OT-Facebook Robbery?

I have just ran across some articles on the Facebook stock scenario. It seems as if the underwriters walked away with $100,000,000.
Once again trusting people, the get rich quick
types, lost a ton of money. Oh well no one can be held accountable as usual.

The old adage is, a fool and his money are soon parted.

Anybody that thought they could make a plug nickle off that IPO, with the way it was being hyped, deserved what they got.

Maybe people will be more careful in the future, but probably not.

I don't thimk it is so much as trust being violated .More like gamblers risking money on a stock the any wall street guy would have told you was opening at a way overvalued price. This was a known fact. Some peolpe just can't resist gambling on an IPO despite being forewarned. The individual stock investor is the gambler that made that choice and is the one who should be held accountable. Nobody forces you to buy stock . Stocks are always a gamble. I'm clueless as to how some dumb thing like Facebook makes a penny to begin with. What is their product or value anyway? Seems to me to be zero.

(quoted from post at 15:16:43 05/29/12) I don't thimk it is so much as trust being violated .More like gamblers risking money on a stock the any wall street guy would have told you was opening at a way overvalued price. This was a known fact. Some peolpe just can't resist gambling on an IPO despite being forewarned. The individual stock investor is the gambler that made that choice and is the one who should be held accountable. Nobody forces you to buy stock . Stocks are always a gamble. I'm clueless as to how some dumb thing like Facebook makes a penny to begin with. What is their product or value anyway? Seems to me to be zero.

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I don't see anything wrong in the underwriters getting the money. The total offering was in the BILLIONS. So the $100,000,000 could easily be a 7-10% fee.

It is too easy to throw rocks at numbers that are so big that you don't have a context to compare them to. I have over 1000 head of cattle on the farm right now. So compare my feed bill with the guy who has two steers in his shed feeding them out. It is a daily number he would not believe.

The people crying that they lost money where just greedy and did not do their homework. I don't see how Face book is ever going to generate much money. I just started using it a little in Feb. I don't see any pop up ads or anything. So how does the site generate anything?????

They must have advertising some where but I have not seen it. If you have been paying attention you would have heard that GM dropped all their Face book's ads earlier this year. Gm had the data that showed that the majority of Face book users where using mobile devices to access Face book. These people where not responding to the ads. I have read other advertising studies that mobile users are a very fickle bunch and that ad time is largely wasted on them.

I think that Face book's IPO was just a abundant Nerd getting rich. I think that in the real Corp. world the company will go bust. They just don't have a good revenue stream.

Whats to be accountable for? The underwriters perform a service- you want to do an IPO, they'll set it up for you, for a fee. Auctioneer still makes his money, even if you take a bath auctioning off your stuff.

From what I've read, there were some goofs involved and now there are lots of suits being filed.

People bought stock in what? a web site where people post pictures of themselves drinking beer straight from the keg and gossip about trivial nonsense. Of course the big boys made plenty of jack off the average rube, anyone remember that famous PT Barnum quote? I just hope that the good ole US tax payers don't have to bail out all the idiot ''victims'' who are going to lose their shirts.

People that know stocks didn't play the Facebook game to buy and hold, it was overvalued from the start. Some bought it because it's a popular company and the liberals that use it like it so much they wet themselves every time they think about it. I admit some of the privileged bought Facebook thinking they could dump it on unknowing people that just want to own Facebook for emotional reasons and make a buck. I think you're seeing a bunch of whining because some of the stock tycoons bought Facebook and weren't able to dump it on the unwashed masses at a profit so now they are stuck with a overvalued stock with no revenue and want the government to bail them out.

"The people crying that they lost money where just greedy and did not do their homework."

BINGO!! There were people begging to get in the "deal". That was why the selling group kept upping the amount of shares available, and the price along with it.........those days of "free money" are long gone.

Wonder how many folks want to get in on it now...even with the huge discount!

Yeah, kind of reminds me of the dot com bust from about 10 years ago, where we learned the hard lesson that a company isn't worth jack, if it can't come up with a way to make money. Just having a popular site won't get it, especially if the site is free like Facebook. And therein lies the rub- people have just shown no inclination to pay for this kind of stuff. If its free, they love it; if they gotta pay, they bolt to "the next big thing".

Microsoft stock went wild after their IPO, because they not only had a product to sell (the PC operating system), but they had pretty much cornered the market on it, to boot.

Supposedly, brokers gave their biggest clients "inside information" to dissuade them from buying- what was the inside information, "this is the most ridiculous IPO in the history of mankind, and I wouldn't touch it with a ten foot pole?" When does common sense become inside information?

i lost over half of my stock in the phone company, thank's to joe nacchio,,i sure wouldn't play the stock market with a stupid computer name that doesn't do any thing for me...never looked on face-book to read about the stupid stuff that i can watch on home videos on t-v.. couple more years and i'm cashing in every thing and relaxing, not needing to file taxes reports on stock earning any more..

Facebook is a company with no real assets and depends on airheards with nothing to do as their
customers.No one but an Idiot would have bought the stock.Sucker and their $$$$ are soon parted so be it.

If you really want to loose your shirt and make a particular individual filthy richer than he already is, from the same subject, respond to the penny stock, hot dog deals, all over the business www.

Mark

So, a couple of years ago, the "dot.com" world crashed, and no one learned their lessons from it? Now another get rich quick "dot.com" scheme peters out and those that didn't learn their lesson the first go round, and had dreams of overnight richness didn't get their overnight richness, and someone needs to be punished for having the same "greed" that they themselves have? Good Lord, our nation is in sorry shape. No, I take that back, our nation's people are in sorry shape. I'm so glad that my father that came off the boat at Ellis Island from Poland, and my mother's parents that came off the boat at Ellis Island from Poland and Greece are not alive to see what we have become after they worked so hard for everything that they had, and were greatful to have what they worked for. May God rest their souls, and thanks to God for having spared them the insult.

Mark