Snap Chat IPO

[GorillaNerd]

I hate ebitda.shitty proxy. But I had no idea amzn is 20x that’s relatively cheap

@Tommy83

@ohai

Well, if people did not buy stock of unprofitable companies, they would not buy AMZN, TSLA, or others also. SNAP is unprofitable, but it is also in a competitive field with fickle users and no real advantage, and it is run by dickweeds.

It is all about the cash flows with Amazon. There are a ton of non-cash charges flowing through their income statement that make them look less profitable. They generated $10B of FCF in 2016 and that growth rate has been very impressive. The valuation is still pretty rich at >20x EV/NTM EBITDA but its actually an investable company that generates free cash flow. I don’t get the Whole Foods thing but it is a legitimate investment and different than SNAP and TSLA.

I agree on Tesla – I am short if anything but at least they offer the world a productive product. SNAP is just some stupid company that burns tons of money. There will probably be a vicious short squeeze on SNAP at some point driving it higher but it is going lower long-term.

[igor555]

@Nerdyblop

Fb was 8 years old. Snapchat was 6 years old. Snapchat is doubling revenue every year. Expecting 2b next year and prolly 4b after. If anything snap chat had an early ipo

@igor555

folks compare SNAP to FB when it went public but what folks are forgetting is that FB was generating very nice FCF while snap is burning thru cash

doubling revenue dont mean jack when your costs are growing faster.

btw i read today that twitter added 0 new accounts last month, thats nuts

[GorillaNerd]

dude twitter is good for stocks though try it. $SNAP. watch yourself get flooded with latest news.

[igor555]

almost buy time

[ohai]

Wow, I actually stopped checking and it’s below $13 now.

[pokhim]

@igor555

almost buy time

why you going to buy it? Isnt Snap dead?

[igor555]

nerdy gonna buy 10k at 12

[thanatos0320]

I wouldn’t be surprised if this company gets bought by Facebook or Google within the next couple of years. Facebook pretty much copies snap, and Snap seems like the kind of company Google would because because they could use each other for advertising help/social media.

[GorillaNerd]

^lotta articles have been coming out about this.

supposedly google was going to buy them out for 30b

[igor555]

why would FB buy them, fb pretty much copied what they needed.

someone like google might might them but that can wait till its almost bankrupt to get them cheap.

nerdy when u loading up?

[GorillaNerd]

once they;re profitable lol. and when they stop issuing bullshit shares. lol

[thanatos0320]

@igor555

why would FB buy them, fb pretty much copied what they needed.

someone like google might might them but that can wait till its almost bankrupt to get them cheap.

nerdy when u loading up?

Facebook is not trendy enough for teenage users and it has been losing that user base because of that. By acquiring snap, Facebook would be able to increase it’s teenage user base.

[ohai]

It’s for the “users”, but FB doesn’t need to acquire companies for user growth, it seems. So, a more suitable acquirer would be some older company that wants to get into social media, like Verizon or something. These guys don’t have the internets skills or the engineers who can quickly develop a social media platform.

[igor555]

@thanatos0320

@igor555

why would FB buy them, fb pretty much copied what they needed.

someone like google might might them but that can wait till its almost bankrupt to get them cheap.

nerdy when u loading up?

Facebook is not trendy enough for teenage users and it has been losing that user base because of that. By acquiring snap, Facebook would be able to increase it’s teenage user base.

fbook can recreate snap as a standalone app in like a month. why do they need to buy snap?

[GorillaNerd]

fbook grew that shit. cuz everyone that had an fb was asked to make an insta. then now everyone with an insta was asked to join insta story. i technically have all of it and i check rarely, but i bet i am considered a mau.

[Matt_Likes_Analysis]

earnings… oh SNAP!

[ohai]

$11.60, Igor, are you going to buy or pussing out?

[igor555]

i would never buy this garbage. Nerdy was the one loading the truck under $12

[GorillaNerd]

i never dropped 10k cuz im a pussy. considering the drop in price, i’m really surprised at the weak volumes.

[igor555]

nerdy missing the gains