The stock price is down about 9.8% to $28.80 in afternoon trading — well below the May 18 initial offering price of $38. One likely reason for latest decline is that beginning today investors who are interested in Facebook, but don’t want to take the risk of buying the shares, can buy options in the stock. There’s been heavy trading on these bets that enable customers to buy or sell Facebook shares at a pre-set price on a specific date. Also weighing on the stock is the rumor, which began to circulate over the weekend, that Facebook is angling to buy Norway’s Opera Software, which makes Web browsers for mobile devices. The social network company has been snake bit since it went public, and especially following disclosures that the underwriters of its IPO — Morgan Stanley and Goldman Sachs– told institutional investors, but not the public, that they had lowered revenue estimates for Facebook.


Going DOWN……..
Look for it to crash at $18 a share by the time it is all over.
I’m looking for $20 myself.
thanks for the tip, nostradamus.
P/E ratio gives FB a price of $13/share. I wish I had shorted it at $40.
This was a mess from the beginning. Can’t believe no one saw this coming?? The Facebook advertising model does not work. When they introduced “Timeline” it was supposed to make it easier for advertisers to reach potential customers. …but it just eats up CPU power.
If the advertisements do not work, they do not make money… their shareholders do not make money.
Facebook can’t be this stupid. Their mobile platform (which makes up 58% of visitors) is not monetized at all and does not incorporate apps. Unless they have an epic plan up there sleeve for this, I see no way for this stock to make it past $40.
However, I did notice the CPC (cost per click) for an ad has tripled since going public. See how long advertisers are will to fork out until they jump ship. GM already bolted.