Sotheby’s  (BID) shares were hit hard yesterday like an art auction gone bad falling $14.23, almost 30% in value.  The hating continues today with BID down 6% and shares now trading around $33 — going once, going twice.

We wouldn’t be surprised if we see a new 52-week low next week but Sotheby’s caters to the one crowd that despite how much they lose on the market, they’ve got plenty more tucked away – rich people.

The analyst downgrades have come in, there’s talk of ‘an art auctions recession’ and Vincent Van Gogh’s “Wheat Fields” only went for $270 million instead of the expected $355 million.  Before we even get into the numbers, I just have to say, “boo-hoo”.  High society, Wall Street Analysts, and everyone else upset about Sotheby’s just needs to take off their baby pants because they are acting like little babies.

All of us have taken hits on our Portfolios these last two weeks, even Eddie Lampert and Warren Buffett, it’s just the game we play following the market.  Hearing the cry baby news of baby pants Sotheby’s is really entertaining at this point because despite what the forecast may be for the U.S. economy, the clients of Sotheby’s aren’t going away, they just won’t be spending as much for a while.

Sotheby’s financial results for Q3 07 weren’t that bad considering they hawk stuff the American public can’t afford, they managed to increased revenue 48% to $85 million. Sotheby’s net loss was $20.9 million, which was an improvement from $30.7 million in Q3 06 and this is historically the slow season due to the nature of the marketplace.

Sotheby’s drops every year at the end of the year, you don’t have to be an analyst covering Sotheby’s stock to know this, just review the 5 year chart:

So run out and buy BID shares?

Keep BID on your watch list because it’s likely the powers-that-be will continue to push this stock down.  Then when it’s beat up, you pounce on the stock

Last 5 posts by Frank Lara

• According to the Analysts: Google to $600 and Beyond - October 17th, 2009
• UBS Likes Major Airline Stocks, We Like JetBlue - September 26th, 2009
• Video Games Sales Getting Worse, Short the Game Stocks (TTWO, THQI, ERTS, ATVI) - August 14th, 2009
• Get Ready for Ken Lewis and Bank of America (BAC) reporting Earnings Monday (4/20) - April 19th, 2009
• Take-Two at $6.80 a Share (TTWO) but for How Long? - February 3rd, 2009