Facebook has massive potential to monetize their advertising which is as yet, still untapped.
OFFICIAL Facebook IPO Thread
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Facebook wasn't a good buy at $38. Facebook isn't a good buy at $30. Facebook isn't even a good buy at $20. The problem is that because of the hype surrounding the company, the price of the stock will probably never get low enough to match the actual value. In other words, if you want to own it you're going to have to overpay for it and just hold it for a long time.
Knowing that, it probably doesn't matter whether you buy at $25, $20 or $15.
Knowing that, it probably doesn't matter whether you buy at $25, $20 or $15.
So it's been a buying opportunity everyday since the IPO? There are literally thousands of companies that lose a significant percent and never recover.
I have yet to see one person in this thread layout how Facebook is going to increase their profits and reverse their downward revenue trend.
Sure, but they had incentive to do so before as well when they had private investors.
They had an incentive since 2004 when Mr Thiel loaned them $500k and the many millions soon after.
How is it untapped? They have been in business long enough to monetize their advertising better.
If a stock drops significantly in price, it is a buying opportunity imo. I'm not saying just because a stock goes down you should buy it, I'm saying if you are interested in a stock and it goes down in price, this presents a good opportunity to get in.
For instance, JCP and JPM have recently had significant drops in their stock, this presents a buying opportunity. Some are buying, some still think it's not worth it.
Also a good thing to keep in mind is that as a stock price goes lower and lower, it takes less of a point move to equal great percentage moves. So a move from $20 down to $15 is a huge 25% move.
1. Are you short FB? If not, why not?
2. Do some research then, there are tons of articles and blog posts speculating on it, all over the web.
When everyone is selling, it takes discipline to buy. When everyone is buying, it takes discipline to sell. But that is how the best investors do it. You don't make big money by doing what everyone else does.
5 years from now, if FB is worth $200, all of you guys will have ready manufactured excuses, and that will be great for protecting your egos, but it will do absolutely shite all for your pocketbooks, capiche?
Ah, no, they did not have an incentive. In fact, they possibly would have been better off to not monetize at all pre-IPO - at least then people would have been still speculating on how well they could monetize.
Understand that very few tech companies that IPO are cash flow driven.
1. Nope, not short FB. Just because you can finally short a stock doesn't mean it's necessarily a great risk/reward investment. You really need to read up on what is involved when you short a stock. The options right now are trading all over the board -- from about $16 to $65. It appears most are seeing it trading down to $25 by July.
2. I have not seen one good article on a detailed analysis of how Facebook is going to turn around their profits. Please post the blog posts you've read. Would love to read them.
Just because everyone is selling something doesn't mean it's a buy. That is ridiculous.
No need. Stock speculation is nothing more than a crap shoot. It's gambling. In 5 years, if it's worth $200, then it means you're lucky, not that we're stupid.
I just wanted to know if your money was where your mouth is, because talk is cheap.
Do research.
No one claimed that.
So no one really knows what they are doing, right?
Some people just get really lucky over and over again...
Btw, stock investing is not like gambling. In gambling, you know the odds.
No, they don't. It's extremely rare for anyone to beat the market year after year.
What if you used that theory with WAMU, Borders, RIMM, Sprint, Nokia and thousands of other companies that never recover or go BK?