The biggest scam purported unto the American people over the past decade was born in Silicon Valley, by socially awkward geeks trying to get laid by becoming rich. In order to accomplish this task, they schemed ways to create a Ponzi scheme that overly inflated the valuations of their overvalued, piece of shit social media companies.
This, of course, was helped by the demonically greedy investment bankers who sold this to the investor class. Men like Fred Wilson made hundreds of millions by funding and then dumping these horrible money losing ventures onto an unsuspecting public.
Make no mistake, these are mostly horrible companies, poorly run and unable to survive a hard economy.
This morning, Morgan Stanley offered a mea culpa for getting LinkedIn so wrong, downgrading the stock and cutting the price target to $125.
“With its current product offering, LinkedIn isn’t likely to be as big of a platform as we previously thought,” the team, led by Brian Nowak, said. “We are reducing our price target to $125 [per] share (from $190) as well, driven by our lower long-term cash flow forecasts and increased execution uncertainty.”
“LinkedIn’s ability to re-accelerate Talent Solutions growth and/or deliver better than expected results in B2B advertising, Lynda or Sales Navigator could reinvigorate investors and drive the stock back toward our bull case valuation ($200/share),” the analysts noted. “That said, continued faster than expected deceleration and/or mis-execution will likely cause the stock to be range-bound (best case) or trend toward our bear case valuation ($60/share).”
As a product, LinkedIn gives me far more diarrheah than Chipotle, but it is far less explosive.
Set up profile five years ago. Will be frozen in time until hell freezes over. Never logged back in. Same with Zukebook.