WeWork IPO Is a Sobering Thought

IMG Auteur
 
 
Published : May 16th, 2019
307 words - Reading time : 0 - 1 minutes
( 0 vote, 0/5 )
Print article
  Article Comments Comment this article Rating All Articles  
0
Send
0
comment
Our Newsletter...
Category : Opinions and Analysis

24hGold - WeWork IPO Is a Sobe...

Today’s chart shows ponderous supply sitting on the Nasdaq 100. The two smaller peaks to the left were made significant by the size of the decline that followed them. They harbor many investors who undoubtedly are eager to exit now that the broad averages have returned to those record levels. There is a further impediment in the form of the head-and-shoulderish formation at the righthand edge of the chart. Taken together, it’s possible the three peaks could turn back a stampede of short-covering. We just don’t know.

What we do know is that for the foreseeable future, physical supply, whatever its size, will weigh less than the unnerving perception that three high-profile IPOs are about to flunk their entrance exams. Two of them, Uber and Lyft, have already done swan dives after their insulting accounting practices became headline fodder. WeWork’s impending IPO will make Lyft’s and Uber’s look like a swing-dance party.  The office-rental giant is the juiciest piece of red meat thrown to bears in a long while, a stock that cries out to be shorted when it starts trading, presumably sometime in 2019. And so does the Nasdaq, for that matter. There is no way it can achieve new record highs with Wall Street sweating the debut of WeWork and numerous other unicorns. Usually fantasy stocks get marked to market only after actual profits impose a PE ratio on them. In this case, however, there’s already enough skepticism toward WeWork’s louche definition of success to suggest that the IPO when it finally happens will be, not a swing-dance party but a jazz funeral.

Click herefor a free two-week trial subscriptionthat will give you access to all paid features and services ofRick’s Picks, including daily, actionable trading recommendations and a ringside seat in a 24/7 chat room that draws veteran traders from around the world.


|
<< Previous article
Rate : Average note :0 (0 vote)
>> Next article
Rick Ackerman is the editor of Rick’s Picks, a daily trading newsletter and intraday advisory packed with detailed strategies, fresh ideas and plain old horse sense.
Comment this article
>Follow all commentairies
You must be logged in to comment an article8000 characters max.
Log in or Sign up
Latest comment posted for this article
Be the first to comment
Add your comment
Top articles
Latest Comments
Crisis? What Crisis?
11 Maycarlomar
This is an excellent article, it deserves 5 STARS, your rating system is failing. I wanted to give it 5 STARS and the system marked obly one. M...
Crisis? What Crisis?
13 MayJ.
Yes! A return to constitutional government is what is in order.
More Trouble in Mexico: Second Largest Silver Mine Suspended Operat...
06 Mayrokdok25
I thank you for outing a thoroughly rapacious operation which not only harms the environment and its local communities, but which damages the reput...
Body Armor: Because If You’re Shooting Down Range, You Can Bet Some...
04 Mayprljr-1
Ah, sympathy for the triggered child. how sweet
Tom Petty was Right
01 Maywalkingdead1
The always insightful Mr Kunstler had me captured with his opening sentence: "anxious, fearful, and stressed-out", which pretty much describes my o...
Boeing 737 Max Unsafe to Fly: New Scathing Report by Pilot and Soft...
30 Aprsneezy671
The "Anything to save a few bucks" routine and we the passengers lose big time. Replacing costly intense pilot training for particular aircraft wit...
Body Armor: Because If You’re Shooting Down Range, You Can Bet Some...
27 AprWatchdoctor0
Hey, I love ya, and so do a lot of the other guys. You hang in there ! https://www.youtube.com/watch?v=msn-mDaJInA
Body Armor: Because If You’re Shooting Down Range, You Can Bet Some...
26 AprS W.-2
Honestly.. I thank those for all the down arrows Just confirms how effing stupid your below average sub human American can get. Good luc...
Most commented articlesFavoritesMore...
World PM Newsflow
ALL
GOLD
SILVER
PGM & DIAMONDS
OIL & GAS
OTHER METALS