Facebook Shares

[Aiden Roberts]

Anyone planning to buy Facebook shares or maybe even bought some?

Aiden

Vote in the poll above.

 

[Pred]

not in a million years

 

[bensd]

There are much better investments IMO

 

[doodlebug]

Total waste of money !

 

[Bailey]

Not worth anything like valuations.

The IPO today saw the price rise fom $38 to $42 then fall back down to $38 almost immediately. I honestly think the share price will end-up at around half the offering figure @ $19 within a year

 

[getmein]

I honestly think the share price will end-up at around half the offering figure @ $19 within a year

Absolutely agree - they haven't found the magic monetisation formula in the period they've been private to justify the colossal valuation so it's a massive leap of faith from new shareholders to think they can join the dots. In the longer term - I'm not suggesting that they can't generate a big uptick in profit - but those expectations are already in today's price. I think it's a decent company, just don't see much value in it at these prices.

It's a great move for the insiders, gives them a way to turn some of their stock into cash, gives them new ways to retain staff and potentially most importantly gives them the ability to fund acquisitions with new paper.

 

[accelerator]

I didn't buy any as I much prefer Google's search model for ad revenue generation, but I'll be keeping an eye on the Facebook share price.

 

[Admin]

I created a Yahoo Share Price Ticker so we can watch the prices for a while, you can see it here:

Facebook Share Price

if you want to bookmark it or there is a small box in the RH column on the homepage. I'll leave it up a few days to save you keep looking elsewhere to check the prices. It also shows (Up - Green) (Down - Red) plus Google as a comparison

Admin

 

[Marcoose]

Yup down 12% today already.

 

[Pred]

as predicted
they only 'jumped' on first day in first hour or two as becuase of a 'glitch'
where original orders were being late in being processed
also it only retained original price of $38 (which was insane price) as underwriters were pitching fake buy orders (legally ) to prop up price

reminds me of domain auctions where the 'house' makes maiden bid of just under reserve to get things going
again , 'legally'

reality is more like $2 a share

 

[BREWSTERS]

$31.52

 

[accelerator]

You have to hand it to Mr Zuckerberg, he pushed Facebook forward from day one and he seems to have taken it to IPO just in time and cashed out before the social networking hype dwindles. I expect more fierce competition in the social networking space, and increasing competition from geo-aware networks like Badoo, so I think Mr Zuckerberg has timed his exit very well. Like others I expect the share price to continue to slide in a fairly ugly fashion.

Rgds

 

[newguy]

Looks like everyone's jumping ship. Next stop $25!

 

[Bailey]

Looks like everyone's jumping ship. Next stop $25!

The model was never great for the capitalisation they where looking for. you only need to look at the "Supposedly" new face book page/layout to see where it all falls-down.( it's absolute Crap - end of)

We all know the share price held for one-day due to Underwriters buying the spare stock.

The good that there is to be had will be down to the (Mark -forget his surname) and the others using the capital to make sure that facebook has a future. But, it will never work in a blatant commercial transformation.

The trouble for the original facebook owners now is in trying to keep the middle ground which they were never part of in the first place - I do wish them luck, because it's (facebook) a great place to go

 

[BREWSTERS]

What I don't get is this; everyone on here knew they were overpriced before the start, yet $billions were spent by institutional investors and fund at or around the opening price. Is this all part of a giant scam whereby these bankers and investors get a kick back for investing and to hell with the companies whose money they're using?

Surely all the smart money shorted the stock from the beginning (can they do that with a stock on opening, I don't know?).

 

[D600]

It's ok saying its overpriced but overpriced doesn't guarantee anything which way a stock will go. Nobody knows what will happen in the market apart from the I told you so people after something has happened.

 

[BREWSTERS]

It's ok saying its overpriced but overpriced doesn't guarantee anything which way a stock will go. Nobody knows what will happen in the market apart from the I told you so people after something has happened.

They made $1b last year and are struggling to come up with new monetization methods - the opening price made the company worth $104b - it doesn't take a genius to work out which way the shares were going. Sooner or later they would have to prove they were worth the evaluation by producing the kind of profit to justify it.

Right now they can't, so I disagree with you - overpricing does guarantee that the price will come down - just the speed with which it has is a bit of a suprise.

 

[Retired_member41]

With their mobile use exploding and their standard web use declining. Their words not mine. And their inability to monetise their mobile users im amazed at the price.

Facebook as a company made around 15bn from the issue yet they have a law suit which totals 14bn and could grow as more people realise they had broken the us wire tap laws and gathered information on them.

On opening day an aggressive buy policy was in place by someone so as to try and protect the opening day price from dropping below its opening. Who was this I wonder?

Just imagine it is facebook themselves and they bought up billions of pounds worth of shares themselves. Surely the real value is another $20 less.

They are going to have to sell off a lot of shares soon to cover their costs so will this see them drop??

Their travelling share trade show that starts soon should see lots of freebies to attract people but I doubt it will do much.

 

[D600]

Yes agree things that aren't worth it will fall in the long term. Short term anything can happen!

 

[Edwin]

On opening day an aggressive buy policy was in place by someone so as to try and protect the opening day price from dropping below its opening. Who was this I wonder?

Just imagine it is facebook themselves and they bought up billions of pounds worth of shares themselves. Surely the real value is another $20 less.

They are going to have to sell off a lot of shares soon to cover their costs so will this see them drop??

It's the underwriters.