Ha ha haaaaa! Down to $29 now. I really hope they fall further and further.
http://www.bbc.co.uk/news/business-18257043
http://www.bbc.co.uk/news/business-18257043
Got a tip for us?
Let us know
Become a MacRumors Supporter for $50/year with no ads, ability to filter front page stories, and private forums.
Facebook shares hit new low
- Thread starter tekno
- Start date
- Sort by reaction score
Zuckerberg (confirmed ass) is loosing money on an overhyped valuation, I see complete reason to be happy.
What, haven't you seen The Social Network?
And that constitute a record of historical accuracy?
I'm not, by any stretch of the imagination, defending Zuckerberg, as I know nothing about him. I saw the film and am aware that it is not exactly a documentary.
He may well be the ******* you think he is, but that movie is not a citation of any value.
So you're happy that people are losing money they invested?
Since when is stupidity rewarded? Facebook doesn't create anything. Their main revenue intake is investors and banner ads. If people were stupid enough to invest in an obvious bubble IPO, I don't feel any more sorry for them than I would someone sticking their tongue in a light socket.
Let us remember that the stock market is a casino. You are not "investing" so much as you are betting that you will make money.
That's all Google did back in 04 when they went public. And they're still around.
Zuckerberg isn't losing money. Investors are. And most of those investors are speculators who thought they'd be able to make a quick profit when the stock shot up on the first day. Instead it was overpriced because info was withheld and the stock didn't go anywhere.
For FB, being overpriced was the best thing that could happen to it. It maximized the amount of money it raised as an IPO.
What, haven't you seen The Social Network?
Yeah, that movie showed Zuckerberg's primary motive for creating FB was to try and win back his white girlfriend. In the real world, he'd been with his Chinese girlfriend for years and they're now married. Can't wait to see what Sorkin does to Jobs' life.
So you're happy that people are losing money they invested?
Yes, I am (hence the "ha ha haaaa" in my first post). When people think a website is worth $100bn, they deserve to lose. The sheer number of tech bubbles that have popped over the last 10yrs and people still listen to the hype and wave their cash. They deserve to lose it.
Pretty good analysis of the whole situation here and here from the Motley Fool.
You know, it is possible to loose money in the stock market. It amazes me that people could see this as a "sure thing". The first article hits the nail on the head, though. You can not go into stocks thinking that Wall Street has your best interest at heart.
You know, it is possible to loose money in the stock market. It amazes me that people could see this as a "sure thing". The first article hits the nail on the head, though. You can not go into stocks thinking that Wall Street has your best interest at heart.
FB is overpriced and the hype makes them a bubble
But they have genuine clout (16% of all internet page clicks are FB page clicks) and can make a lot of money for investors if Zuckerberg knows what he's doing
If he leverages that 8 billion in IPO money and does it right, there's a chance the bubble might not ever pop
How did they lose it? Where did the values go?
This is a tricky-question; the values weren't there in the first place.
Facebook.
The entire idea of an IPO is to issue new shares to raise money for the company.
After that there is no "money" going anywhere than between investors like any other stock. And like any other asset it can go up or down in value.
Huh?
What pushes the price of a used car down vs pushing the value of a "classic" car up?
The stock goes down because the price people are offering to pay for it is less than what people paid for it originally. No one forced anyone to buy in at 38 or 42. Also, no one forced anyone to sell at 38 or 42.
So did the initial investors who set the price at 38 lose when the price tanked or did they get their money back and the people who bought after the IPO lose out? Just trying to wrap my head around how a stock can open at 38 with trading not even started and then lose most of it in 3 days considered they said it was the highest amount of shares ever.
If the traders sold at $38 or above then they got their money back and then some.
If they held onto it it is a loss like any other stock.
Think of it like an auction (well it is EXACTLY like an auction). The initial price is exactly tied to what Facebook can sell the stock to the market. Initially the price and number of shares was lower but because more and more people wanted "in" on it, price and quantity went up.