JFKvsNixon Posted May 22, 2012 Share Posted May 22, 2012 According to the news this morning. The value of the shares was grossly overestimated, and it's share price had dropped like a stone over the first few days of trading. It seems like floating anything on the stock market is a kiss of death!!! A kiss of death worth an estimated $17 billion for the person behind Facebook, I bet he's gutted. Link to comment Share on other sites More sharing options...
Harleyman Posted May 22, 2012 Share Posted May 22, 2012 According to the news this morning. The value of the shares was grossly overestimated, and it's share price had dropped like a stone over the first few days of trading. It seems like floating anything on the stock market is a kiss of death!!! True it's the biiggest drop of any company going public in the last three years but that doesnt signify it's demise by an means. The stock market is always subject to fluctuations, sometimes big ones but if Zuckenburg makes innovations and upgrades to Facebook in the future he will come out smelling like a rose Link to comment Share on other sites More sharing options...
ChrisT70 Posted May 22, 2012 Share Posted May 22, 2012 Then why are those people on your friends lists? You get to control what you see. You can't moan about people posting stuff you don't want to see when you're the one who controls whether you see it or not. i let a load of people i used to know add me as friends, without realising you open yourself up to reading a load of stuff you wouldnt ever have missed. at least you can now untick the notifications of their posts. please tell me why people feel the need to tell all their friends what they do every minute of their waking lives apparently? Link to comment Share on other sites More sharing options...
Phanerothyme Posted May 22, 2012 Share Posted May 22, 2012 It's worth billions because "all your data are belong to us". Link to comment Share on other sites More sharing options...
Jeffrey Shaw Posted May 23, 2012 Share Posted May 23, 2012 A kiss of death worth an estimated $17 billion for the person behind Facebook, I bet he's gutted. No. He's already entitled to receive the sale proceeds of the IPO. Link to comment Share on other sites More sharing options...
poppins Posted May 23, 2012 Share Posted May 23, 2012 I'm sure somewhere there's a couple kids in a college dorm working on something that's going to make them millionaires too, good luck to them I say. Link to comment Share on other sites More sharing options...
mossdog Posted May 23, 2012 Share Posted May 23, 2012 According to the news this morning. The value of the shares was grossly overestimated, and it's share price had dropped like a stone over the first few days of trading. It seems like floating anything on the stock market is a kiss of death!!!Worth a read............And look at Facebook. We knew the Facebook IPO would cost a lot of saps a lot of money. But we didn’t expect it to happen so fast. We figured Wall Street would get a chance to squeeze the lumpen a little longer before they fled the market. As it turned out, the mom and pop investors came into the market to buy Facebook and got whacked right away. Here’s one completely un-savvy buyer quoted in the New York Post: “I’m very psychic when it comes to stocks, I really am. I have no retirement, I have no pension, so I try to make money on the market.” The press reported that cab drivers and plumbers were buying Facebook shares on the first day ... for the wrong reasons, of course. One buyer had recently had his house foreclosed. He was buying the stock, he said, to help put his children through school. Good luck on that! Colleague Justice Litle called it ‘Facebust!’ The hype sent shares up in early trading on Friday. The insiders who moved fast were able to cash out at over $40. But then, the selling overpowered the buying. Justice, writing over the weekend: Countless idiots, er, optimists expected Facebook shares to pop 50% or more on their first day of trading, not taking into account the fact that, when EVERYONE IN THE WORLD has the same universally telegraphed notion as you – with ability to execute by mashing a mouse button – it is probably not the sharpest play. At any rate, after a very anemic “pop” reminiscent of discount bin champagne purchased from a gas station, FB shares fell straight to the $38 level (where the IPO was officially priced). At $38 the underwriter investment banks came in, vigorously “defending the shares” as a matter of business honor. Without the heavy buying of Morgan Stanley and others, for the express purpose of propping up the shares, FB could have seen a death spiral on its first day of trading. This would have forever marred said underwriters' reputations, which is why it didn't happen. (Investment banks are paid a very pretty penny for bringing an IPO to market; one of the services they provide, in exchange for that fat payday, is propping up the shares, i.e. "creating a price floor," with their own dough as need be, to keep the offering from looking like a dog. This is completely legal and sanctioned by the SEC.) The Facebook IPO was a sort of psychological fulcrum point. It was perhaps the biggest public participation event of all time, in terms of getting “the man on the street” to take a flyer on a stock. When such tomfoolery works out badly, Joe Sixpack’s taste for risk – the mother’s milk of Wall Street – is that much further soured. (It should be noted that a whole raft of other "social media" stocks -- Zynga etc etc -- fell hard when Facebook came up short.) In addition to the above, virtually every large mutual fund and long-only money manager on Wall Street felt compelled to purchase Facebook shares (for fear of missing out on “the next Apple” had they not). If the Facebook hype fails, then – if the Maginot line of $38 price support gives way – it could have an incredibly demoralizing impact on the market as a whole, alongside the ominous “doom loop” that is Greece. Such are the conditions in which "unease" turns to "maybe we should get out," which then has a nasty habit of escalating to "GET ME OUT NOW," acted upon by groupthink investors en masse. And yesterday, the Maginot line gave way... “Market Up, But Investors Dump Facebook,” was the headline report from Reuters. The stock sold off... finishing the day down 11%. What happened to the underwriters, everyone wanted to know. The stock fell below the IPO price on its first full day of trading. Apparently, Wall Street was not willing to come to the rescue – not with its own money. We had a hunch that Facebook might become the hinge event for this stock market. Shares had been selling off for two weeks prior to the FB launch. But the selling was orderly. Link to comment Share on other sites More sharing options...
Harleyman Posted May 23, 2012 Share Posted May 23, 2012 What happens to Facebook doesnt bother me. I dont use it. What does bother me though is the frigging around with the Greek problem. If the Greeks cant live with the cure to solve their economic mess then they should be kicked out of the Euro and the EU as well since they brought it all on themselves. Meanwhile all this is causing the DOW to plummet and my investments with it. Link to comment Share on other sites More sharing options...
Phanerothyme Posted May 25, 2012 Share Posted May 25, 2012 What happens to Facebook doesnt bother me. I dont use it. What does bother me though is the frigging around with the Greek problem. If the Greeks cant live with the cure to solve their economic mess then they should be kicked out of the Euro and the EU as well since they brought it all on themselves. Meanwhile all this is causing the DOW to plummet and my investments with it. If the state of the dow concerns you then you should really be hoping that Greece stays in the Euro. One card in a house of cards ... Link to comment Share on other sites More sharing options...
Harleyman Posted May 25, 2012 Share Posted May 25, 2012 If the state of the dow concerns you then you should really be hoping that Greece stays in the Euro. One card in a house of cards ... The Greek governments need to read more Dickens and maybe they just might get things right with their economy. "Annual income 20 pounds, annual expenditures 19 pounds, 19 shillings and sixpence, result happiness. "Annual income 20 pounds, annual expenditures 20 pounds. ought and sixpence, result misery" Good advice from Mister Micawber to David Copperfield and still good advice for the Greeks Germany, France and the Uk cannot go on bailing out a deadbeat country. Link to comment Share on other sites More sharing options...
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