Despite What Everyone Says – Facebook’s IPO Was An Insane Success…

It’s crazy that there were SO many stories this week about how Facebook’s IPO was a gigantic failure. Seems like just about everyone is pissed off for one reason or another.

Everywhere you look, people are explaining why Facebook’s IPO was a failure…”The Worst IPO In History” etc etc. Some people are even suing the underwriters.

But everyone is missing the point.

Completely.

Facebook’s IPO wasn’t a failure…it was one of the most successful of all time.

Why?

Because the point of an IPO is to raise as much money as possible while still retaining as much control of the company as possible.

Facebook did that…in spades.

They raised $16 billion dollars and the Zuckerberger basically retained iron-clad control of the company. Which basically means that all the sheeple out there who invested in facebook essentially just handed over their money for nothing.

Good job guys.

The problem isn’t that the IPO was unsuccessful…the problem is that now everyone who invested has realized that they were stupid.

Did facebook do anything wrong? Absolutely not. They laid out everything in their prospectus. If you’re stupid enough to pay over 100 times earnings for shares in a company…any company..then you’re too stupid to be trusted with your own money and you got what you deserved.

But what about the drop in share price? From facebook’s point of view, that’s a good thing. It means they sold their shares for much more than they were worth. They got the money…they don’t care what the share price does now…it’s not their problem.

Are you angry? Then why don’t you use your shareholder power to vote out facebook’s management. Oh wait. You can’t. The Zuckermonster still retains near complete control of voting rights to the shares that count.

Whoops. Guess you should have thought of that before you invested. They didn’t hide that fact, it was in their prospectus and discussed all over the place. But I know, reading is hard…

“But the underwriters did this, and the NASDAQ glitched that, and blah blah blah…” Enough! It doesn’t change the fact that you would have thrown your own mother under a bus to pick up shares in this company because you’re a doofus who doesn’t understand investing.

So what does all this really mean?

It means the good sheeple put aside rational thought and bought shares of stock in a company that they shouldn’t have – and wouldn’t have if they bothered to do the smallest amount of research or use a shred of critical reasoning. And they did it because they thought the share price would skyrocket on the first day and they’d cash out and get free money.

Admit it…that’s what you thought, isn’t it?

Except that didn’t happen. Turns out the people at Facebook are smarter than you. And so now you’re angry. Go figure…

Suck it up people.

A fool and his money…well you get the idea.