There were warnings and warnings and warnings that this IPO was an overpriced scam.
Even Goldman Sachs, the erstwhile arch-hyper of Facebook, announced before the IPO that it would be selling its stake in the offering.
So what kind of idiot still goes ahead and buys at the offer price?
Of course there's all this stuff about the Facebook guidance changing during the road-show and only being divulged to a select few.
This is useful ground for a lawsuit for the $38 suckers to recoup some of their money, but it doesn't explain the glaringly obvious truth that the Facebook site was never in a month of Sundays ever going to be worth $100 billion.
The smarter money knew that and shorted the stock from the moment of the IPO.
Of course no one admits they bought Facebook at $38, but it would be lovely to hear from someone who did what were his reasons.
Is he nuts? Or so bored that he needed a rush from doing something similarly stupid like bungee jumping, rogering an alligator or downing a brace of Long Island Iced Teas?