...but doesn't make a profit!
That's 50 million $10 or £10s coming in every month and sod all to show for it. Big business works in ways I'll never understand.
And Snapchat - not a penny profit and worth $24 billion!?
not a penny profit and worth $24 billion!?
profit? you do realise that's a made up number, right? Bear in mind that many tax takes are based on profit, so it's in everyone's interest (owners and shareholders) to minimise what that number might be...
Tech IPO's are certified bonkers.
Share valuation is more based on 'what will one of the big boys pay to stop a rival getting hold of it' than any intrinsic value within the business.
Just gone through $28.... mental... mad IPO @ $17 yday opened @ 24 and havent had a decent tick down yet.
Did alright yday .. short now
wwaswas ... true enough.
and
No other big name tech IPO for rest of the year ... uber/airbnb not coming any time soon .... so supply n demand init ... no supply of rubbish for people to buy means the stuff there is, gets ramped.
it's like the dotcom bubble never happened
The motley fool email today reminded readers that markets were cyclical. Snapchat has all the markings of a bust looming, i fear the smart money has been and gone, the new money gets burnt.
i fear the smart money has been and gone, the new money gets burnt.
Yep you have to be in day one with massive quantities of cash and then sell later the same day. Like I didn't.
Things is, we've not seen that much interest from punters ... they know it's a puff .... its just getting bear squeezed now.
Much like the market as a whole really.... nothing euphoric about it... in fact the most hated bull run ever.... probably means it goes high still.
I read earlier that BitCoin out valued gold for the first time.
Gold, a physical element which if you combined all the extracted gold in the world has a total volume of 8000 cubic metres (not much!) is worth less than something that doesn't exist?!
The world has gone mad, I tell you!
[i]worth less than something that doesn't exist[/i]
None of the currencies of any nation actually exist.
BitCoin at least has a relationship to the availability of a commodity (prime numbers) whereas most are just promisary notes from a government.
How are they looking to make money ? Ads ? Facebook are the daddy there, they know so much about their user base it's an advertisers wet dream. But snapchat ?
Fs marketers love the ftse highs as the charts low to high make it look so attractive. The biggest inflows happen when the ftse peaks, so sad, people pile in and sell when it corrects, losing by definition 20% plus.
Theres a correction looming, might be monday or it might be next year but its on its way.
At the weekend I asked my (18y/o) son what Snapchat was.
He explained it and I'm non-the-wiser to either why it exists or how it will ever make any money (as when asked, no way would he pay for it) other than selling it on to Google/MS etc.
Ah the " new investment paradigm"
Tech valuations are nuts. I suppose the good news is the Californian Catholic School which put in $15k right back in their first $500k fundraise and has just made $24m. Thats a lot of scholarships.
Even better the Snap stock has no voting rights. The investors are mad. It's like buying bike bits from here with PPG.
What the actual **** are you lot talking about? Is this what plebs feel like when engineers are talking together?
