User Tag List

12 Last

Results 1 to 10 of 18

Thread: Facebook Stock

  1. #1
    no clinkz 'til brooklyn Nocapszy's Avatar
    Join Date
    Jun 2007
    MBTI
    ENTP
    Posts
    4,516

    Default Facebook Stock

    is it any surprise that facebook stock has plummeted so far?
    it opened at an ambitious $38/share. it's now below $20, just four months later.
    that's a little more than market volatility, if you ask me.


    in the days leading up to the IPO, it was being announced on every media outlet in existence, every hour, on the hour, sometimes several times per hour.
    i repeatedly warned my friends not to invest.
    i told them it would, at best, end up like the dot-com bubble of the '90s: that it wasn't a good long-term investment.
    i said that the only reason they would open the company to public investment is that they're not generating sufficient revenue from advertisements to support themselves anymore; that the actual value of the company was being crushed under its own gravity.

    few of them listened and bought anyway.
    now i'm laughing at them when they whine about how their money is halved.

    my prediction has come true more quickly than i thought it would, and i don't expect there to be an upswing big enough, soon enough for the company to sustain itself. my bet is that they're in more trouble than they let on.


    what are our thoughts on this?
    what do we think the cause for facebook's horrible performance in the market is?
    what do we think the result will be, i.e. effect on society etc.?
    we fukin won boys

  2. #2
    Emperor/Dictator kyuuei's Avatar
    Join Date
    Aug 2008
    MBTI
    enfp
    Enneagram
    8
    Posts
    13,881

    Default

    Facebook isn't really going anywhere anytime soon.. too many people use it now.

    But I don't see their stocks having any value until they create something completely new..

    Google has new aspects showing up in the form of tablets, google play, etc. What is facebook really going to offer besides what it already does? Is there some big, new revolutionary thing that'll make people talk again? Where do they really go from here? They set out to network the world--and the really did do that. But whats next?
    Kantgirl: Just say "I'm feminine and I'll punch anyone who says otherwise!"
    Halla74: Think your way through the world. Feel your way through life.

    Cimarron: maybe Prpl will be your girl-bud
    prplchknz: i don't like it

    In Search Of... ... Kiwi Sketch Art ... Dream Journal ... Kyuuei's Cook book ... Kyu's Tiny House Blog ... Minimalist Challenge ... Kyu's Savings Challenge

  3. #3
    Senior Membrane spirilis's Avatar
    Join Date
    Jul 2007
    MBTI
    InTP
    Enneagram
    9w1 sp
    Socionics
    INTj Ni
    Posts
    2,652

    Default

    I never kept up with the business side of facebook & social networking in general to even consider investing, in fact I've left myself out of the stock market for a year or so. Just don't feel it's a good opportunity for me in my current state of free time/attention to do research/etc.

    But in any case, something has never sat right with me about the idea of "advertising" as a revenue source. I used to work for a company whose entire business model was advertising, and while I've seen the reality of how it works, it still doesn't feel to me like something that enriches society.
    intp | type 9w1 sp/sx/so

  4. #4
    royal member Rasofy's Avatar
    Join Date
    Mar 2011
    MBTI
    INTP
    Enneagram
    5w6 sp/sx
    Posts
    5,931

    Default

    what are our thoughts on this?
    It's easy to be smart after the fact.

    Whenever you're sure about something, you are supposed to invest in the idea (which in this case would mean either a)short selling the stock or b) selling call options or c)buying put options).

    If you aren't willing to do that, chances are you aren't actually ''sure''.

    what do we think the cause for facebook's horrible performance in the market is?
    Overpricing, combined with lack of transparency about the prospects (they decided to reveal all the bad news after the IPO).

    what do we think the result will be, i.e. effect on society etc.?
    Some people will lose a lot of money, few people will make some money. All in all, nothing new.

  5. #5

    Default

    Both Google and Facebook base their revenue on advertising. But their "value propositions", if you want to use such a term, are quite different.

    Google had been trying to get into lots of things since its inception. It's popular applications are not just search, but also a browser, an OS, mail, maps, and videos (since they bought youtube). There are a lot of other web tools that they have, trends, analytics, scholar, .... Each one has its own value proposition for the users, but if you want sum it up, it seems to be to provide great tools to users, free of charge.

    Their advertising model was very much a pull form of advertising. When you do a search, the ads that pop up are very relevant to what you searched. Sometimes I go to google to web-shop because of this. The advertisers get relevant, aggregate, data on the users that view or click on ads.

    Facebook, however, seemed to grow by providing a way for people to keep in touch and socialize after meeting in one setting and traveling away. It is a fairly narrow value proposition.

    Their advertising seems to be rather irrelevant to anything for me. However, I spend little time on Facebook. Perhaps if I constantly updated my status, the ads would be relevant, but I am not about to do that.

    Also, Google had a policy of "Do no evil" while Facebook represents the very evil Google was trying to avoid. Both main websites are well executed. However, I get the feeling that Zuckerberg has much less a sense of what he believes to be right or wrong than Brin and Paige did. At this point, in order to compete for advertisers both companies are compromising user privacy.

    Accept the past. Live for the present. Look forward to the future.
    Robot Fusion
    "As our island of knowledge grows, so does the shore of our ignorance." John Wheeler
    "[A] scientist looking at nonscientific problems is just as dumb as the next guy." Richard Feynman
    "[P]etabytes of [] data is not the same thing as understanding emergent mechanisms and structures." Jim Crutchfield

  6. #6
    Senior Member UniqueMixture's Avatar
    Join Date
    Mar 2012
    MBTI
    estj
    Enneagram
    378 sx/so
    Socionics
    esfp
    Posts
    3,036

    Default

    I am actually a bit worried about it because CALPERS (the California state employees investment fund) invested heavily in it and the tax payers will probably have to bail it out. With our current revenue problems we may need a federal bailout
    For all that we have done, as a civilization, as individuals, the universe is not stable, and nor is any single thing within it. Stars consume themselves, the universe itself rushes apart, and we ourselves are composed of matter in constant flux. Colonies of cells in temporary alliance, replicating and decaying and housed within, an incandescent cloud of electrical impulses. This is reality, this is self knowledge, and the perception of it will, of course, make you dizzy.

  7. #7
    no clinkz 'til brooklyn Nocapszy's Avatar
    Join Date
    Jun 2007
    MBTI
    ENTP
    Posts
    4,516

    Default

    Quote Originally Posted by Rasofy View Post
    It's easy to be smart after the fact.

    Whenever you're sure about something, you are supposed to invest in the idea (which in this case would mean either a)short selling the stock or b) selling call options or c)buying put options).

    If you aren't willing to do that, chances are you aren't actually ''sure''.
    or that you're a broke 22 year old with no capital to invest.
    my post said, "my prediction came true sooner than i thought," which is all you need to know about how sure i was.

    did you actually read my post or did you open the thread with the intention of shitting on the OP?

    Overpricing...
    lol...
    pretty sure that's not a major factor by this point.

  8. #8
    royal member Rasofy's Avatar
    Join Date
    Mar 2011
    MBTI
    INTP
    Enneagram
    5w6 sp/sx
    Posts
    5,931

    Default

    Quote Originally Posted by Nocapszy View Post
    or that you're a broke 22 year old with no capital to invest.
    Fair enough.

    my post said, "my prediction came true sooner than i thought," which is all you need to know about how sure i was.

    did you actually read my post or did you open the thread with the intention of shitting on the OP?
    I read it all, and your overconfidence was a bit alarming. People who bought heavy probably had the same confidence level.

    lol...
    pretty sure that's not a major factor by this point.
    You're once again assuming you know more than you actually do. FB has a Price/Earning ratio of 41.56, while the average P/E of Dow Jones stocks is 11.89.

  9. #9
    Senior Member swordpath's Avatar
    Join Date
    Oct 2007
    MBTI
    ISTx
    Posts
    10,552

    Default

    Related yet unrelated. The other day, Facebook finally put out an iPhone app update that WORKS. The app has been horrible since its inception (for however many years it has been around). They finally completely re-did it from the ground up and all the bugs and speed issues have been resolved. I really don't know why it took them so long.

    So anyways, all you iphone users that also do facebook, go update your app!

  10. #10
    Senior Member Survive & Stay Free's Avatar
    Join Date
    Jun 2009
    MBTI
    ESTJ
    Enneagram
    9 so/sx
    Posts
    21,661

    Default

    Well they've gone into online gambling, dont know if you guys know about that, in the states which permit it, I believe the UK has some really liberal gambling laws by comparison with some places. So a lot of their existing games and features now have a cash value they didnt have before and its a marketplace for others who want to exploit that function too.

    Although I think that they will eventually start charging people, I see that happening when they think they dont have any real competition left and its a little like the telephone service having to compete with morse code or telegrams, ie no competition. I know that myspace was a phenomenon in the US in a way it wasnt in the rest of the world and bebo bit the dust really quickly everywhere besides northern ireland, were sectarianism, gang culture and peadophiles kept it alive (yeah, all the good things) but I dont see it having any real competition.

    So I think a lot of its value is pinned on speculation about what it could make in revenue rather than what it does make right now if you know what I mean, as a result there will no doubt be a series of market corrections to be honest, also there was a lot of deliberate ramping and scamming at the time it was floated.

Similar Threads

  1. MBTI of stock characters, archetypes, etc.
    By Zergling in forum Popular Culture and Type
    Replies: 37
    Last Post: 07-15-2017, 09:47 PM
  2. Facebook
    By Domino in forum Arts & Entertainment
    Replies: 186
    Last Post: 05-23-2010, 01:19 PM
  3. Any trick to see someone's facebook profile before making friend request?
    By Cality in forum Science, Technology, and Future Tech
    Replies: 16
    Last Post: 10-03-2008, 01:39 PM
  4. MBTI Facebook group?
    By swordpath in forum The Bonfire
    Replies: 10
    Last Post: 01-06-2008, 10:21 PM
  5. [NT] Colorado School of Mines facebook group.
    By Aven in forum The NT Rationale (ENTP, INTP, ENTJ, INTJ)
    Replies: 1
    Last Post: 07-14-2007, 12:29 PM

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
Single Sign On provided by vBSSO