Facebook shares plummet, again

Derrick

Derrick

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Facebook shares take another beating

The selloff in Facebook’s shares deepened on Tuesday, as investors continued to question the stock’s valuation after Reuters reported that underwriters cut their revenue forecasts for the company before the IPO...
 
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Considering they listed at a price earnings ratio of 100 to 1 I am not surprised. No company is worth that rating.
 
Lol, nevermind that. Wait until they actually find out what they bought!
 
Wahahahahaha....

*breathes*

Wahahahahaha....

Anybody with half a brain could see this coming from a mile away..

Its climbing again on single day trading, but it has a long way to go before it gets to its IPO pricing... its still down nearly 9% from Fridays price... some people have lost BOATLOADS of money on this already.
 
HavocXphere said:
I'd be super pissed if I had FB shares right now.
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That is why its one of the 3 I will not touch in the Tech world

Nokia, BB and Facebook <--- Its less risk to go gamble at a local BlackJack table than investing in those 3.
 
I think they saw the bright lights and hype with the IPO in the media and landed up over-valuing the stock at launch. If they launched at $20/ share they limit more more initial buy in since people take more shares and therefor demand is higher and hte price goes up. Anyway, it is probably a bit rough to judge a stock after trading for 2 days only. There were very few gainers yesterday, although today has opened on a bit of a bullish atmosphere.
 
B.O.F.H. said:
Anybody with half a brain could see this coming from a mile away..
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LinuxMan said:
could see this coming a mile away!
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Hindsight is 20/20. If you were certain then you could have shorted the stock & coined it big time.

Sure it was one of the more likely outcomes, but the share shooting up is just as likely...lots of crazy people out there willing to bet on a bubble.
 
biometrics said:
$100 BILLION

Yeah right.

/predicts $10.
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If I am to be brutally honest... I would predict their share price to sit more comfortably at about $6-$8.... that would value the company at about $21bn, which even then I still think is overvalued but its much closer to the mark.
 
i think in terms of investment basics in a stock FB is found wanting, for the two main reason it is based one formula, which is FB app and the other one is the lack of clear known plan about their diversification or lack thereof. That to me makes it a high risk share.
 
Not being au fair with the goings on of the stockmarket, I'm confused by the anger at Facebook and am also wondering if Facebook does give or should be giving a flying toss? They set a price and from what I can tell, managed to sell all the shares. At that point, is it their problem what happens to the share price?

They've sold 18% of the company which means 82% is still in private hands. The 18% can do very little to affect day-to-day running of the company, they got their cash injection, everything went peachy surely.

Any investor who is unhappy should be played a concerto from the world's smallest violin. The NASDAQ is the single most capitalistic place this side of the solar system, there was a willing buyer & seller, it's not the seller's fault that the buyer is a mindless idiot. Would any of those investors have bought shares for any other company that had that P/E ratio? No they would not have, which just shows they were hoping to take latecomers for a good old ride. Instead they were the ones that went for one.
 
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