The MacDougal Post: The Facebook IPO

May 23, 2012

The Facebook IPO

We’ve avoided comment on this one because our blogger couldn’t figure out what the geeks at Facebook (FB) did exactly. He still can’t, but based on his own wall, or whatever they call it, a tiny proportion of users – possibly under 1% - seem to be doing 99% of the social networking, if that’s what’s going on with that, and they're mostly businesses and non-profits, or people related to businesses and non-profits, and this Zuckerberg person, or one of his minions, keeps firing off emails to you if you don’t read all that “content” by visiting the website as much as he wants you to. We’ve already had to “unfriend” two abusers who were making it impossible to do much of anything but scroll through pages and pages of their stuff for pictures and headlines from somebody else that might actually be important to us, and well, face it, Facebook, who on Earth cares what the Facebook 1% has for dinner every night and why is that worth anything, let alone hundreds of billions of dollars of public savings in a stock offering?

Our blogger priced Facebook stock at zero for the IPO, and thinks this Zuckerberg person needs to pay his customers money for all the d#mn trouble he causes them with this stupid thing of his.

Anyway, an investment issue has finally come up that we can actually address: the Crime Families have been pounding FB stock down since the offering, and why aren’t they all going to jail for it? Morgan Stanley sets the most absurd price it can get away with, and the pack of them know it, and everybody in the mob plays the short side and pounds the price down and down and down right out of the gate.

It isn’t exactly the first time these goons have pulled this scam. With them, it’s all about setting an offering price uninformed people with scandalously inadequate information are willing to pay, and then robbing them blind because you made them blind. With the aftermarket price pounding thrown in, why doesn’t law enforcement ever call this brand of racketeering what it really is: FRAUD?

Hotshots at the Securities and Excuses Commission belong in the clink too, or did we say that already?

Inside the Scam

Short-sellers flood markets with bogus shares, involving buyers in bookkeeping transactions, not stock, and not telling them about it. Wall Street helps hide the fraud with Madoff accounting, even letting shorts pay dividends as part of this scam, duping investors into believing they get real dividends paid by the company they thought they invested in.

Worse, short-selling, in effect, adds these phony shares to the actual total number reported in company financial statements, which goes into the various earnings per share (EPS) calculations, essential components of the critical metric universally used to value common stocks, the price/earnings ratio (P/E). In a selling frenzy, EPS can be cut from, say, $4.00 to $0.40 or $0.04 or whatever, by the immense volume of fake shares these pretend investors are drubbing the real ones with at point of purchase.

Every reference made to P/E as a calculable metric is a lie. Our stock market is gamed by short-side racketeers, rendering equity investment in this country a massive securities fraud. Their humongous swindle purloins much of our savings during every market downdraft.

Odds are the SEC staff belongs in jail. Gangland racketeering is more than enabled by the complicity of our regulatory hotshots. Mob stooges inside that agency have spearheaded these cons for generations, flat out lying to us all those years.

Surely, the SEC's remarkable contention that short-sellers borrow their shares from you and me is, in its downright absurdity, the nadir of arrogance and criminal obfuscation.

That's why we're never asked to go along with it.

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As our young readers know, any loser who steals mommy and daddy's savings is a stupid ninny.

Wall Street hires the biggest dumbbells in the world. That's because God hates stealers, and the nincompoops don't even know it.

Keep an eye on bad men like hedge fund managers, bank CEOs and proprietary traders right here in The MacDougal Post. Incorrigible dingbats like Mucus Poole-Knightly, Pockets MulGoon, and Lewie the Dip, just to name a few of the head cases found on the site, are contracted to appear here exclusively.

You won't find that kind of financial coverage anywhere else in cyberspace.

Check in with us regularly to find out what's really going on with your money, if there's any left. And when it's all gone, take a shower whenever you can and drop in on us from the local public library.

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May 23, 2012

The Facebook IPO

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