Thursday, November 17, 2011
Insights and Opinions: When Valuations Don't Actually Mean Valuable
Today's Insights and Opinions article, where we feature editorials, insights, advice, and more from our readers, comes today from Tony Greenberg, the CEO of Ramprate.
“You're walking around blind without a cane, pal. A fool and his money are lucky enough to get together in the first place.” – Gordon Gekko in “Wall Street”
A week before Groupon’s initial public offering, Henry Blodget was telling readers he wouldn’t touch it with a 50-foot pole for reasons that amounted to, “It’s an insider’s game.”
As Blodget expected, insiders were indeed the big winners. Investors who bought at the peak that opening day are now down about 20 percent since then. The only good news for investors: at least they’re not in the territory of Demand Media, which now trades about 70 percent below its first day of trading back in January. (More...)
Read the rest of When Valuations Don't Actually Mean Valuable.