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Comment on Snapchat's Evan Spiegel: ‘We Need to IPO’parent

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Do you think every investor is going to read that before considering buying? That's a serious question, as I don't see any reason to have such a great amount of faith considering the previous tech bubble.

No that won't matter, imho, because it's not a value-based investment. It's a growth investment and the only question that needs to be answered is - will the stock go up? An S-1 on a company that has no profits and very few hard assets will tell you very little. But that won't stop investment, because that's not what they're looking for.

Well I would argue if they're positioning it as a growth based investment, that's a huge red flag to you, the potential investor. But of course, some people will believe in their story.

It would only be a red flag if I was a value-based investor. Warren Buffet won't be there in other words. But if revenue, profit, earnings, and assets were the only metrics used for investment the stock market would be tiny compared to where it is today.

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