The historic initial public offering of Facebook Inc did not go as planned on Friday, as the social networking company’s sky-high valuation combined with trading glitches left the stock languishing near its offering price at the market close.
Facebook shares began trading late Friday morning and opened 11 percent above the $38 offering price, but after peaking at about $45 slid rapidly at the end of the day to close at $38.23. The IPO was the third-largest in U.S. history and valued eight-year-old Facebook at $104 billion. Read More…
Ok remind me again what Facebook has planned to grow for the future. It seems they’ve already peaked.
One word: OVERRATED!
Its humorous that LinkedIn is priced at $100 and yet the site does evne less than Facebook.
And to think weeks prior i was in a panic calling all broker houses such as questrade to see about getting in on the ipo action. Now i know that all i had to do was wate until it was on the open market.
I still don’t understand what Facebook is all about despite trying to figure it out.
Lots of bad news for FB. GM pulls its ads and the lawsuit. This is why i am not buying in.
It didn’t help that the $15 billion lawsuit was announced the day of their IPO. That really bashed it.
What is pathetic is that the underwriters had ot prop it up from falling below $38. Not good.
Internet Bubble 2.0 we are not.
This is not much of a surprise. Facebook was being a bit greedy and overpriced their stock and so investors had enough.
I like how its being spun that the underwriters were geniuses for pricing it the way they did so that the price wouldn’t spike and they would regret leaving money on the table during pre-IPO.