I Spy a Bubble
There's going to be some huge winners in the social networking space, no question. But attempting to pick the ultimate winners in an industry with extremely low barriers to entry will be an exercise in futility. Individual investors who blindly chase after these stocks following their IPOs are taking the same risks their dot-com-chasing counterparts took more than a decade ago. In most cases, it will lead to damaged portfolios and more than a few tears.