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Those "last-sucker-in-line-investors" could have also invested in LinkedIn [1] and Zillow [2], both of which have done reasonably well after their IPO.

Easy to pick a company to use to reinforce a message (37 Signals would have made a better case against non tech company GM [3], which had hype and government assistance and is still on the way down)

[1] http://finance.yahoo.com/q/bc?s=LNKD+Basic+Chart&t=2y

[2] http://finance.yahoo.com/q/bc?s=Z+Basic+Chart&t=2y

[3] http://finance.yahoo.com/q/bc?s=GM+Basic+Chart&t=2y

* edited for formatting



DHH has been pretty clear in the past what he thinks about LinkedIn - that they're a disaster waiting to happen - and looking at the P/E he may well think the same of Zillow. The saying about markets staying irrational longer than you can stay solvent applies here.


Linkedin is trading at 698 times earnings. I'm siding with DHH in the long run on that one.




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