I might sort of agree with it
As months ago ICO were selling like hotcakes where ICO would instantly hit hardcap within hours, minutes or even seconds.
Then too many ICO came out, if you ever take a look at Etherdelta. Most token were sold there before they were listed to exchange at under ICO price. Some even went -40~50% of its ICO price.
I wouldn't say ICO is not profitable, but ICO should be a long term investment instead of short term flipping.
Yes most of the icos are trying to get more money than they need plus they are still holding the majority of the tokens for the "development" which I find ridiculous, they should just sell 90% to the public and hold like 10%. This 10% should be frozen for like 5 years. If the project is successful they can sell them. Some of the projects are just taking the money from the ethereum and they are dumping their company tokens. This behaviour should not be accepted.