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Mark Cuban reveals how he protected himself from losing the 1.4 billion dollars he made selling Broadcast .com to Yahoo "We sold the company to Yahoo for stock. I had seen stocks go up and stocks go down. I told everybody, there's a good chance the whole thing could...

1,588,391 views • 2 months ago •via X (Twitter)

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A man sold a website with no profits to Yahoo for $5.7 BILLION on April Fool's Day. Yahoo thought it was the deal of the century. They shut it down three years later. – Mark Cuban grew up in Pittsburgh selling garbage bags door to door at 12 to afford basketball sneakers. – In 1995 he started a company called The idea was simple. Let people listen to out of town sports radio on the internet. That was the whole company. – In 1998 he took it public. On the first day of trading the stock jumped 250 percent. The company hit $1 BILLION in value. Cubans owned 30 percent of it. – They had 570,000 users. The company had never made a single dollar of profit. – Yahoo was in a war with AOL and Microsoft to become the dominant homepage of the internet. – They were spending BILLIONS buying anything that looked like the future. – On April 1 1999, April Fool's Day Yahoo bought for $5.7 BILLION. Cuban's personal share was $1.4 BILLION. – But Cuban was nervous. The dot-com bubble was clearly out of control. So he paid $20 MILLION in fees to Wall Street banks to lock in a guaranteed price on his Yahoo shares before the market crashed. – Six months later the bubble burst. Yahoo stock fell from $300 to $5 per share. Had he held on his $1.4 BILLION would have been worth $25 MILLION. – He walked away with every dollar. Wall Street called it one of the top ten trades of all time. – Yahoo shut down in 2002. Three years after paying $5.7 BILLION for it. – In 2017 Verizon bought all of Yahoo for $4.5 BILLION. Less than what Yahoo paid for Cuban's website alone. – Cuban used the money to buy the Dallas Mavericks NBA team and became one of the most famous investors on Shark Tank. A website with no profits sold for $5.7 BILLION on April Fool's Day and shut down three years later.

Aisar

1,078,245 views • 1 month ago

I'd like to tell you a quick story of how I learned a very valuable, and very painful lesson in 2008 I had a 💰 windfall This was during the great finance crisis, the Covid of that era. I had nothing better to do 🤷‍♂️ and to relieve that boredom and regain the thrill, I started trading stocks. I discovered a little co called intuitive surgical, I think I was on one of their very first demonstration of the potential of the da Vinci. It was before the company really took off, I think it was around early 2008, but whatever. I bought a ton of the stock and I mean a ton If I were to carry the stock certificates it would've been heavy. The stock went up a dollar or so, I scalped it and took a profit 💥 BOOM $$$ what did I do next? I saw some Chinese solar stocks buzzing and I decided to get a trade on them. I captured a small gain in intuive surgical and a huge loss on ‘China fun’ and the rest of the buzzy solar stocks. Intuitive surgical became the medical $tsla Lessons should be painful. I invested in tsla heavy from 2012, more in 2014 and so on and soaked up a lot of short selling stock and endless bad news. Ditto what was happening to my position in Facebook. I learned to endure Buy what you believe in, it’s like buying a house and seeing its exquisite potential. I'm sharing this for myself, you can have it if you want it. The future is coming faster than you think. It’s not a sci-fi story - cos you’ll be living it. It’s not a book you can put down. Lastly, to me and to you… Never, ever, short America

Adam Townsend

56,056 views • 6 months ago