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Technology Stocks : Renren -- Ignore unavailable to you. Want to Upgrade?

To: zax who wrote (46)	5/11/2011 10:05:09 PM
From: FR1	Read Replies (1) \| Respond to of 310

What a waste of time. The article says absolutely nothing that is not already known. Like most idiot writers this guy waits for a stock to go way down and then says this is a bad stock without giving any new information or any critical analysis. He just copies and pastes drivel he has heard on yhoo chat boards. Anybody can do that. I am sure he has another article all written for when the stock goes up. It is pretty obvious he is just mindlessly repeating stuff: "The problem is that the company previously overstated its growth rates in its prospectus..." A journalist would point out that the overstatement was not that huge (1.5 million new subscribers instead of 1.7 million), it was a translation error (the original Chinese was correct) and it happened well before the IPO so the share prices could be adjusted if the authorities felt it was material and the company CEO explained in detail the error and publically apologized for the typo (I watched him do it on TV). "Then, to add insult to injury, the head of its audit committee resigned..." Uh Oh...the writer forgot to mention (or did not know) that the head of the audit committee left the company not because he saw criminal activity but because he was on the board at a competitor and they felt it would be a conflict of interest. There are hundreds of people who want to sell themselves to the public as journalists who are cranking out negative articles. I am sure that right now he is looking up the next stock that went down today and just adjusting the type a little to fit them. The real story is that nobody knows what will happen. It is a brand new company in the quiet period. It has great leadership and position in the industry. And yes it was priced high. Every Chinese internet IPO went through the same big time sell off period RENN is going through after going public. A real journalist would point out that it would be a shock if the stock did not sell off in a big way. A real journalist would even plot the early IPO days of SINA, YOKU, BIDU, DANG, and RENN so you can really see where things are at. You have a big sell off because that is how everybody that sponsored the IPO gets paid. After the stock hits bottom it will flatten out and then we see what the public really thinks. Nothing has changed with this meaningless article at all. If you did not like RENN because it was overpriced then you should be happy now. The company just moved up from the number 15 spot on the most viewed website in China to number 14. That is the only new news that I know of.