Facebook filing reveals $34 to $38 share price

A Facebook filing with the SEC released earlier today indicates the company will begin offering its shares in its public stock offering at $34 to $38 per share.

If Facebook sells all its shares at the high end of the price point indicated in the filing, the company's valuation would be well over the anticipated $100 billion valuation that has been rumored for months. Facebook was previously rumored to be seeking a price point set at the "high-20s to mid-30s," according to Wall Street Journal sources.

The stock, which will trade under the symbol "FB" will also have more shares than originally planned in the event of over-allotments. The company will sell over 337 million shares before taking over-allotments into account, as indicated in the filing:

Facebook, Inc. is offering 180,000,000 shares of its Class A common stock and the selling stockholders are offering 157,415,352 shares of Class A common stock. We will not receive any proceeds from the sale of shares by the selling stockholders. This is our initial public offering and no public market currently exists for our shares of Class A common stock. We anticipate that the initial public offering price will be between $34.00 and $38.00 per share.

An additional 50,612,302 Class A shares will also be available to underwriters to cover over-allotments.

Facebook's stock is expected to begin trading on the NASDAQ on Friday. It was revealed yesterday that Mark Zuckerberg will be ringing the opening bell from Facebook's headquarters in Menlo Park, California, instead of at the NASDAQ headquarters in New York City.

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22 Comments

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How come alot of people dont seem to think this price will stick? Facebook has its hands in alot of things now....

este said,
How come alot of people dont seem to think this price will stick? Facebook has its hands in alot of things now....

I have to agree. It doesn't seem a fad if you use the same tool for years so I doubt less people will use it. Plus those who are on at a young age grow up with it.

Funny thing is to see how their stock price revolves around feature implementation. If they do another 'Timeline' you can imagine the stock prices wobble a bit if a lot of users are miffed about it.

Northgrove said,
In case people doubted the warning signs of a "Web 3.0" social bubble building up, here's more fodder...

Indeed.....

WTF? Why does the article say $35 to $38 once then $34 to $38 a bunch of other times?
That's fine reporting there, Lou.

ahhell said,
WTF? Why does the article say $35 to $38 once then $34 to $38 a bunch of other times?
That's fine reporting there, Lou.

It was just a typo. Thanks, I fixed the incorrect instance. Feel free to use the "Report a problem with the article" link anytime you see a problem like that -- it'll get to us quicker that way.

38 the first day then
25 the first month.
and later over 100 during the first 5 months.
then it will start dropping to 3 - 5 x share.

it is a good purchase if you know when to get out. My bet is that, at some moment, the share will double or even triple the price.

Magallanes said,
38 the first day then
25 the first month.
and later over 100 during the first 5 months.
then it will start dropping to 3 - 5 x share.

it is a good purchase if you know when to get out. My bet is that, at some moment, the share will double or even triple the price.


my prediction is that it is will bomb and it's just downhill from here

Magallanes said,
38 the first day then
25 the first month.
and later over 100 during the first 5 months.
then it will start dropping to 3 - 5 x share.

it is a good purchase if you know when to get out. My bet is that, at some moment, the share will double or even triple the price.


The market almost never works like that. Unless there is a massive scandal, you're not going to see a drop that significant.

Anthony Tosie said,

The market almost never works like that. Unless there is a massive scandal, you're not going to see a drop that significant.

Yahoo, Groupon....

Anthony Tosie said,

The market almost never works like that. Unless there is a massive scandal, you're not going to see a drop that significant.

Yo have not being around for a log time, have you? I remember Intel at $80/90 per share and PEs as high as 80 considered "low" at the time of the dot.com companies frenzyness in the late '90s....................

Fritzly said,

Yo have not being around for a log time, have you? I remember Intel at $80/90 per share and PEs as high as 80 considered "low" at the time of the dot.com companies frenzyness in the late '90s....................


Repeating what I said above: we're talking about an IPO. You're probably not going to see the stock tank in a month following IPO unless there's a massive scandal or similar issue (or the stock market just crashes).

Anthony Tosie said,

Repeating what I said above: we're talking about an IPO. You're probably not going to see the stock tank in a month following IPO unless there's a massive scandal or similar issue (or the stock market just crashes).

Take a look at UPS IPO......…
I would not touch anything related to FB even with a 10 feet pole......

Fritzly said,

Take a look at UPS IPO......…
I would not touch anything related to FB even with a 10 feet pole......


You're going back to 1999 to find an example. I'd say that makes some pretty good odds, wouldn't you?

If you wouldn't touch Facebook's stock with a 10-foot pole, you're crazy.

oceanmotion said,
Imagine what they will do with your information now they have to please shareholders.

We already have an early hint with their forthcoming "Megaphone feature", in paid status updates: http://techcrunch.com/2012/05/...ht-facebook-status-updates/

There's something dirty growing here. :-(

Sure, I can take ads, but I really don't like the idea of my feed being messed up with bumped statuses. As if a web forum admin allowed the users to bump message threads by paying him.

Simon- said,
Bubble to burst in 3... 2... 1...

Totally. This will probably go down as the most over-priced stock in history. I honestly don't see how they could possibly be worth near as much as their IPO is going for. But I'm no Zucker.