Are you going to buy stocks in Facebook?

[AsherO]

bought AAPL last Dec too...

Still holding?

[PlatinumGuy]

I think so, but you might want to get some professional advice

$100B is a huge amount of money, even for Apple (which, mind you, is planning to cut their cash holdings by starting to pay a dividend) and for sure for Google.

A public company is not meant to hoard cash. They are giving very minimal dividends. Now, I'm not saying Apple TV or so isn't a better investment, but that cash is meant to be used.

[YudiG]

bought AAPL last Dec too...

ok but id be wary of social media...why not take the profit and move into something lucrative and proven..if you like risk try GRPN which as at all time lows and has been releasing new products to attract users and business

[PlatinumGuy]

ok but id be wary of social media...why not take the profit and move into something lucrative and proven..if you like risk try GRPN which as at all time lows and has been releasing new products to attract users and business

How do you think GRPN is gonna make[/b]money?

[AsherO]

A public company is not meant to hoard cash. They are giving very minimal dividends. Now, I'm not saying Apple TV or so isn't a better investment, but that cash is meant to be used.

Ok, but you expect AAPL (whose profits are mostly from hardware) to bet every last penny on facebook, c'mon.. They have a working business model, they need to focus on what's working.

ok but id be wary of social media...why not take the profit and move into something lucrative and proven..if you like risk try GRPN which as at all time lows and has been releasing new products to attract users and business

GRPN is closer to social media than AAPL is.

How do you think GRPN is gonna make[/b]money?

In the long term, they won't. Unless they completely refocus and overhaul their business model.

[smart brit]

Grpn there business model is useless imo they should have accepted the offer from Google and laugh all the way to the bank

[AJK]

Grpn there business model is useless imo they should have accepted the offer from Google and laugh all the way to the bank

 

GOOG offered to buy them at $ 6 bn.

GRPN's IPO valued them at $12.7 bn.

They did laugh all the way to the bank, making more than $2 for every $1 GOOG offered.

[smart brit]

If u take into account how much they are worth now and how many shares the insiders own I'm not sure they are so much better off

[smart brit]

Going a little off topic
But curious what u guys think on the mark z hoodie argument?

[AJK]

If u take into account how much they are worth now and how many shares the insiders own I'm not sure they are so much better off

Even at today's price, GRPN is still better off by about 30 percent as compared to GOOG's offer.

[AsherO]

Even at today's price, GRPN is still better off by about 30 percent as compared to GOOG's offer.

The IPO only raised an additional $700M I wanna see all the insiders sell their shares without the stock tanking much more than 30%, then consider the fact that the insiders only own a fraction of the outstanding shares. I'm not saying you're outright wrong, but it clearly isn't so simple.

Back on topic, here's another scary thing about FB, and a reason I'd be wary of holding their stock long term at any price:

http://www.forbes.com/sites/danbigman/2012/05/23/facebook-ownership-structure-should-scare-investors-more-than-botched-ipo/

[PlatinumGuy]

Going a little off topic
But curious what u guys think on the mark z hoodie argument?

Dunno what it is

[HelpMe]

Back on topic, here's another scary thing about FB, and a reason I'd be wary of holding their stock long term at any price:

http://www.forbes.com/sites/danbigman/2012/05/23/facebook-ownership-structure-should-scare-investors-more-than-botched-ipo/

...and how is Google set up?

[Yeki89]

last closed  at 31.91

[Shmelly]

... And now down another 10%. Still overvalued, but the dead cat bounce will be enormous.

[AsherO]

... And now down another 10%. Still overvalued, but the dead cat bounce will be enormous.

I wouldn't buy hoping for that, considering that we don't know how much it'll fall before the bounce...

If it doesn't go up (above $32) for the next ~80 days, then it'll tank when the lock-in period ends for shareholders that have one.

[HelpMe]

Have they open options trading yet? That will be fun to watch.

[AsherO]

Have they open options trading yet? That will be fun to watch.

They have already, and it's all over the place.

[HelpMe]

They have already, and it's all over the place.

Ooch!

--Facebook options open with record volume

--As in the initial share offering, options trading points to a bearish bias

--Largest bet sees stock falling to as low as $25 a share by July 21

[AsherO]

--Largest bet sees stock falling to as low as $25 a share by July 21

I wouldn't be surprised if this bet pays off, or close to it.