"Zillow Shares Could Fall By Half" - Barron's cover story
A very negative story about Z in Barron's. They consider Z to be very overvalued and it could fall by 50% to %$70 range. This is the first negative story about valuation by a mainstream media. Z should go down sharply on Monday.
The BIG winners of the merger are the Trulia executives if the stock price remains above $48.408 for 30 consecutive days. The Barrons article could jeopardize that.
On June 3, 2013 Trulia filed a Form 8K with the SEC describing the structure of a performance based stock scheme following the acquisition of Market Leader by Trulia. Restrictive Stock Units (RSU) were awarded to executives as follows:
Peter Flint CEO 300,000
Sean Aggarwel CFO 250,000
Paul Levine COO 250,000
Daniele Farnedi CTO 30,000
Scott Darling Counsel 30,000
The Performance-Based RSUs are subject to the attainment of a Company performance milestone as well as a continued service requirement after the milestone is achieved. The Performance-Based RSUs generally only become eligible to vest if the Company’s stock price is in excess of $48.40 for 20 trading days in a 30 consecutive trading day period during an 18-month period that begins on the first trading day on or after the first Company earnings release date to occur after the 12-month anniversary of the Closing (such 18-month period, the “Achievement Window”). For the avoidance of doubt, the performance milestone must occur during the Achievement Window to be considered achieved.