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The Chart Alibaba's Underwriters Would Prefer You Didn't See

Tyler Durden's picture




 

While the excitement is palpable on business TV, tomorrow's unleashing of Alibaba on US publicly traded markets could be less than exuberant. Judging by the performance of the last five largest US IPOs, Bloomberg notes that on average they fell 17% in the first year. Still we are sure, those who buy at the open tomorrow will be smart enough to know when to get out (hint: right before everyone else).

 

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Thu, 09/18/2014 - 11:57 | 5230328 NidStyles
NidStyles's picture

That's cute, but Alibaba is not any of those fecal stains of corporate America.

Thu, 09/18/2014 - 12:02 | 5230344 NoDebt
NoDebt's picture

No, they're a fecal stain of corporate China.

Thu, 09/18/2014 - 12:12 | 5230379 Zirpedge
Zirpedge's picture

China is developing it's own computer hardware and internet service. http://www.lemote.com/en/products/cpu/2010/0310/113.html The loongson CPU running a Kylin operating system. Alibaba will always just be a western internets .com where you can buy heavily subsidized goods that destroy American manufacturing.

Thu, 09/18/2014 - 12:20 | 5230418 nuclearsquid
nuclearsquid's picture

Ha - it looks like a middle finger!

Thu, 09/18/2014 - 12:42 | 5230496 NidStyles
NidStyles's picture

"destroy American manufacturing" 

 

Hate to tell you, Americans destroyed American Manufacturing. Chryslers been polluting the product pool with it's garbage for the past 30 years now. Any idea that it's the Chinese fault are delusions to convince you of the opposite of the truth, which is that your own government sold you out. If the US populace wanted good goods rather than cheap goods, they would have them. 

 

Alibaba does one thing, it provides for the world that which the US refused to produce. 

Thu, 09/18/2014 - 14:48 | 5230925 TheReplacement
TheReplacement's picture

Rookout berow, 900Mhz CPU!!!

Thu, 09/18/2014 - 12:47 | 5230523 Groundhog Day
Groundhog Day's picture

pump and dump on a large scale, no one believes that BARCLAY's, GS, MS, et al would ever do that so they blindly buy. 

 

can someone smarter then me explain ALBCF.pk.  why was it pulled and the 6.7b market cap then

Thu, 09/18/2014 - 12:58 | 5230583 Vampyroteuthis ...
Vampyroteuthis infernalis's picture

Isn't that the intention of an IPO? The underwriter dumps the overvalued stock onto suckers driving down the price?

Thu, 09/18/2014 - 12:47 | 5230524 Groundhog Day
Groundhog Day's picture

pump and dump on a large scale, no one believes that BARCLAY's, GS, MS, et al would ever do that so they blindly buy. 

 

can someone smarter then me explain ALBCF.pk.  why was it pulled and the 6.7b market cap then

Thu, 09/18/2014 - 12:05 | 5230357 Mr Pink
Mr Pink's picture

Main stream media finally figured out what we have been thinking for years

http://finance.yahoo.com/news/instead-qe-fed-could-given-094500275.html

Thu, 09/18/2014 - 14:52 | 5230943 TheReplacement
TheReplacement's picture

Let us know when MSM figures out that the Fed has taken $56K + fees and interest FROM each of US and KEPT it for THEMSELVES (banks).

Thu, 09/18/2014 - 12:07 | 5230372 devo
devo's picture

Translation: I bought some of these shares and want to party like it's 1999.

Thu, 09/18/2014 - 13:23 | 5230663 LikeyMikey
LikeyMikey's picture

why do you think they chose to list in America if China is so "clean and Honest"?

Thu, 09/18/2014 - 12:00 | 5230339 pods
pods's picture

Alibaba shares will only be available in lots of 5000 shares and will have a two to three week lead time.

Be sure to use a gold supplier for your shares to avoid any counterfeit shares.

You may click here and chat with "Tina" if you have any questions, or are just bored and lonely.  (Tina is really a guy, but on the internet that doesn't really matter)

pods

Thu, 09/18/2014 - 12:03 | 5230352 NoDebt
NoDebt's picture

There were no IPOs 2001-2006.  Or in 2011 for that matter.

Thu, 09/18/2014 - 12:07 | 5230366 hankwil74
hankwil74's picture

Yeah... owning Facebook has been horrible! Who wants to double their money?  People in 2012 should have bought gold!

 

Thu, 09/18/2014 - 12:09 | 5230383 astoriajoe
astoriajoe's picture

I guess we won't know the cost to your soul until much later.

Thu, 09/18/2014 - 12:10 | 5230384 devo
devo's picture

No, people in 2001 should have bought gold.

Facebook has been a suprisingly good stock, but everyone in my circle is adblocking and/or closing their accounts.

Thu, 09/18/2014 - 12:37 | 5230483 Groundhog Day
Groundhog Day's picture

since the introdution of facebook, i have asked (quite seriously) over 250 people how many times they clicked on a facebook ad, 250 people resonded never.  Why would any company piss away money on facebook ad's is beyond me

Thu, 09/18/2014 - 13:00 | 5230560 devo
devo's picture

Yeah I don't know anyone who has ever clicked. Based on my use of FB and my friends, I feel FB is cooking their books, because I don't know a single person clicking ads or in any way generating revenue. In fact, it is the opposite, we are using all their bandwidth, storage, etc. The only way for them to make money is to sell profiles to companies because it's sure not from ads. Half my friends use fake profiles, fake names, etc. From an investment standpoint, it is hard to know what you have with FB. I'd short it if the market were at all normal. The social media sites are trendy and this one will pass. The guy above is patting his back for doubling his money on FB. Cool. But I remember 1999 very well. People were doing the same thing over pets.com and jerry's deil...this is the tech/ipo bubble part 2. Luckily I am older and can see it clearly this time.

Thu, 09/18/2014 - 13:15 | 5230640 syntaxterror
syntaxterror's picture

Those slimy faggots get paid by 'impressions'. That is, it just has to be shown on your screen. The actual 'click' and any subsequent conversion is also tracked by those cum guzzlers.

Thu, 09/18/2014 - 14:54 | 5230959 TheReplacement
TheReplacement's picture

You forget that their biggest customer is probably government spy agencies (not just ours). 

Fri, 09/19/2014 - 10:08 | 5233754 astoriajoe
astoriajoe's picture

I've clicked on my phone by accident, while scrolling through with my thumb.

Thu, 09/18/2014 - 13:23 | 5230667 LikeyMikey
LikeyMikey's picture

what is the P/E and revenue stream of Facebook right now?

Thu, 09/18/2014 - 12:17 | 5230407 buzzsaw99
buzzsaw99's picture

fb p/e = 100

i.e. the new normal

Thu, 09/18/2014 - 13:16 | 5230642 syntaxterror
syntaxterror's picture

the kids, ie. anyone under 20, couldn't care less about FB.

Thu, 09/18/2014 - 12:30 | 5230451 Jameson18
Jameson18's picture

The question is DID YOU SELL IT ? If not shut the f up.

 

Thu, 09/18/2014 - 12:19 | 5230414 youngman
youngman's picture

I bet China arrests this guy within 3 years and takes over this company....

Thu, 09/18/2014 - 12:31 | 5230462 disabledvet
disabledvet's picture

It is interesting that the listing is in New York.

Obviously the underwriters will bail on Day One and their profits will be beyond imagination.

I still can't get out of my head "how has any of the last thirty years benefitted Banking?" They all look like bubbles instead of recovery to me..."all created to finance a huge Regime of Debt and taxes."

I think to believe Wall Street is trying to finance anything different this go around is pure folly and delusion.

The oddity that the biggest energy boom in world history has a "missing transfer mechanism" (meaning something other than growth in "financialization") really does stand out to me.

Who's actually doing any work here?

The military seems about it actually...

Thu, 09/18/2014 - 16:31 | 5231329 silverer
silverer's picture

It's no longer about what a company can really earn, but how you can manipulate the hoopla to fill up your pockets.

Thu, 09/18/2014 - 16:27 | 5231319 silverer
silverer's picture

That actually might be the US making that move...

Thu, 09/18/2014 - 12:20 | 5230421 Kaiser Sousa
Kaiser Sousa's picture

Dow 20,000
NasCrap 6,000
S&Piss 4,000

Gold - $500
Silver - 0.

Thu, 09/18/2014 - 12:29 | 5230457 devo
devo's picture

The loser now will be later to win, for the times they are a changin'--Dylan

Thu, 09/18/2014 - 14:56 | 5230965 TheReplacement
TheReplacement's picture

Send me all that worthless silver.  Heck, I'll even pay $.01 an ounce just to sweeten the deal for you.  Tell everyone you know.  Post it on FB too.

Thu, 09/18/2014 - 12:32 | 5230466 Leonardo Fibonacci2
Leonardo Fibonacci2's picture

Alibaba & the 40 thieves. This may just end the same way, thieves running with the cash while 99.9% are left holding the empty bag.

Thu, 09/18/2014 - 12:48 | 5230525 LongOfTooth
LongOfTooth's picture

Your chart reminds me of statistics as in -- there are lies, there are damned lies and then there's statistics.

 

Thu, 09/18/2014 - 12:53 | 5230556 inhibi
inhibi's picture

Wow, just had to point out that China's computer hardware is about a decade behind Intel's....DDR2? 900 mHZ?? LOL

 

And don't think that they wont put the same backdoors in their hardware that the NSA puts in ours.

Thu, 09/18/2014 - 13:25 | 5230678 LikeyMikey
LikeyMikey's picture

Think?......

 

HAHA could I tell you stories!!!!!

 

Personal experience is they WILL and the DO ...  and if you live there, you can rest ashured they will PHYSICALLY enter your place of residence to look!!  forget the hardware

Thu, 09/18/2014 - 14:03 | 5230782 sleigher
sleigher's picture

Yeah but it will like those AMD backdoors, they are slower and never work quite as well...   :D

Thu, 09/18/2014 - 13:06 | 5230608 orangegeek
orangegeek's picture

calling all bagholders!!!!!! get your BABA now!!!

Thu, 09/18/2014 - 13:57 | 5230757 esum
esum's picture

JACK MA IS AN ALIEN AND CHINA WILL MANIPULATE THE BOOKS...... GOOOD LUCK

Thu, 09/18/2014 - 15:18 | 5231066 dondonsurvelo
dondonsurvelo's picture

Who gives a crap about the first year of the IPO.  FB opened at @$39 and is now at @$80.  V opened just below $60 and it is now @$220.  Even GM is right where it opened and nobody thought it would ever be any good.

Thu, 09/18/2014 - 16:11 | 5231263 Super Hans
Super Hans's picture

I don't know. Anyone here try and do business with Alibaba?

We spent months trying to find parts suppliers over there.  Most were a no go.  

We found disinterest, combined with a lack of language skills to be a major barrier to entry.

We did find one great supplier on Alibaba, but they share our values, such as fast response times, and answering questions completely.

 

SH 

 

 

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