Twitter Stock and Goldma Sachs making millions in one day!

[Bobberman]

The American average person gets taken by the big companies like Goldman Sachs. They bought the stock to the market at $26 and sold it to themselves and their friends at $26 then open the stock to the average person the next day at $45 making themselves close to a billion in profit in one day! What do you think of that??? Something is wrong with that picture.

[DoubleDogFarm]

The reason that Twitter priced the stock at $26, rather than at $28, or any other price up to $45, is because they wanted to put the stock in the hands of long-term investors who plan to hold the stock for a long time, people familiar with the deal told the Journal. Those investors aren’t looking to sell. (And if they did sell, the bankers would probably find out about it, and maybe they wouldn’t get in on the next hot IPO.)

The Journal reported that the stock is fairly closely held, with just 30 accounts getting three-quarters of the deal. The remaining institutional accounts got just 10% or 15% of the deal, with retail getting the rest. Fast-money hedge funds in particular got very small allocations, the Journal reported. That’s concentrated ownership, with not many traders in the mix.

Plus, who would be big buyers at current prices? Certainly not value investors, since Twitter is the most expensive stock in its sector, on a revenue multiple basis. Sure, there will always be retail interest. As the Journal reported yesterday, there’s a class of buyer who just wants to own Twitter at any price. But retail is a pretty small segment of the market.

https://blogs.wsj.com/moneybeat/2013/11/ ... -volatile/

Eric

[webmaster]

The only stock I need to think about is the trout stock at my local pond.

Or as James Brown put it, "The way I like it, is the way it is. I got mine. Don't worry about his."

[DoubleDogFarm]

Chuck Berry

"Don't let the same dog bite you twice".

Eric

[Bobberman]

Goldman made over 600,000 in one day and that is wrong in my book because of the way they did it! They also said if all the stock went fast they wanted 10 million more shares at the 26$ a share and sold that the next day for $45 and that to me is insider trading! But they get away with it because they have the bucks and crooked connections!How can you take 60 million shares at $26 that you pay twitter and price it at $45 the next day just because you are a broker or what ever they are! These are the companioes that make it hard for the little guy and actually take money from companies like twitter that need the money so they can price there stock at a fair price to the average investor. I would like to know who were the friends of Goldman Sachs tHAT GOT THE STOCK FOR $26 BEFORE IT WAS OFFERED TO THE PUBLIC AT $45!