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You can find the current article at its original source at http://www.guardian.co.uk/technology/2012/aug/20/facebook-shares-drop-half-stock
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| Version 6 | Version 7 |
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| Facebook shares drop to less than half their initial stock price | Facebook shares drop to less than half their initial stock price |
| (35 minutes later) | |
| Facebook's shares hit new lows on Monday, sinking to less than half their initial public offering price and halving the fortune of founder Mark Zuckerberg. | Facebook's shares hit new lows on Monday, sinking to less than half their initial public offering price and halving the fortune of founder Mark Zuckerberg. |
| By mid-morning, Facebook's shares hit a new low of $18.75 (£11.91), less than half the $38 they were sold for in May amid the most heavily hyped stock sale in recent history. | By mid-morning, Facebook's shares hit a new low of $18.75 (£11.91), less than half the $38 they were sold for in May amid the most heavily hyped stock sale in recent history. |
| The slump has knocked close to $10bn off the value of Zuckerberg's stake in the firm, which is now worth about $9.5bn. | The slump has knocked close to $10bn off the value of Zuckerberg's stake in the firm, which is now worth about $9.5bn. |
| Facebook's latest share slide comes after the expiration of a lock-up period that allows some of its earliest investors to sell more of their shares. The expiration increased the pool of available shares by 60% and confirmed analysts' fears that it might lead to more falls in Facebook's already battered share price. | Facebook's latest share slide comes after the expiration of a lock-up period that allows some of its earliest investors to sell more of their shares. The expiration increased the pool of available shares by 60% and confirmed analysts' fears that it might lead to more falls in Facebook's already battered share price. |
| Some of Silicon Valley's most prominent investors are among those now able to reduce their holdings. Details of which large shareholders have decided to cash in are not yet available. | Some of Silicon Valley's most prominent investors are among those now able to reduce their holdings. Details of which large shareholders have decided to cash in are not yet available. |
| Facebook's share price faces a series of other potential challenges in the next few months as more lock-up periods expire and staff are allowed to sell shares. | Facebook's share price faces a series of other potential challenges in the next few months as more lock-up periods expire and staff are allowed to sell shares. |
| Facebook's fall comes as its peers, too, have faced investor scepticism. Shares in Groupon, the daily deals site, are also close to new lows and early investors including Marc Andreessen, one of Silicon Valley's most respected investors, have been cutting their holdings. | Facebook's fall comes as its peers, too, have faced investor scepticism. Shares in Groupon, the daily deals site, are also close to new lows and early investors including Marc Andreessen, one of Silicon Valley's most respected investors, have been cutting their holdings. |
| Shares in Zynga, the online games firm, have fallen more than 68% since last year's initial public offering. The firm, whose hits include Words With Friends and Draw Something, was responsible for 12% of Facebook's revenue last year. | Shares in Zynga, the online games firm, have fallen more than 68% since last year's initial public offering. The firm, whose hits include Words With Friends and Draw Something, was responsible for 12% of Facebook's revenue last year. |
| On the day of its IPO in May Facebook was briefly valued at more than $100bn, more than the combined worth of Nike and Goldman Sachs. The social network is now valued at $40.61bn. | On the day of its IPO in May Facebook was briefly valued at more than $100bn, more than the combined worth of Nike and Goldman Sachs. The social network is now valued at $40.61bn. |
| The company is on course to claim a billion people as users this year. But while its size and reach are undisputed analysts fear that the firm has been unable to find a way to make money from its mobile users, the fastest growing sector of its business. | The company is on course to claim a billion people as users this year. But while its size and reach are undisputed analysts fear that the firm has been unable to find a way to make money from its mobile users, the fastest growing sector of its business. |
| Comments | Comments |
| 9 comments, displaying first | 9 comments, displaying first |
| 20 August 2012 5:06PM | 20 August 2012 5:06PM |
| " Greed is good! Greed will save America! " | " Greed is good! Greed will save America! " |
| Link to this comment: | Link to this comment: |
| 20 August 2012 5:28PM | 20 August 2012 5:28PM |
| Some people on one side of the coin made money out of 'the muppets' - I wonder who? | Some people on one side of the coin made money out of 'the muppets' - I wonder who? |
| Link to this comment: | Link to this comment: |
| 20 August 2012 5:41PM | 20 August 2012 5:41PM |
| Surprised? ...... 1bn users ≠1bn potential customers. | Surprised? ...... 1bn users ≠1bn potential customers. |
| Link to this comment: | Link to this comment: |
| 20 August 2012 5:44PM | 20 August 2012 5:44PM |
| The banks still made a profit though, thanks to stablisation. | The banks still made a profit though, thanks to stablisation. |
| http://www.marketwatch.com/story/morgan-stanley-sends-underwriters-facebook-profits-2012-08-17 | http://www.marketwatch.com/story/morgan-stanley-sends-underwriters-facebook-profits-2012-08-17 |
| Link to this comment: | Link to this comment: |
| 20 August 2012 5:52PM | 20 August 2012 5:52PM |
| Mark Zuckerberg loses half his personal fortune | Mark Zuckerberg loses half his personal fortune |
| Yippee! I look forward to the precocious little creep losing the other half. | Yippee! I look forward to the precocious little creep losing the other half. |
| Link to this comment: | Link to this comment: |
| 20 August 2012 5:55PM | 20 August 2012 5:55PM |
| Internet company in share overvaluing shocker | Internet company in share overvaluing shocker |
| Link to this comment: | Link to this comment: |
| 20 August 2012 6:18PM | 20 August 2012 6:18PM |
| Like many manias, Facebook's rise was largely driven by greed; people thought that the IPO was a surefire route to wealth. This is no different than one of the world's earliest and most ridiculous manias as shown here: | Like many manias, Facebook's rise was largely driven by greed; people thought that the IPO was a surefire route to wealth. This is no different than one of the world's earliest and most ridiculous manias as shown here: |
| http://viableopposition.blogspot.ca/2012/05/facebook-mania-twenty-first-century.html | http://viableopposition.blogspot.ca/2012/05/facebook-mania-twenty-first-century.html |
| Link to this comment: | Link to this comment: |
| 20 August 2012 6:25PM | 20 August 2012 6:25PM |
| I like posting stories like this on Facebook. | I like posting stories like this on Facebook. |
| Link to this comment: | Link to this comment: |
| 22 August 2012 7:10AM | 22 August 2012 7:10AM |
| I do wish the Guardian, being English, would get the difference between expiration (which means breathing out) and expiry. I know it's a difficult concept for our American cousins, but... | I do wish the Guardian, being English, would get the difference between expiration (which means breathing out) and expiry. I know it's a difficult concept for our American cousins, but... |
| Link to this comment: | Link to this comment: |
| Comments on this page are now closed. | Comments on this page are now closed. |
| Facebook IPO reaps huge rewards for founders as buyers watch and wait | Facebook IPO reaps huge rewards for founders as buyers watch and wait |
| 18 May 2012 | 18 May 2012 |
| Early trading delays subsided to sell 82m shares of Facebook stock in 30 seconds before subsiding close to the offer price | Early trading delays subsided to sell 82m shares of Facebook stock in 30 seconds before subsiding close to the offer price |
| 18 May 2012 | 18 May 2012 |
| Facebook share price set at $38 | Facebook share price set at $38 |
| 15 May 2012 | 15 May 2012 |
| Would you buy shares in Facebook? | Would you buy shares in Facebook? |
| 23 May 2012 | 23 May 2012 |
| Facebook's IPO debacle: greed, hubris, incompetence … | Facebook's IPO debacle: greed, hubris, incompetence … |
| 2 Dec 2009 | |
| Facebook gets new privacy settings – and 350 million users | |
| Taking stock after the Facebook IPO | Taking stock after the Facebook IPO |
| 19 May 2012 | 19 May 2012 |
| Mike Daisey: As Facebook's public offering fizzled, so did the media's 'finance porn' hype. And perhaps a sense of just proportion was restored | Mike Daisey: As Facebook's public offering fizzled, so did the media's 'finance porn' hype. And perhaps a sense of just proportion was restored |
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| Mark Zuckerberg loses half his personal fortune in market slide as shares go for $18.75, down from $38 IPO in May | Mark Zuckerberg loses half his personal fortune in market slide as shares go for $18.75, down from $38 IPO in May |
| Facebook's shares hit new lows on Monday, sinking to less than half their initial public offering price and halving the fortune of founder Mark Zuckerberg. | Facebook's shares hit new lows on Monday, sinking to less than half their initial public offering price and halving the fortune of founder Mark Zuckerberg. |
| By mid-morning, Facebook's shares hit a new low of $18.75 (£11.91), less than half the $38 they were sold for in May amid the most heavily hyped stock sale in recent history. | By mid-morning, Facebook's shares hit a new low of $18.75 (£11.91), less than half the $38 they were sold for in May amid the most heavily hyped stock sale in recent history. |
| The slump has knocked close to $10bn off the value of Zuckerberg's stake in the firm, which is now worth about $9.5bn. | The slump has knocked close to $10bn off the value of Zuckerberg's stake in the firm, which is now worth about $9.5bn. |
| Facebook's latest share slide comes after the expiration of a lock-up period that allows some of its earliest investors to sell more of their shares. The expiration increased the pool of available shares by 60% and confirmed analysts' fears that it might lead to more falls in Facebook's already battered share price. | Facebook's latest share slide comes after the expiration of a lock-up period that allows some of its earliest investors to sell more of their shares. The expiration increased the pool of available shares by 60% and confirmed analysts' fears that it might lead to more falls in Facebook's already battered share price. |
| Some of Silicon Valley's most prominent investors are among those now able to reduce their holdings. Details of which large shareholders have decided to cash in are not yet available. | Some of Silicon Valley's most prominent investors are among those now able to reduce their holdings. Details of which large shareholders have decided to cash in are not yet available. |
| Facebook's share price faces a series of other potential challenges in the next few months as more lock-up periods expire and staff are allowed to sell shares. | Facebook's share price faces a series of other potential challenges in the next few months as more lock-up periods expire and staff are allowed to sell shares. |
| Facebook's fall comes as its peers, too, have faced investor scepticism. Shares in Groupon, the daily deals site, are also close to new lows and early investors including Marc Andreessen, one of Silicon Valley's most respected investors, have been cutting their holdings. | Facebook's fall comes as its peers, too, have faced investor scepticism. Shares in Groupon, the daily deals site, are also close to new lows and early investors including Marc Andreessen, one of Silicon Valley's most respected investors, have been cutting their holdings. |
| Shares in Zynga, the online games firm, have fallen more than 68% since last year's initial public offering. The firm, whose hits include Words With Friends and Draw Something, was responsible for 12% of Facebook's revenue last year. | Shares in Zynga, the online games firm, have fallen more than 68% since last year's initial public offering. The firm, whose hits include Words With Friends and Draw Something, was responsible for 12% of Facebook's revenue last year. |
| On the day of its IPO in May Facebook was briefly valued at more than $100bn, more than the combined worth of Nike and Goldman Sachs. The social network is now valued at $40.61bn. | On the day of its IPO in May Facebook was briefly valued at more than $100bn, more than the combined worth of Nike and Goldman Sachs. The social network is now valued at $40.61bn. |
| The company is on course to claim a billion people as users this year. But while its size and reach are undisputed analysts fear that the firm has been unable to find a way to make money from its mobile users, the fastest growing sector of its business. | The company is on course to claim a billion people as users this year. But while its size and reach are undisputed analysts fear that the firm has been unable to find a way to make money from its mobile users, the fastest growing sector of its business. |