Great Googly Moogly
Who'd have thought that Twitter could be a crap investment?
Twitter shares fell sharply on Wall Street today, wiping out about a quarter of the value of the micro-blogging site within minutes of trading opening in New York. The precipitous fall came after the company reported disappointing results in its first quarterly finance call since taking Twitter public last year. It's been a …
Looks like they timed the IPO perfectly then!
Actually according to the figures I saw somewhere, they actually did turn a tiny profit last quarter, for the first time ever. If you strip out the one-time IPO costs. So who knows, they may actually start making small amounts of cash. At which point they'll move to the ludicrously over-valued group, along with Facebook - for companies that make money but nowhere near as much as their share price demands. But that's better than being in the outrageously over-valued group of dead-beats, along with Zynga and Groupon...
El Reg, please insert stock chart graphics.
Twitter shares fell sharply on Wall Street today, wiping out about a quarter of the value of the micro-blogging site within minutes of trading opening in New York.
Such things can quickly transform into the next stock market bubble pop, followed by woeful crackle and snaps. Then admonitions of "no-one could have foreseen..." and Paul Krugman flaming out in the NYT. Better be careful.
"..your investment can go down as well as .."
To be fair, it's conceivable Twitter shares could have been a profitable investment for someone. It's possible to ride a bubble up and get out before it bursts. If stock prices don't reflect some underlying value of the company, then it's untenable to reject them are speculative instruments simply because the underlying value of the company is poor.
I personally don't buy stock in the likes of Twitter, but if I did, it'd be for just this purpose - to profit from ungrounded speculation and hype. (I don't partly because it seems rather tasteless, and partly because I'm too lazy anyway.) And I suspect that's true of many of the people who did buy Twitter.
"But, but, it's Techno Stuff! And the yoofs use it, so it must be worth billions!"
Nah, it was the escape for those who deemed themselves 'too old', 'too grown up' or just plain 'ol 'FB hater bandwagon'.
FB was only for stupid kids and lonely people posting cat oics -- remeber?
Twatter was for the grown-ups, the intelligensia, 'proper people', movers annd shakers'.
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