Ok folks, it's not often that I issue a rank do not buy statement on an S-1 (in fact, since starting the Ticker I can't recall ever doing it) but this is one where I feel I need to.
I'm basing this on one, and only one, criteria -- the rate of acquisition of new accounts is slowing.
That's all I need to know and it should be all you need to know -- the company filed the S-1 as soon as they detected this slowdown in December.
In addition participation is narrowing; there were 1.74 users monthly per daily user in 2011, but 1.86 a year prior.
These are potential signs of leveling off. The deal with almost-certainly price assuming a ridiculous price to sales and price to earnings multiple, which means that the growth numbers must be maintained as the P/E/G ratio will be in the stratosphere.
If it's not you're going to get your head cut off.
Further, upon reading the S-1:
I'm not touching this one.
Where We Are, Where We're Heading (2013) - The annual 2013 Ticker
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