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Facebook Shares Day 2: Below IPO Price
WSJ ^ | May 21, 2012 | GEORGE STAHL

Posted on 05/21/2012 6:38:27 AM PDT by Qbert

Edited on 05/21/2012 6:41:20 AM PDT by Admin Moderator. [history]

NEW YORK

(Excerpt) Read more at online.wsj.com ...


TOPICS: Business/Economy; News/Current Events
KEYWORDS: bono; dislike; facebook; facepalm; fail; ipos; oneborneveryminute; u2; zuckerberg
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To: Qbert

I dropped FB after reading about the pedophile perverts posting acts with children.

There is a limit to ‘free airwave content’ in my book.


21 posted on 05/21/2012 7:17:11 AM PDT by TribalPrincess2U (Criminaliens or Crimigrants...0bamao's people?)
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To: Qbert

Well at least with a GM product such as a Camaro SS you can Hoon it and blow donuts, so tell me how Facebook is that much fun? Really? :-)...


22 posted on 05/21/2012 7:19:11 AM PDT by taildragger (( Palin / Mulally 2012 ))
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To: I cannot think of a name

I don’t own either...but Google’s revenue is 7 times that of Facebook.

Google has a proven track record of being an effective advertising medium...Facebook does not. They are different animals, and I would feel a little more comfortable owning a piece of Google.

Heck, I’d buy Facebook, once it gets down to a realistic PE ratio ($6).


23 posted on 05/21/2012 7:20:26 AM PDT by lacrew (Mr. Soetoro, we regret to inform you that your race card is over the credit limit.)
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To: Qbert

LOL! “Failbook”


24 posted on 05/21/2012 7:22:57 AM PDT by kiryandil (turning Americans into felons, one obnoxious drunk at a time (Zero Tolerance!!!))
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To: TribalPrincess2U

Yep. Then there’s the flip side of the coin- have you seen this?:

“Facebook bans mother for posting photos of baby with birth defect”

http://www.myfoxal.com/story/18555730/mother-launches-facebook-protest


25 posted on 05/21/2012 7:23:10 AM PDT by Qbert ("The best defense against usurpatory government is an assertive citizenry" - William F. Buckley, Jr.)
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To: Qbert

I don’t get where people are getting this idea that Facebook is “just a fad” or “the next MySpace.” Facebook is still king of social media with regards to subscribers (over 900 million) and average time spent on a website (around 20 minutes per user).

It’s simply overvalued. A very low ad click-through rate is not helpful to a company that makes most of its money on selling ad space. $4 billion/year income is great money, but it just doesn’t lead to a $100 billion valuation.

There still isn’t anything else out there that can compete for people’s attention and time like Facebook. Google+ has promise, but it’s just not differentiated enough and, consequently, nobody’s really on it. People want to communicate, and they’ll continue to do so on Facebook until the next best thing comes around. My guess is that’ll be a long wait.


26 posted on 05/21/2012 7:24:48 AM PDT by Future Snake Eater (CrossFit.com)
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To: Qbert
Jesuswept
27 posted on 05/21/2012 7:25:24 AM PDT by PowderMonkey (WILL WORK FOR AMMO)
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To: Future Snake Eater
You're right.

It is usually considered disappointing for a new stock to fall below its offer price so quickly, and particularly so for the most heavily traded IPO of all time.

It is usually considered normal for an IPO which is overbought and overhyped.

Give it a month or so to settle at a realistic value.

28 posted on 05/21/2012 7:30:49 AM PDT by Vigilanteman (Obama: Fake black man. Fake Messiah. Fake American. How many fakes can you fit in one Zer0?)
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To: Vigilanteman

I think I read somewhere that Google’s IPO was one of the very few that closed higher than the initial offer on its first day, and even then it wasn’t a huge difference.


29 posted on 05/21/2012 7:39:04 AM PDT by Future Snake Eater (CrossFit.com)
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To: Vigilanteman; Future Snake Eater

“overbought and overhyped. Give it a month or so to settle at a realistic value.”

$15 a share might be optimistic?


30 posted on 05/21/2012 7:39:11 AM PDT by GGpaX4DumpedTea
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To: GGpaX4DumpedTea
I'm looking for $12-$15. I might do $20, but I haven't decided yet.
31 posted on 05/21/2012 7:44:34 AM PDT by Future Snake Eater (CrossFit.com)
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To: Qbert

Facebook Shares Tumble: Where Are the Underwriters?

http://blogs.wsj.com/marketbeat/2012/05/21/facebook-shares-tumble-where-are-the-underwriters/?mod=msn_money_ticker


32 posted on 05/21/2012 7:53:53 AM PDT by Ronald_Magnus
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To: ILS21R

Darn, it took me 10 minutes to get off of your post. I’d better not try Facebook or that marijuana.


33 posted on 05/21/2012 8:05:56 AM PDT by A Strict Constructionist (We're an Oligrachy...Resistance to tyrants is obedience to God. Thomas Jefferson)
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To: Qbert
Facebook IPO Facepalm IPO.

Perfect comment...

34 posted on 05/21/2012 8:08:09 AM PDT by moovova (OBAMA: The first US President to come out of the closet.)
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To: Ronald_Magnus

Waiting for us to pick up the pieces, why they sun in Monaco. The Berhairless idiot will help if the time comes.


35 posted on 05/21/2012 8:10:08 AM PDT by A Strict Constructionist (We're an Oligrachy...Resistance to tyrants is obedience to God. Thomas Jefferson)
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To: Qbert

A fool and his money


36 posted on 05/21/2012 8:19:35 AM PDT by Daveinyork
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To: Future Snake Eater

Google fell below it’s IPO the first week.. 107 to 100.


37 posted on 05/21/2012 8:23:40 AM PDT by DivineMomentsOfTruth ("Give me Liberty or I'll stand up and get it for myself!")
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To: DivineMomentsOfTruth

Right, but its first day it went from $85 to $100.


38 posted on 05/21/2012 8:25:57 AM PDT by Future Snake Eater (CrossFit.com)
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To: Future Snake Eater

Facebook IPO vs. Google IPO.. http://www.businessinsider.com/facebook-ipo-vs-google-ipo-2012-2


39 posted on 05/21/2012 8:34:46 AM PDT by DivineMomentsOfTruth ("Give me Liberty or I'll stand up and get it for myself!")
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To: Qbert

Zuckerberg knew that earnings will drive price. It’s too late to use the old, “we’ll make money, once we become established” theory. With 900,000,000 users; you ARE established.

You have not proven the scalability of earnings to go along with the user base. We have to hope that people with still use FB, despite advertising. That has not been established.

I don’t buy the defndability flaw in FB argument. Anyone can start the new social network website and FB will wither as MySpace did. FB was clearly better than MySpace as it attracted many who would never use MySpace.

What they have not shown is how it can monetize. Perhaps monetizing will kill FB, and Zuckerberg knows it.

Look at Craigslist. Huge number of page views. Free and effective classified ads. Only a tiny corner is monetized, yet it thrives. Perhaps FB will end up being a Craigslist with a social connection for regular people (as opposed to the fringe that socialize on CL).


40 posted on 05/21/2012 8:42:42 AM PDT by cicero2k
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