Slashdot Mirror
Facebook Shares Retreat Below IPO Price
First time accepted submitter gtirloni writes "Just days after wrapping up the biggest initial public offering in Silicon Valley history, shares of Facebook slumped 6% and tumbled below their issue price on Monday, a troubling signal for the newly-public social network. Facebook broke below its $38-a-share issue IPO price in the wake of a highly-anticipated offering that raised more than $16 billion, the second-largest domestic IPO after Visa's 2008 debut. Shares of Facebook were recently off 6.44% to $35.72."
Not really, especially considering that all those users will just bring even more users and make sure Facebook stays relevant and the number one social network. While FB already has impressive number of users, there's 6 billions more people out there. I would say that $18 per user is even little bit low for the value and revenue every user brings to Facebook, ads revenue, sales revenue (from in-game coins), and the social effect of having all the users in the service. And who knows what other monetization Facebook will bring to the table once they get to it.