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Angie's List: from $28 in Jul 2013 to $9[0] Box: from $24 in Jan 2015 to $10[1] GoPro: from $87 in Oct 2014 to $11[2] Groupon: from $26 in Nov 2011 to $2.60[

• toomuchtodo 11y ago
  If there was only an ETF for shorting the startup tech sector...
  • blobbers 11y ago
    You don't need an ETF to short the startup tech sector.
    • deleted 11y ago
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    • toomuchtodo 11y ago
      I also don't need SPY to invest in the S&P500, but it makes it easier!
    • deleted 11y ago
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    • ChuckMcM 11y ago
      No but it would help when you can't get anyone to sell you puts :-)
  • kasey_junk 11y ago
    So, I'm kind of picking on you here, but people always say this about things they think are bad. But there are pretty big structural differences between going short and going long. In particular, you need to know much more precisely when the bad things are going to happen. Sometime do a short (and if you already have, great, you know what I'm talking about). Its not nearly the "haha how stupid are they", people think it is.
    • toomuchtodo 11y ago
      It's okay to pick on me, I wrote the comment without putting a lot of context in it. I usually stick to trading commodities, not equities. My comment really was saying, "I believe that tech startups have significant headwinds, poor underlying fundamentals, and would like a simple way to capture the profits from trades made around those assumptions."
      • aidenn0 11y ago
        Unfortunately, the market can stay irrational longer than you can stay solvent.
        • toomuchtodo 11y ago
          Words to live by.
• VeilEm 11y ago
  What point are you making? Perhaps it isn't too hard to look at examples of tech companies that have done well since IPO. This is quintessential cherry picking. The market in general has been downward recently but Atlassian and Godaddy are holding their own for example: https://www.google.com/finance?q=NASDAQ:TEAM https://www.google.com/finance?q=NASDAQ:TEAM https://www.google.com/finance?q=NYSE:GDDY https://www.google.com/finance?q=NYSE:GDDY
  • sremani 11y ago
    It is cherry picking, but you can cherry pick too for your case. Other than FB who is doing great?
    • cft 11y ago
      Fb will collapse too. People under 22 have quitted, and among older people, very few people post. The main product is dead essentially. Of course, the revenue lags behind this usage curve, just like in the case of Blackberry: the product was already dead but the revenue has not peaked yet. What remains is the fb messenger and very costly acqusitions of new stuff: whatsapp, ig, potentially snapchat. That strategy remanins to be proven to become economically feasible.
      • frinxor 11y ago
        Hope you have you puts and shorts in place then!
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    • dpe82 11y ago
      Google is up 40% in the past year.
  • davidwparker 11y ago
• minimaxir 11y ago
  I was about to comment that using the full time horizon for Groupon and Zynga was unfair since they IPOed years ago... ...until I checked and both companies had similar percentage drops within 9 months of IPOs as the other companies. Tech stocks are funny.
• smegel 11y ago
  Yahoo: from $11 in 2011 to $50 in 2014 to $30 in 2016 I am actually surprised Yahoo is worth three times as much today as it was in 2011.
  • winter_blue 11y ago
    Yea, I'm surprised as well. What/how have they changed?
  • toomuchtodo 11y ago
    It's only Alibaba stock they hold that creates any "value" in Yahoo. "The latter part of the business is clearly pulling the former along. Here’s how to think about it: Yahoo has a stock market value of $34.1 billion, and owns a 24 percent stake in Alibaba. Estimates for the current value of Alibaba, which is planning an IPO, range between $75 billion and $125 billion. If it comes in at the low end of that range, Yahoo’s stake would be worth $18 billion, or just over half of Yahoo’s total market value. At the high end, Yahoo’s stake in Alibaba would be worth $30 billion—which would imply that the rest of Yahoo’s enterprise is worth as little as $4 billion, or 12 percent of its current value." http://www.bloomberg.com/bw/articles/2013-10-16/how-much-is-yahoo-worth-without-alibaba-not-much http://www.bloomberg.com/bw/articles/2013-10-16/how-much-is-... http://www.marketwatch.com/story/is-yahoo-really-worthless-without-alibaba-2015-01-29 http://www.marketwatch.com/story/is-yahoo-really-worthless-w... http://qz.com/528986/charted-the-value-of-yahoos-alibaba-stake-since-announcing-its-spinoff-plans/ http://qz.com/528986/charted-the-value-of-yahoos-alibaba-sta...
    • adventured 11y ago
      In fact they're not valued at zero. It's the Alibaba stake that is discounted, as all cash and assets on a balance sheet are by investors. That's trivially easy to prove by looking at Comcast, Time Warner Cable, Berkshire Hathaway, or Apple's financials. If Yahoo were floated on the public market, with $4.8 billion in sales and $200 +/- million in profit, the valuation they would receive is not zero. Proof? See: the valuation AOL had before being sold (not to mention what they got sold for). Yahoo is very obviously worth more than AOL was. The bad analysis that Yahoo is worth less than zero, is caused by people that don't understand how you actually value corporations in reality. The bogus $0 valuation appraisal only exists in a fiction (and it makes for excellent clickbait), not in reality.
• winter_blue 11y ago
  So I suppose the take-away is: avoid putting your savings in tech stock?
  • toomuchtodo 11y ago
    You should never be putting any savings in stocks except index funds, unless you're gambling.
    • mattzito 11y ago
      Or have some sort of legal insider information. (Not that that's the situation for most people, but it's worth rounding out the discussion)
  • anindyabd 11y ago
    As a rule of thumb, you should only invest what you can afford to lose, in any stock.
• adventured 11y ago
  Might as well throw Angie's List on that pile. From a high of ~$28 in Jun 2013, to $8.x now (IPO opened at $15 over four years ago).
• pyrrhotech 11y ago
  Soon we will see uber, airbnb and dropbox added to this list. The problem is the new VC-funded startup model is a sham to rip off the public. Basically build a bunch of hype around fad-based, unprofitable companies with unsustainable business models and capture massive valuation of ~50x sales before going IPO and then insiders dump all the overvalued shares on the naive dumb money and only stick around long enough to dump the majority of their stake by SEC regulations. Then proceed to shout about how you changed the world and how it wasn't for the money from your yacht.
  • darawk 11y ago
    I don't think Uber and Airbnb are particularly comparable to these companies. Uber and Airbnb have very clear business models.
    • edgyswingset 11y ago
      I'd say Zynga has a pretty clear business model.
      • supster 11y ago
        It's pretty hard to produce new viral games at low cost in a consistent fashion.
        • tracker1 11y ago
          GP didn't say it was a good, effective or predictable business model.. ;-)
    • danieltillett 11y ago
      They have very clear business models, but even if they capture 100% of their market the possible revenue can’t support their current valuations. I think both these businesses are fantastic businesses that will make a lot of money, but I would not buy at their current valuations.
• theklub 11y ago
  I could have told you all of those would end up that way. Its like a list of fads.
  • Yrlec 11y ago
    If only there was a way to make money off of knowledge about a stock's future...
    • theklub 11y ago
      Yet, you have to have money to start with. A problem that I have.
  • jqm 11y ago
    Timing is the key. The market can stay irrational longer than you can stay solvent.
• SEJeff 11y ago
  This is just the market reflecting reality. Most of the "unicorns" aren't actually worth the billion or so dollars their valuations are at. They don't generate enough of really anything that is worth the silly valuations they get. This is why free markets are a good thing. They eventually correct themselves.
  • PopsiclePete 11y ago
    Exactly. I honestly don't see the problem. Some VC lost a bunch of money? Oh well!
    • danieltillett 11y ago
      No the limited partners lost some money. Guess who they happen to be?
      • mikeg8 11y ago
        So what? As an LP, they made the choice to let someone else actively manage their money. Part of the risk/reward trade-off when using VC as an investment vehicle.
        • danieltillett 11y ago
          I am just pointing out who is losing the money. The fact that a large amount of this money is coming from pension funds trying to hit totally unrealistic returns in a zero interest environment is just an unfortunately coincidence.
• kin 11y ago
  While many are saying the bubble is popping I feel like it's just correcting itself. Other companies with high evaluations actually have a business model and hopefully shouldn't suffer the same fate.
• Hermel 11y ago
  GoPro: from 64$ to 11$ http://www.google.com/finance?q=GPRO http://www.google.com/finance?q=GPRO
  • DINKDINK 11y ago
    GoPro's stock still has positive EPS and a healthy EPS
    • this_user 11y ago
      Holiday sales were disappointing and the company is planning job cuts.
      • timonovici 11y ago
        Well, we can't blame the costumers - what they have is good enough - how do you motivate them to keep buying the new version? It sounds kinda like the conundrum Adobe had :) Maybe there's a market for the GoPro CC edition?
• replicatorblog 11y ago
  Facebook: $38.23 to $94.97 (May '12 - present) [0] Wayfair: $32.18 to $37.81 (Oct '14 - present)[1] TripAdvisor: $27.91 to $70.63 (Dec '11 - Present)[2] Hubspot: $29.05 to $50.04 (Oct '14 - Present) [3] Tesla: $10.40 to $204.99 (Jul '10 - Present ) [4] ZenDesk: $15.25 to $23.10 (May '14 - Present) [5] LinkedIn: $90.09 to $196.10 (May '11 - Present) [6] 0: https://www.google.com/finance?q=facebook&ei=OGyZVsiyEYqNmAGh5pu4Bw https://www.google.com/finance?q=facebook&ei=OGyZVsiyEYqNmAG... 1: https://www.google.com/finance?q=wayfair&ei=k22ZVqnFKoShmAHGjpq4Bw https://www.google.com/finance?q=wayfair&ei=k22ZVqnFKoShmAHG... 2: https://www.google.com/finance?q=NASDAQ%3ATRIP&ei=DG2ZVpGGGImamAHg943IBw https://www.google.com/finance?q=NASDAQ%3ATRIP&ei=DG2ZVpGGGI... 3: https://www.google.com/finance?q=hubspot&ei=2m2ZVvmlEImamAHg943IBw https://www.google.com/finance?q=hubspot&ei=2m2ZVvmlEImamAHg... 4: https://www.google.com/finance?q=tesla&ei=Am6ZVuHRBNGzmAH9n7SwBw https://www.google.com/finance?q=tesla&ei=Am6ZVuHRBNGzmAH9n7... 5: https://www.google.com/finance?q=zendesk&ei=UnGZVtK-Go21mAGr75ywBw https://www.google.com/finance?q=zendesk&ei=UnGZVtK-Go21mAGr... 6: https://www.google.com/finance?q=NYSE%3ALNKD&ei=ZXGZVqCWA4qHmAGg4IH4Bw https://www.google.com/finance?q=NYSE%3ALNKD&ei=ZXGZVqCWA4qH...
  • seizethecheese 11y ago
    Cherrypicked vs. cherrypicked. The only way to settle this is for someone to make a weighted index of tech IPOs in the last n years.
    • jonathankoren 11y ago
      weighted how?
      • supster 11y ago
        free float capitalization (e.g. http://www.renaissancecapital.com/index/ipousa.aspx http://www.renaissancecapital.com/index/ipousa.aspx)
    • mylons 11y ago
      That's the joke.
• vishalzone2002 11y ago
  Grubhub(Seamless): from $40 Apr 2014 to $21
• mandeepj 11y ago
  You forgot GPRO. It is $11 from $98 just few months ago.
• aaronbrethorst 11y ago
  Zillow did a 1:3 split in 2015. So really, that one should be $40 to $22.
  • tristanj 11y ago
    Yep. Nasdaq chat shows a split last August. I've noticed Google finance seems to have trouble with share splits. Other sites like Yahoo finance handle them just fine. http://www.nasdaq.com/symbol/zg/stock-chart?intraday=off&timeframe=4y&splits=on&earnings=off&movingaverage=None&lowerstudy=volume&comparison=off&index=&drilldown=off http://www.nasdaq.com/symbol/zg/stock-chart?intraday=off&tim...
• gniv 11y ago
  And Fitbit: from $51 in Aug 2015 to $18