NA: Who is buying Facebook stock today?
- Thread starter Badger
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PBristolJr
Line Up and Wait
I foresee a massive pump and dump. It'll also be hard to get your hands on shares today if you're not a heavy hitter 
gkainz
Final Approach
Heard on the radio this morning "Facebook's going public because even they can't figure out their own privacy settings."
N747JB
Final Approach
I'm not, I have bankrupted several companies just by buying a few shares!
I am no stock expert and while I use Facebook, I don't see the huge value in the company, again I am no expert. Wasn't MySpace the big deal 5 years ago? GM pulled it's ads from Facebook, Ford is upping it's spending, I am not sure if people look at or pay attention to advertising on social pages, or news pages for that matter.
I think the real value for Facebook is in selling peoples information
When people feel like they are being used, they will stop using it and switch to the next big thing, which I only wish I was smart enough to invent.
I am no stock expert and while I use Facebook, I don't see the huge value in the company, again I am no expert. Wasn't MySpace the big deal 5 years ago? GM pulled it's ads from Facebook, Ford is upping it's spending, I am not sure if people look at or pay attention to advertising on social pages, or news pages for that matter. I think the real value for Facebook is in selling peoples information
When people feel like they are being used, they will stop using it and switch to the next big thing, which I only wish I was smart enough to invent. 
Badger
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Badger
LOL, I always thought posting ANYTHING on the internet and privacy were contradictory.
Threefingeredjack
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Threefingeredjack
I foresee a massive pump and dump. It'll also be hard to get your hands on shares today if you're not a heavy hitter
This is a typical performance curve for IPOs. There will be a massive buy, and then the whales will try to time their sales before the rush is over. I do not plan to buy very soon if ever. I think in a year or so we will have a better look at their financial performance stripped of all the hype.
Let'sgoflying!
Touchdown! Greaser!
I am going to make you all rich on stocks.
Just call, find out what I am doing - then do the opposite.
Just call, find out what I am doing - then do the opposite.
poadeleted21
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I foresee a massive pump and dump. It'll also be hard to get your hands on shares today if you're not a heavy hitter
Why wife logged in, bought some.. Logged out. I think it was her first stock buying experience ever.
Let'sgoflying!
Touchdown! Greaser!
Facebook makes the majority of their income off advertising.
I have watched my page for months and have yet to see an ad.
Maybe they know how chintzy I am?
I have watched my page for months and have yet to see an ad.
Maybe they know how chintzy I am?
Ghery
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Ghery Pettit
Article on CNBC.Com indicates that it's back to trading where it opened. Glad I followed Cramer's advice and skipped it today.
Anymouse
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Total Stud Bush Pilot
I was thinking about buying some LEAP Puts. Not sure if they're offering options or not though. Haven't cared enough to research it.
John Baker
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I played in the market for about eight or so years before the crash. I had built up a fairly decent portfolio through Edward Jones. They had a program where I could spend a thousand a month and buy blue chip stocks, such as Proctor & Gamble. I ended up with several thousand shares of PG after a split. I tried making my own selections but for the most part, barely broke even. I had an interest in about twenty assorted companies.
I, to this day, do not know how I did it, but the morning before the crash, when everything was rosy in the market, I woke up convinced that I had to sell everything.
When I got to work, I called Edward Jones and told them to do it. The broker argued vehemently with me about not taking such a drastic step when the market was doing nothing but climbing. I was adamant, so he did it.
My CPA was convinced that I had some inside knowledge and was totally pi*sed of at me for not warning him. He lost a bundle.
I still maintained a cash money market account at E.J. so I continued to get monthly statements. Their statements consisted of numerous pages, so I would just check in a few of them to check on my cash, which was growing. Then about six months later I noticed I had quite a few shares in two different mutual funds, that were now worth less than half of when I gave the sell order.
I called E.J. and he said I was foolish to sell them. I told him to keep them, but I expect a check for the full amount they were worth when I told him to sell. It took a while, but they did pay me their full value. I closed all accounts. That money took my business and me through the worst of the collapse.
No, I won't be buying any stock. Based on that, Facebook should be worth about six hundred dollars a share by the end of the year. If I change my mind and buy some, Facebook should be a penny stock by the end of the year.
-John
I, to this day, do not know how I did it, but the morning before the crash, when everything was rosy in the market, I woke up convinced that I had to sell everything.
When I got to work, I called Edward Jones and told them to do it. The broker argued vehemently with me about not taking such a drastic step when the market was doing nothing but climbing. I was adamant, so he did it.
My CPA was convinced that I had some inside knowledge and was totally pi*sed of at me for not warning him. He lost a bundle.
I still maintained a cash money market account at E.J. so I continued to get monthly statements. Their statements consisted of numerous pages, so I would just check in a few of them to check on my cash, which was growing. Then about six months later I noticed I had quite a few shares in two different mutual funds, that were now worth less than half of when I gave the sell order.
I called E.J. and he said I was foolish to sell them. I told him to keep them, but I expect a check for the full amount they were worth when I told him to sell. It took a while, but they did pay me their full value. I closed all accounts. That money took my business and me through the worst of the collapse.
No, I won't be buying any stock. Based on that, Facebook should be worth about six hundred dollars a share by the end of the year. If I change my mind and buy some, Facebook should be a penny stock by the end of the year.
-John
Fearless Tower
Touchdown! Greaser!
Actually, worse than that.
IPO price was set at 38, but the first public trades started at around 40 and then after a little up and down it settled out and closed at 38.23.
Lot of hype - glad I avoided it.
denverpilot
Tied Down
All IPOs are a sucker's game on the opening day unless you're an insider, and even then, you're blacked out from selling for a while.
Once the financials are seen, Zuckerberg will probably be fired by the Board in a year or two. He probably planned it that way. Maybe three. They'll announce that he's "pursuing other interests".
He can't get along with anyone. And the massive growth is over. Not a good combo.
The original venture investors will be clamoring for the stock price to rise and selling off chunks as their blackout dates pass.
This IPO is about exchanging institutional investors stuck in retirement plan's money for the liquid capital investor's money so they can cash out.
Would have to go read the red herring to see what numbers are going to be the problematic ones. Employee benefits will be chopped in about two years, and a re-org/"right sizing" will happen. This is all a common tactic. Especially in tech.
The big question is, can their natural growth (more users) and ability to convince advertisers that anyone pays any attention to the ads, outstrip the amount of capital from venture capitalists that needs to be recovered. In vs. Out. If enough people buy in, the venture folks not only get paid back but stand to make a profit. If not enough, reality hits and the company starts tightening their belt massively. Crap shoot.
Add-ons like Zynga that have multiplied their growth are moving to models that direct sell and don't need FB as the payment processing middleman for their in-game purchases, etc.
That's exactly why Apple added in-App purchases to their iTunes store technology. They're the middle man on an increasing number of sales.
Lots of fundamental problems but like someone else said, let's see the financials first. Others may find the risk worth it. Not I. There's nothing to base fundamentals on. It's purely speculative right now. No better odds than betting on baseball in Vegas.
Once the financials are seen, Zuckerberg will probably be fired by the Board in a year or two. He probably planned it that way. Maybe three. They'll announce that he's "pursuing other interests".
He can't get along with anyone. And the massive growth is over. Not a good combo.
The original venture investors will be clamoring for the stock price to rise and selling off chunks as their blackout dates pass.
This IPO is about exchanging institutional investors stuck in retirement plan's money for the liquid capital investor's money so they can cash out.
Would have to go read the red herring to see what numbers are going to be the problematic ones. Employee benefits will be chopped in about two years, and a re-org/"right sizing" will happen. This is all a common tactic. Especially in tech.
The big question is, can their natural growth (more users) and ability to convince advertisers that anyone pays any attention to the ads, outstrip the amount of capital from venture capitalists that needs to be recovered. In vs. Out. If enough people buy in, the venture folks not only get paid back but stand to make a profit. If not enough, reality hits and the company starts tightening their belt massively. Crap shoot.
Add-ons like Zynga that have multiplied their growth are moving to models that direct sell and don't need FB as the payment processing middleman for their in-game purchases, etc.
That's exactly why Apple added in-App purchases to their iTunes store technology. They're the middle man on an increasing number of sales.
Lots of fundamental problems but like someone else said, let's see the financials first. Others may find the risk worth it. Not I. There's nothing to base fundamentals on. It's purely speculative right now. No better odds than betting on baseball in Vegas.
RogerT
Cleared for Takeoff
I personally think it will go up from it's open, then in a few days settle back, but my track record is pretty poor.
Anyone buying Facebook?
Not me. Only ones who'll ever make money on it are the employees who've been in it from the start and are selling their shares.
Old Geek
Pattern Altitude
I think I'll get more happiness and satisfaction buying a new airplane battery instead.
Jay Honeck
Touchdown! Greaser!
I read in Bloomberg today an amazing statistic: The volume of stock trading is down nearly 50% since 2008.
50%!
I guess that's what happens, when virtually EVERYONE gets fleeced.
50%!
I guess that's what happens, when virtually EVERYONE gets fleeced.
N2124v
Line Up and Wait
Stock trading is legalized gambling. I've played on and off for years and have made some good money doing it, but it really is a crapshoot.
Well it held even (up .23). At least they didn't pull a Vonage which lost a quarter of it's value the first day (and there's town to about 10% of the IPO price now).
Trying to game market timing on the short term is GAMBLING. Smart investing in stocks isn't chasing such things.
Trying to game market timing on the short term is GAMBLING. Smart investing in stocks isn't chasing such things.
rpadula
En-Route
I personally think it will go up from it's open, then in a few days settle back, but my track record is pretty poor.
Anyone buying Facebook?
I wouldn't buy it with your money.
Anthony
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Anthony
This!!!
There is a reason Zuckerberg sold it now. It is down almost four points from its opening price.
rpadula
En-Route
Anybody here read Zerohedge? It's a little bit like reading the Enquirer, with a decent dose of conspiracy-theory thrown in, but the nuggets are awesome.
http://www.zerohedge.com/news/peakbook
http://www.zerohedge.com/news/facebook-complete-forensic-post-mortem
http://www.zerohedge.com/news/facebook-under-38-artificial-underwriter-support-ends
http://www.zerohedge.com/news/few-more-facebook-numbers
Threefingeredjack
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Threefingeredjack
My father, who at 85 is still active in his investment career, (and whose historical record is nothing short of amazing), and I were talking about this particular IPO, and he thought it might flutter around the initial offer for a few days before seeking a more realistic price. I don't think anyone in their right mind who is looking for a stable investment long term will buy this dog and pony show until several quarters of actual earnings have been reported, and verified.
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Snorting his way across the USA
For those who have bought some, this thread should probably be moved to "Lessons Learned."
Badger
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rpadula
En-Route
wsuffa
Touchdown! Greaser!
Concur. Look at the business premise & the overall market. Even if one posits that this technology is as transformational as Ma Bell was at it's founding, the source(s) of revenue is different - and Ma Bell didn't start at this kind of valuation. It grew over time. I don't believe the valuations will sustain (see, for example, AOL and TimeWarner....). You can't tell me that this company - as it sits today - is worth more than so many other companies in the public market.
Anthony, if this IPO is like a typical IPO, he may have taken some monney off the table, but the largest part of his holdings will still be in stock. Most likely, there's a lockup preventing the sale of the bulk of his shares.
No, it's what happens when Wall Street makes a security out of a commodity like gold which just sits in vaults ready to be leveraged into the next big thing.
denverpilot
Tied Down
Zuckerberg will sell quarterly chunks over time, probably via a Trust for himself, his wife, and additional Trusts for any future children. Tax attorneys will set up the most favorable sale dates.
rpadula
En-Route
Well, that didn't take long:
http://www.reuters.com/article/2012/05/23/us-facebook-lawsuit-idUSBRE84M0RK20120523
More here: http://www.reuters.com/article/2012/05/23/us-usa-markets-facebook-idUSBRE84L0PE20120523
http://www.reuters.com/article/2012/05/23/us-facebook-lawsuit-idUSBRE84M0RK20120523
Facebook Inc and banks including Morgan Stanley were sued by the social networking leader's shareholders, who claimed the defendants hid Facebook's weakened growth forecasts ahead of its $16 billion initial public offering.
If you can't tell who the patsy is at the game, it is you.
More here: http://www.reuters.com/article/2012/05/23/us-usa-markets-facebook-idUSBRE84L0PE20120523
Dr. O
Pattern Altitude
In ten years you will be saying, "Remember Facebook?"
It is a tech bubble... The innovators and insiders and the money investors that backed the IPO will make billions... Everyone else gets screwed... And Facebook which has no real product, just the habits of bored people, will vanish the instant something else more exciting to bored people comes along...
The stock market is a zero sum game... What it means is that YOU end up with zero and the slicksters end up with your money...
PT Barnum correctly noted that, "There is One born every minute."... By One he meant stock market investor...
Yeah, I made some money in the market over a period of 30 years - actually a lot of money... Made it because I understood it was three walnut shells and a pea on a street corner folding table... So I bet against the market - always... I knew that 'what everyone knows' is wrong... However over the past 4 years the market has become even more rigged till not even a contrarian like me can beat the system... The slicksters pulling the strings can (and do) drop information onto the internet (anonymously) that jacks a corporations net worth up or down 10, 15, 20, percent in a day...
Now stop and think about a company that makes steel widgets... Yesterday their contracts for delivery to Wally World, factory buildings, machinery, parts in process, delivery trucks, and finished widgets sitting out on the shelves in the hardware stores were worth 1 Billion dollars... The slicksters float a story that the President of the corporation was caught in a motel with an underage girl (they sold short two days before)... The next day the market opens and the corporation has lost 15% of it valuation making the slicksters 150 million dollars overnight... Yet the price of steel went up a half percent overnight making the finished parts in the stores worth slightly more, the value of the factory and machinery did not fall, and the contracts for delivery to Wally World are still in force and the factory is running 6 days a week to fill them... So how did the company lose 15% of it's net worth?
Answer: It didn't - but YOU did....
If you want to gamble your money in a system that is rigged against you, come to my place and play cards for money... I'll happily take it...
My money is now in dirt - farm land - and the market and the slicksters can go whistle...
It is a tech bubble... The innovators and insiders and the money investors that backed the IPO will make billions... Everyone else gets screwed... And Facebook which has no real product, just the habits of bored people, will vanish the instant something else more exciting to bored people comes along...
The stock market is a zero sum game... What it means is that YOU end up with zero and the slicksters end up with your money...
PT Barnum correctly noted that, "There is One born every minute."... By One he meant stock market investor...
Yeah, I made some money in the market over a period of 30 years - actually a lot of money... Made it because I understood it was three walnut shells and a pea on a street corner folding table... So I bet against the market - always... I knew that 'what everyone knows' is wrong... However over the past 4 years the market has become even more rigged till not even a contrarian like me can beat the system... The slicksters pulling the strings can (and do) drop information onto the internet (anonymously) that jacks a corporations net worth up or down 10, 15, 20, percent in a day...
Now stop and think about a company that makes steel widgets... Yesterday their contracts for delivery to Wally World, factory buildings, machinery, parts in process, delivery trucks, and finished widgets sitting out on the shelves in the hardware stores were worth 1 Billion dollars... The slicksters float a story that the President of the corporation was caught in a motel with an underage girl (they sold short two days before)... The next day the market opens and the corporation has lost 15% of it valuation making the slicksters 150 million dollars overnight... Yet the price of steel went up a half percent overnight making the finished parts in the stores worth slightly more, the value of the factory and machinery did not fall, and the contracts for delivery to Wally World are still in force and the factory is running 6 days a week to fill them... So how did the company lose 15% of it's net worth?
Answer: It didn't - but YOU did....
If you want to gamble your money in a system that is rigged against you, come to my place and play cards for money... I'll happily take it...
My money is now in dirt - farm land - and the market and the slicksters can go whistle...
Greebo
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Retired Evil Overlord
Translation: It's Facebook's fault we financially followed them faithfully with fanatic frenzied fervor and failed.
rpadula
En-Route
You left out one important F-word that is probably being uttered more than those!
FOOL!
wsuffa
Touchdown! Greaser!
Took longer than I expected it would. Class actions are usually announced within hours of an M&A announcement
rpadula
En-Route
Takes one to know one!
Takes one to know one!
EXACTLY!!! By not denying it, I can guard against it. A person that won't recognize or admit that he too is a fool is damned to always be played for the fool. The difference between the 80% and the 20% is the 20% know they're stupid so they can recognize stupid things and not do them.
