Twitter (Re)Enters Bear Market

Tyler Durden's picture

For the second time in its brief life as a publicly-traded stock, the latest exhibit in 2013's FOMO meme has hit a bear market. At $59.78, Twitter has dropped 20% from its all-time high and must - must - be a bargain here?

 

 

It seems the fast-mony has greatly rotated from TWTR to CROX +14% (buying on the back of Blackstone's 'investment' in preferreds which could highly dilute the current common stock)...

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Debtonation's picture

I don't understand why it hasn't hit 0 yet.

Headbanger's picture

Oh no, not those Crocs queer clown shoes again!!  Agggghhh!! 

Colonel Klink's picture

Blackcock decided to buy them.  I hope everyone stops buying them and they lose their ass.

Pretty gay looking shoes to me.

MillionDollarBogus_'s picture

Facebook getting close to $60 per share...

NoDebt's picture

I'm no fan of them either, but at least they MAKE SOMETHING.  What's Twitter make (other than Carl Icahn richer)?

 

Colonel Klink's picture

Uh you mean Crocs are made in Canada and Mexico, so who makes something?

Twitter makes idiots and zombies.  And those are made by the millions around the world, much in the the US.  Which seems to be our primary product.

NoDebt's picture

How else is Mexico going to equal our high standard of living unless with let them build our stuff?  Surely not by lowering our own standard of living.  Surely not.

 

Colonel Klink's picture

That would Nevah happen!

Crocs are made in a variety of styles. They are usually manufactured in Crocs facilities in Canada and Mexico, and contract manufacturers in Italy, Romania, Bosnia and Herzegovina, Vietnam and China.

samcontrol's picture

I have three pairs of crocs each with a specific use.

 I guess i do have a guy shoe problem ,. and intend to go to SA meetings. just kidding no meeting more shoes :)

 

 

VD's picture

TWIITER FYI helps make this very place where YOU comment DAILY.

but how would you know that sitting exclusively here at the 'hedge all day and trashing shit you know nothing about¿¿¿

Osmium's picture

Wait, TWTR invented the internet?  I thought that was Al Gore?

VD's picture

AND ZEROHEDGE'S TWITTER FEED IS MOST EXCELLENT AND ROUNDS OUT THIS SITE QUITE NICELY. but you wouldn't know that bc you think you already know everything...

 

i guess 'making something' like ignorant comments is better than anything¿¿¿ and NO i don't think TWITTER is worth more than, say, $15 a share, but i don't think the S&P is worth even 800 when QE is removed from equation.

Osmium's picture

I admit that I don't know everything, but what I don't know, my brother knows.

VD's picture

unless your bro is NoDebt, i wasn't referring to him nor you...

Crash Overide's picture

"I don't understand why it hasn't hit 0 yet."

 

If you are reffering to revenue then it already has...

monkeyboy's picture

twitter #worthless #dotcom2.0 #itsnofacebook #myspacewhatsthat?

ZH Snob's picture

twitter is aptly named.  it reflects the flighty and capricious nature of its average user.  it's just perfect for the distracted with a short attention span.

rubiconsolutions's picture

"Revenue? We don't need no stinking revenue"

Agent P's picture

CROX?  Seriously?

Cursive's picture

@Agent P

Momos don't even know what CROX sells (or doesn't sell).

yogibear's picture

The DOT COM mania transitioned into the  social media mania.

Dr. Engali's picture

Crox.....LOL that momo stock was dead long ago.

orangegeek's picture

S&P500 down 1.3 - it's 952a - another volatile day.

 

 

Downtoolong's picture

Wasn’t TWTR supposed to get into the S&P500 before this happened, so that every 401k investor with an index fund would be forced to buy at the peak (aka structural market extortion)?

Oh wait, that’s Facebook.

Never mind.

Lendo's picture

What a Crox of shit

bwh1214's picture

I think the most telling chart about the stock market and it's vendibility to a crash is the margin debt.  It is at the highest point ever, the only times that were close were 2000 before the crash and 2007 before the crash.  Not sure of the data in 1929 but I know that borrowing to buy stock was one of the major causes.  Markets are much more susceptible to crash when they are levered, and all markets, housing, stocks, and bonds are all levered up due to the cheap credit created by the fed.

http://www.profitconfidential.com/wp-content/uploads/2013/12/Margin-Debt-On-New-York-Stock-Exchange-Chart.jpg

Here’s a good quote from Mises that I whole heartedly believe.

"There is no means to avoiding the final collapse of a boom brought on by credit expansion. The alternative is only whether the crisis should come sooneras a result of voluntary abandonment of further credit expansion, or later as a final total catastrophe of the currency involved”

The only question is whether the fed will destroy its only product, the US dollar, or allow a crash of the system.  Unfortunately the inevitable result will be a reset either way.  

 

NoDebt's picture

Vendibility?  Don't know what that means, but I like it.

bwh1214's picture

lol auto correct, gota love it.  Try

Vulnerability  

cnmcdee's picture

I looked at that chart and the repeating pattern is there is this *last* push of euphoric margin debt (spikes at the end of the bubble.) As in all charts anything that goes 'parabolic' reverses.  As soon as you recognize this - we still require the 'parabolic ramp' on this last 'super margin bubble.'

Which puts it squarely into about say March - August of 2014.

Israel is going to start a war in the spring with Iran, you can pretty much bet your bottom dollar.  The play then will be a sudden spike in oil prices to the $180 /barrel mark.  At that price the current economic structure of North America has to shift to local production (aka it's cheaper to pay someone to grow a tomato here, than to import it from slaveland of Mexico).  Walmarts, WalGreens and all the big block dealers will take the hit in repercussion.

People are going to get fed up with it all - I'm long on bicycles.

bwh1214's picture

I'm not going to touch the war issue, I have no clue.  But as far as equity markets, I believe that if the fed can successfully keep sending QE cash to the markets (unlikely with further taper) and the people buying stocks on margin don't get spooked the market can continue to rise.  Those are two really big "if's" that have to continue and I don't see it happing much longer. My investments, barring my 401k, are in gold silver and mostly cash right now.  I think there will be more buying/swap out opportunities with cash before it's value is compromised, though that's coming too hence the PM's.

ElvisDog's picture

Yawn. Another "Israel will start a Middle East war ...." prediction. If I had bet even $100 every time I have read that prediction on ZH over the past 4-5 years I would be broke.

Clowns on Acid's picture

Yeh why would Isreal start a Middle East war? Most Isrealis have a US or Euro 2nd passport. They would simply come to 'Merica instead. 

Colonel Klink's picture

Twitter cratering because iCON didn't tweet over the holidays.  Must be the hanukkah blackout.

philosophers bone's picture

Is Twitter still tracking with Tweeter Home Entertainment?  New Years bonus chart?

NotApplicable's picture

Can you find a better derivative?

adr's picture

FUNDAMENTALS!!!

GumbyMe's picture

Twitless crocs.

El Hosel's picture

20% just takes  a few days in the new normal... ( Two days for twitter ) if I re-enter my wife that often I am on a good run, wouldn't call it a bull market though.

q99x2's picture

The Criminal Federal Reserve got your back.

HaHaHaHaHa Ha.

22winmag's picture

Delist that mother!

Make_Mine_A_Double's picture

Really Crox? Maker of gay plastic/rubber shoes for toddlers and earth tards?

Looks like manipulation ala' Herbalife. A completely useless comsumer decrestionary stock going to the moon. Gee I wonder whose taking the plunge and bidding it up?