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Wednesday, August 15, 2012

Social Media Stocks

Today I bought some stock in Facebook, Zynga, and Groupon.
It is a risky play, all have questionable business plans to increase profits.

All have been recently brutalized by the market, and FB and ZNGA have seemingly stopped the stock freefall.  Facebook insider selling can begin August 16th, quite likely the end of the selling is soon.  (Thanks greg)

Below is their charts.
I do not recommend any as a buy and 10 year hold, more like buy and think every week how crazy or genius is it to own.  These stocks have a few things going for them, Social networking is here to stay and they have hordes of cash.  I see social network transforming in the decades to come.  With their positioning and cash, surprises to the upside are not unreasonable.

Groupon by far is the biggest risk, but also most to get reward if they can do ANYTHING positive!

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