Private investors can forget about getting their hands on shares for the official price of $38. (which gave the company a valuation of $104 billion – largest ever for a US IPO) It appears that the retail brokerages will not have any more shares available to us at the insider price. The rest have been allocated to their ‘institutional investors’. Rather disappointing – if you wanted to get the Facebook ‘FB’ stock for the same price as the ‘big boys’. Etrade and Ameritrade were just a few of the brokerages who stopped accepting ‘buy orders’ earlier on in the week.
Pop/rock star Bono from U2 who owns 2.3% of FB shares through his investment company Elevation Partners stands to make between $1.5-4.1 billion on opening… making him the richest musician on the planet ahead of Paul McCartyney who is worth just over $1 billion!
With around 901 million users – if even a small percentage of them invest in the stock (eventually when they get the chance to! hehe) then it’s possible for the price to jump exponentially – doubling or trebling from just the open orders in the queue starting to flood through once proper trading starts.
$100 is said to be a more realistic price for the trading price today – which would value the company at over $273 billion! Do you really think it is really worth that much or way over-valued? There has been a lot of worry about the fact that more than half of the 901 million users use their smartphone app to access the site. This makes it difficult to monetize through ads as the screens are too small. (compared to a normal PC/Mac) Amongst the biggest emerging markets for Facebook are countries like India, China and even Africa where smartphone ownership far outstrips computers by a huge margin.
Are you planning on buying Facebook stock? How well do you think it will do?
Well the new Samsung quad core wonder is coming out on May 30th (available for preordering atm) and it looks great… much more like a sequel/follow-up to the Galaxy Nexus than the S2 / SII with its sexy curves.
