I agree with you here as well. However, it isn't binary.
There are a lot of instances where it makes sense pending:
- A prototype
- Team and experience
- Traction
- Idea
- Terms
There are many factors on which an ICO will become successful. 90% of them are created to scam people but there are some who genuinely work for it. But the credibility of an ICO is getting weaken day by day because of the ETH hacking and owners scamming people.