Firstly I would like to give my profound graditude to The Fly, Chess and the rest of the iBC crew for giving us journeymen a medium in which to ply our trade.
What is the deal with sell side scallywags, MS, GS, etc? If you read Fly’s post earlier, you know that these sell side leeches sucked all kinds of fees out of overvaluing FB. I just can’t get my head around “why?” I get greed but is their no end, how can you possibly chase more money when you have so much, and you treat your clients, who you are supposed to make money for, LIKE ASS! That’s the part I don’t get, screwing over both buy-siders and your clients consciously, just to make more money that you don’t really need. Another thing, how about all the crap CEO’s out there that do a HORRIBLE job, yet get bonuses to basically get fired! This has to end sooner or later, the moderate voting middle class is starting to notice, and that is when it starts to get real. Where do we go from here? We all need to start Einhorning[sic] people, if you see a company that is fundamentally retarded, GMCR, FSLR, ZNGA, etc. let’s start BLOWING THAT SHIT UP! Let’s start wrecking house, because it is our right as Gentlemen to act with honor and due diligence. We will bank coin with integrity and honor, in the way of our forefathers.
I hope they continue to be ground into the earth over there at FB, crushing MS far before the lockup ends. As we all sit back and watch Mt. Everest burn and crash into ground, sliding into the pink sheets. I don’t mean to be so bearish and apocalyptic, but they must pay for this. A LOT of people lost a LOT of money, including those on this site and myself. We must exact revenge. I am going to short it, as it will definitely not have good earnings, its advertising revenue continuing to slide. The new “Timeline,” made it way harder to put advertisements in, and their are NONE on my phone. This is stupidity, executed by a stupid company, that should have stayed private.
We’re going to rip on the open, then slow into a crawl, but it will at least be green. Don’t get “Sell-Sided,” “Einhorn,” someone.
14 Responses to Sell-Side Scallywags
I DO think that SVVC is interesting here trading below net cash though.
I agree, and that’s what I’m trying to say. SVVC cares about their shareholders and is trying to make a profit, only to get screwed by the sell-side.
someone should do a writeup analysis on SVVC and post that up here on ibc I think.
I AM 100% DOWN! Send me any sell-side reports anybody has to [email protected] I’ll do the analysis, then make a model, and I’ll run the multiples by you and see if they are on the money.
just emailed you some sell side stuff on it (there isn’t much) and let me know if I can get anything else for you. Really really interested to see what you think about this one as I’d like to have some sort of “uber high growth social tech awesome” exposure in my portfolios but I just have trouble getting comfortable paying >10x sales for an investment without feeling like a lot of the growth is already priced in. SVVC could be an interesting way to play this since it sounds like you’re essentially getting their entire investment portfolio for free?
EXACTLY! If you levered them purely based on cash you would be at a $0.31 discount to CASH! not NAV but CASH! If that isn’t a value play, with A LOT of high Beta in the portfolio, I don’t know what is.
A 2% management fee, plus 20% of realized capital gains tells me SVVC is trying to take as much for themselves as they can. There may be value in their portfolio, but I don’t see this structure as shareholder friendly.
That’s industry standard.
how can you possibly chase more money when you have so much
I hope this is a rhetorical question. Imagine if you will the following situation at the next $GS conference call.
Dipshit Analyst: Lloyd, it looks like you came in a little light on the bottom line to the tune of a 50% eps miss compared to previous guidance. Could you give a little color on that?
Lloyd Blankfein: actually it’s very simple. We took a look around and decided we simply had too much money. We would have beat the previous guidance with ease, but decided it would be better if we just shut it down.
Yeah, the market would fucking love that. Welcome to reality.
You don’t need to screw over your clients or anyone else in order to meet or beat estimates.