1. This stock was already valued at 100 times earnings since it started trading. 2. FB can be uprooted very quickly by other startups or the next fad. 3. More stock will be flooding the markets in the coming months. More supply = lower share price. 4. I will buy in the low 20's or high teens.
Yah, I am out. I thought that buying the first day at the IPO price of $38 would be a no brainer but NASDAQ dropping the ball and the last minute pps increase and cold feet of large retail buyers fudged this good. I think the stock will do well in the future but I am taking a loss and buying more Apple on the dips I guess.
I wouldn't buy at any price. I belong to Facebook to keep up with my grandchildren. I can't name one advertiser nor would such ads interest me to buy. The value lies in the potential to sell select lists of e-mail addresses based on demographics. How do they rule out false information? How reliable are such lists? How can an advertiser tell if Facebook ads develop business? Good luck but this whole thing is a gamble at any price.
Anyone else read the article where Morgan Stanley FB's lead underwriter cut FB's estimates near their IPO and even warned their clients. That shocking news along with increasing shares and upping ipo price spells disaster. And now trading below yesterday's low is confirmed disaster. There is no established support either. Go the CNBC site and search for it.