It’s official — Facebook (FB) now trades on the Nasdaq. Originally priced at $38 per share, after it’s first day of trading, nothing really happened. Despite vast speculation and rumors surrounding the Silicon Valley IPO, all those rumors amounted to a gain of just 0.61% or a $0.23 total gain.
According to the Wall Street Journal, “Blue chips extended a streak of declines the likes of which hasn’t been seen in almost 40 years, amid concerns about the euro zone and Facebook’s lackluster debut.” It becomes a game of which came first, the chicken or the egg, when deciding where to put the blame for the lackluster Facebook stock performance. Are the declines in blue chips dragging Facebook’s stock down, or is Facebook contributing to something already in decline?
More than 30 brokerages and banks were involved in the offering, which saw a nearly 571 million shares change hands on Friday—a record for a stock debut.
Opening at $42 and hovering right around the $40 mark for most of the day, Facebook’s stock ‘lost steam’ during the final hours of trading, ending up pretty much right where it began.
Once the stock opened, trading was robust—100 million shares traded in the first few minutes and more than 200 million shares changed hands in the first hour.
What do you think happened with the Facebook stock today, and what does the future hold for FB?