Pundits are arguing that trendy social media companies are diverting capital from more serious, productive ventures.
Facebook’s post-IPO meltdown has certainly been bad news for investors who got into the stock at its initial price — or higher. Is it also bad news for the IPO market as a whole?
Just days after its controversial IPO, Facebook and its Wall Street bankers have been hit by shareholder lawsuits alleging that the social networking giant and its underwriters concealed the company’s decelerating revenue growth from investors. The lawsuits come amid a growing furor about whether Facebook’s banks selectively disclosed information that gave favored clients an unfair [...]
Facebook’s Wall Street investment banks warned top clients of new doubts about the social network’s financial prospects just days before the company’s IPO, according to a series of reports that emerged Tuesday.
Regulators are examining whether Morgan Stanley, the investment bank that shepherded Facebook through its highly publicized stock offering last week, selectively informed clients of an analyst’s negative report about the company before the stock started trading.
Facebook skidded 11% lower on Monday, its second day as a publicly traded stock, capping one of the worst market debuts ever. Let’s hope that Mark Zuckerberg and his new bride Priscilla Chan aren’t as star-crossed as the $16 billion Facebook initial public offering. Facebook launched its stock amid a unique blend of media hype and [...]
Although the Facebook IPO was a big success for Facebook and its early investors and insiders — who sold $9 billion worth of shares they’d acquired at lower prices — the offering was a disappointment for many investors who clambered to get a piece of the most-hyped IPO in nearly a decade.
Hey! Where is everyone? I headed to Nasdaq headquarters in Times Square, ground zero of the biggest high tech stock offering ever, where Facebook would be welcomed into the arms of the investing public. And all I found was a bunch of CNBC cameras.
Facebook’s public debut — the largest tech IPO in history — performed below expectations Friday, jumping 13% to hit $43 just minutes after trading began, only to retreat quickly to the initial offering price of $38. At that point, the IPO underwriters, including the largest banks on Wall Street, stepped in and waged a buying-battle to support [...]
NEW YORK — Facebook is about to find out just how much status updates, puppy photos and billions of “likes” are worth on Wall Street.
