Facebook debut on Wall Street not what was expected

[Jack]

SAN FRANCISCO - Facebook debuted Friday on Wall Street with arguably the most high-profile initial public offering in history, but the lackluster trader response raised questions about how far investors are prepared to embrace social media.

Facebook's stock gained slightly during the day, but also helped drag down stock prices for the handful of other social networking firms that were already public. Trading on gaming site Zynga, which uses the Facebook platform and depends on the social media company for its revenue, was halted twice after its stock plummeted about 13 percent.

"The market was very surprised that the Facebook pop was so tepid," said Sam Hamadeh, chief executive officer of PrivCo, which tracks private firms.

Nevertheless, Facebook immediately signaled that no matter what the financial experts thought, the company was going forward with its "move fast and break things" philosophy. Not 30 minutes after the market closed came news that Facebook had made its first purchase as a public company, buying a social and mobile gifting service called Karma Science.

Read more: http://www.chron.com/news/article/Facebook-debut-not-what-was-expected-3570199.php

 

[Spirit]

Yes Jack it was too much hyped in local people but stock broker already know that the price will fall drastically after listing so there was huge sell in grey market before listing

 

[Jack]

One of the most anticipated IPOs in Wall Street history ended on a flat note, with Facebook's stock closing at $38.23, up 23 cents from Thursday night's pricing.

That meant the company founded in 2004 in a Harvard dorm room has a market value of about $105 billion, more than Amazon.com, McDonald's and Silicon Valley icons Hewlett-Packard and Cisco.

It also gave 28-year-old CEO Mark Zuckerberg a stake worth $19,252,698,725.50.


Read more: http://www.greatfallstribune.com/article/20120519/BUSINESS/205190306/Facebook-stock-debut-closes-near-flat?odyssey=nav%7Chead

While the initial estimation where a little unrealistic, the $105 billion value is very impressive...... hopefully Mark Zuckerberg will have some kind of strategy as right now Facebook is becoming more and more a place for business and less for regular users...

 

[pcjunklist]

This stock is insanely overpriced, 2011 revenue was $3.7 billion which was 88% more than last year. So a $104 billion valuation is ridiculous yet people will still buy the stock on their overpriced Ipads!

 

[pcjunklist]

glad to see a 11% drop in the stock today

 

[Spirit]

glad to see a 11% drop in the stock today

I am not happy with fall of price because last the "General Investor" will loose the money and Big fish like Mark have nothing to loose with that.:s