Square stock drops 10%, is now less than IPO price • Hacker News Board

Re: Square stock drops 10%, is now less than IPO price

#71

Post by chishaku » Wed, Jan 20, 2016, 7:07 PM UTC

ihsw wrote: post #47

myth_buster wrote: post #42

Earlier quoted context omitted.

WaPo: Global markets plunge on oil/China fears. https://www.washingtonpost.com/news/business/wp/2016/01/20/n...

To add more context to this -- the markets have been sliding since Sunday due to Chinese intervention in the markets (including raising RMB reserves for Chinese banks), and there is a lot of shakeup expected from the lifting of Iranian sanctions and the Saudi Aramco IPO internal debate (could be largest IPO in history and it would be company with the largest market cap in history, yes bigger than Apple's). The enviro…

> The environment should stabilize by 2016Q2.

Don't hold your breath.

Re: Square stock drops 10%, is now less than IPO price

#72

Post by ryanSrich » Wed, Jan 20, 2016, 7:11 PM UTC

gtrubetskoy wrote: post #13

All the food trucks, street and market vendors, estate and yard sales, handymen, etc I see accept credit cards using Square. If they figure out how to hang on to this market and grow as these little vendors grow then they're in good shape. Being down 10% when the Dow is down 400+ points for days on is not unusual. The big question is - who is Square competing with.

Exactly my thoughts. In fact I can't remember the last time I saw a restaurant, coffeeshop, or food truck NOT using Square. If Square went belly up those vendors may have to forfeit accepting credit cards. I've not seen a more affordable competitor.

Re: Square stock drops 10%, is now less than IPO price

#73

Post by blhack » Wed, Jan 20, 2016, 7:12 PM UTC

dasil003 wrote: post #36

gtrubetskoy wrote: post #13

All the food trucks, street and market vendors, estate and yard sales, handymen, etc I see accept credit cards using Square. If they figure out how to hang on to this market and grow as these little vendors grow then they're in good shape. Being down 10% when the Dow is down 400+ points for days on is not unusual. The big question is - who is Square competing with.

If the tech bubble bursts I'm not sure who is going to be buying the $15, undersized lunches that the new wave of food trucks is flooding the market with.

The $3 oversized lunch that comes on a food truck that serves mexican food and primarily seems to service factories and the like uses square too, btw.

Re: Square stock drops 10%, is now less than IPO price

#74

Post by pavel_lishin » Wed, Jan 20, 2016, 7:12 PM UTC

JonFish85 wrote: post #44

dantillberg wrote: post #21

Earlier quoted context omitted.

Ha, yes. I don't own a home, but I would like to someday, so I'm always confused how news about falling home prices is treated as "bad" in general in the media. For me, I celebrate the news. I want housing prices to go kaboom so I can afford one.

The problem with that though is that housing prices are tightly tied to surrounding economic factors. You could go to some crappy neighborhood in a depressed area of the USA and get a great house for "nothing" (relative to, say, CA). If housing prices go kaboom, it's likely because there aren't as many people moving there, and people aren't moving there because there aren't jobs that can support people. And be carefu…

But at least you still have a house, and steady, predictable payments - instead of rent that could start creeping up and up and up.

Re: Square stock drops 10%, is now less than IPO price

#75

Post by PretzelPirate » Wed, Jan 20, 2016, 7:18 PM UTC

jmagoon wrote: post #41

dantillberg wrote: post #21

Earlier quoted context omitted.

Ha, yes. I don't own a home, but I would like to someday, so I'm always confused how news about falling home prices is treated as "bad" in general in the media. For me, I celebrate the news. I want housing prices to go kaboom so I can afford one.

Yes, but as soon as you buy one you will want housing prices to go up, just like any investment.

Eventually. I'd personally love it is my house stopped increasing in value so I can pay lower property taxes. My value went up over $100k in the first year after I bought it.

Re: Square stock drops 10%, is now less than IPO price

#76

Post by myth_buster » Wed, Jan 20, 2016, 7:18 PM UTC

foldor wrote: post #69

pc86 wrote: post #63

Earlier quoted context omitted.

We should just prevent accounts fresher than 24 hours from posting comments.

That's not an answer. There are too many reasons someone would need to post within 24 hours of creating an account. For example, someone creates a blog post that gets posted to HN by someone else and they enter the comments to answer some questions, while the discussion is still going on.

Or scenarios where throwaways are warranted to prevent leakage of personal info. I think flagging/downvoting worked well here considering the post is an hr old.

Re: Square stock drops 10%, is now less than IPO price

#77

Post by freehunter » Wed, Jan 20, 2016, 7:21 PM UTC

pc86 wrote: post #63

bro_dong_app wrote: post #55

cool story brah, you won't be missed. should have negotiated options at your job.

We should just prevent accounts fresher than 24 hours from posting comments.

It's very rare that I see a comment flagged to deletion. This might actually be the first time I've seen it.

Re: Square stock drops 10%, is now less than IPO price

#78

Post by dang » Wed, Jan 20, 2016, 7:22 PM UTC

bro_dong_app wrote: post #55

cool story brah, you won't be missed. should have negotiated options at your job.

We banned this account and detached this subthread from https://news.ycombinator.com/item?id=10940125 and marked it off-topic.

Re: Square stock drops 10%, is now less than IPO price

#79

Post by rdl » Wed, Jan 20, 2016, 7:22 PM UTC

boomzilla wrote: post #19

dantillberg wrote: post #7

Well, the NASDAQ[0] and DJIA[1] are both off 3% for the day right now, along with every other index around the world. Or, to talk about price movements that are probably a bit more noteworthy, crude oil futures on NYMEX[2] are down ~7%. It's been kind of a (minor) bloodbath so far in the markets today. So, a 10% drop for a young, growth-oriented company is not terribly surprising on a day like today, I'd think. 0: ht…

Well, for some people, myself included, the not-going-so-well recent IPOs (Square, Box, etc.) would help deflate the pressure on housing prices in SF/BA. I feel for the workers at these company, but it's becoming impossible to raise a family here when the rent/mortgage is creeping up to more than half of most people's salary.

On the rent front, I doubt it -- salaries are just increasing to match.

All-cash comp in the 300-500k range is surprisingly common (at least for 10+ year experience people in hot fields); add any luck on equity, and 2 incomes, and you can afford SF rents as they stand.

Being able to reliably get a $300k/yr cash salary (salary+bonus, but still cash) seems more related to absurd rents than 10% of people getting huge equity payouts (which tend to not even be that huge). I also think a lot of people who get $1-5mm equity windfalls often think "oh, buy a house somewhere else" vs. "a small condo in SF".

(equity does affect the buy market; if there were a rate hike and China implosion at the same time, but people still had equity money, they'd probably be the majority of buyers.)

Re: Square stock drops 10%, is now less than IPO price

#80

Post by dang » Wed, Jan 20, 2016, 7:23 PM UTC

freehunter wrote: post #77

pc86 wrote: post #63

Earlier quoted context omitted.

We should just prevent accounts fresher than 24 hours from posting comments.

It's very rare that I see a comment flagged to deletion. This might actually be the first time I've seen it.

Happens perhaps a couple dozen times a day.

They're not truly deleted, because you can read them if you turn 'showdead' on in your profile. There is such a thing as deletion too, but only a comment's author can do it, and only for the first two hours.