all practical purposes they killed their business model, and you will see that reflected on the Facebook financial results in the coming quarters and years.

Today, Facebook is worth only the amount of cash that they have on their balance sheet, other than that Facebook is just an empty shell and nothing else...just another good idea that turned sour overnight in the internet.

The smart money already cashed out of the Facebook stock – and only the fools are left behind holding the bag, and thinking that they have a good investment with any future.

As soon as the quarterly financial results start reflecting what is left of the current Facebook business model, then in no time that stock will collapse and will be trading around a more realist range of US$ 3 to US$ 4 per share.

If you own some Facebook stock today, then read this posting and keep a copy of it with your records of your Facebook stock holdings just as a reminder that you had the chance to sell your Facebook stock for around US$ 30 per share instead of riding the stock all the way down to US$ 3 per share.

If you bought some Facebook stock during the IPO or since that time, then we already have established that you are a fool and a sucker, but if you decide to hold this stock instead of getting out of it and try to minimize your losses – then besides of being a fool and a sucker you are also a Jackass and stupid.

The Facebook hype is behind us and the smart money has already cashed out of Facebook stock.

Now the Facebook reality is going to slowly sink in over time, and Facebook stock should decline all the way down to about US$ 3 per share.

Anyway, the Facebook subject makes it a nice piece of conversation, and it has proved once more that the world of Wall Street is full of suckers and fools, and it doesn't matter how many times these fools and suckers lose their shirt, they always come back for more and Wall Street screw them over and over again.


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Ok, just for the sake of this thread, I will be long FB with Monday's open and will make at least 20% by year's end or earlier...

 

Real money or another paper trade?

http://www.elitetrader.com/vb/showthread.php?s=&threadid=113413&perpage=30&pagenumber=1