Facebook stock price hits new low of $19.07

Facebook's stock price keeps going down, and at the moment there's no indication that things might improve anytime soon. The price closed today at just $19.07 a share, a drop of over 4 percent for just today and a total drop of close to 50 percent off its price when it launched its IPO back in May.

The large drop today comes after early investors in Facebook, which includes Microsoft, could have, in theory, sold off some of its holdings in the company, as per trading regulations. Microsoft currently owns about 1.7 percent of Facebook. There is no confirmed word if the company has indeed sold off any of its Facebook stock.

The severe drop in Facebook's market value has apparently caused its founder and CEO Mark Zuckerberg to call a company wide meeting. The Wall Street Journal reports that in that meeting, held earlier in August, Zuckerberg admitted that it might be "painful" for his employees to see the stock price in Facebook plummet to these new lows.

Zuckerberg also reportedly told Facebook employees that the media currently doesn't have any idea about what the company has planned for the future and that its various investments and plans will soon be revealed that will help the company.

Source: Wall Street Journal

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37 Comments

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How come a stock value/number decides a company future? They should work on making a better FB than a better profitable company.

togermano said,
I advertised my http://www.retroelectronics.com website on facebook for almost 2,000 dollars and not one person signed up to the forum..... I sorta wonder if most of my clicks were from the click fraud scandal

Might be more that a lot of the links just take you to 'google.com', and items you expect to be clickable aren't. I'm a big fan of credit where credit is due, but also blame where blame is due. Before I would spend $2k on advertising I'd be darn sure my website was fully functional first.

rosszone said,

Might be more that a lot of the links just take you to 'google.com', and items you expect to be clickable aren't. I'm a big fan of credit where credit is due, but also blame where blame is due. Before I would spend $2k on advertising I'd be darn sure my website was fully functional first.

This was 2 years ago almost and I have since redone the website..... Everything worked then

Social networking sites do not make money.

The only websites that make money are porno and sites that sell and trade.

If I owned facebook I would have sold it for billions in cash not shares and gone got myself

an island.

leesmithg said,
Social networking sites do not make money.

The only websites that make money are porno and sites that sell and trade.

If I owned facebook I would have sold it for billions in cash not shares and gone got myself

an island.

Advertisement on a site with so many users will always get you some money, but probably not nearly as much as some people think Facebook should be doing (more so if the clickbot fraud story holds water).

SpyderCanopus said,
Martha Stewart went to prison for trading her stock before it went south. Zuck should be serving some time, too.

The key difference is that 'Zuck' announce his intent to trade those stocks months before the IPO. It was for tax reasons.

In other news: Facebook stock is now priced at what it should have hit the market at. Everyone knew it was overpriced to begin with.

zikalify said,
I can't wait to see this fad collapse. People should go use makr.io, identi.ca and diaspora!

and then those will become the next fad

zikalify said,
I can't wait to see this fad collapse. People should go use makr.io, identi.ca and diaspora!

Um, no. People should go live their lives instead.

Non-Active-Account said,

Yet.

Due to its decentralised nature if one pod at say joindiaspora.com becomes corporately owned you just move to another pod like wk3.org

.Neo said,

What are you doing online in that case?

Do something that's a little bit more productive. Like explaining nolifers what to do online.

Good. Hope this "social business" crap ends soon... and It's going to get worse, thanks to IE10 Do Not Track and TPLs. privacy and productivity FTW!

calimike said,
FB should stay private. Mark will be fired by shareholders. I predict FB is going out of business by 2014

Mark did want to keep the company private but the incentives to retain employees was diminishing.

But in any case, neither is going to happen.

1. Mark has the most controlling shares (i.e. other shareholders' don't have as many voting rights)
2. FB will continue to stick around because people do use it and the company is profitable.

However, it will definitely hurt the employees' morale especially since it's voted high amongst best companies to work for. i suspect that their stock price will go much lower as more shares get unlocked and sold into the market. the biggest release would be in november with over 1B shares released.

Anyhow, let's see how this plays out.

superconductive said,

I hope he gets fired. I can't believe this kid is a CEO.
Have you seen him on an interview:
http://www.youtube.com/watch?v=o3hu3iG8B2g

Let me get this straight...You can't believe the guy that founded facebook is also the CEO of facebook? Sound like you're jelly because he is, LOL.

Poor guy, must have been a terrifying experience on that interview. Probably not much of a people person.