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Facebook's (FB) battered shares could come under further pressure on Thursday when the first...

Facebook's (FB) battered shares could come under further pressure on Thursday when the first wave of lock-us end and over 200M shares will be freed up for trading. The total for the next 9 months is 1.91B, almost quadruple the less-than 500M currently available. Investors who will be able to sell their stock this week include Microsoft (MSFT) which doesn't plan to offload its stake, Goldman Sachs (GS) and Accel.
Comments (9)
  • Rancodemayor
    , contributor
    Comments (7) | Send Message
     
    After FB lockup period expires, what will then be the earnings per share for this stock?
    13 Aug 2012, 03:35 AM Reply Like
  • Chris Lau
    , contributor
    Comments (1626) | Send Message
     
    No one says this but in its last quarter the company used around 1.1b diluted eps. (see my article: http://seekingalpha.co...)

     

    By May 2013 there will be over 2b shares. Thursday is a "small" lockup so shares won't fall as bad as headlines say. It's the November lockup ending that is most scary. 50% of locked shares are free to find buyers.
    13 Aug 2012, 03:58 PM Reply Like
  • osty
    , contributor
    Comments (24) | Send Message
     
    Facebook is a scorching hot potato that should avoided by any common day traders after September 16.All the insiders on Facebook will be dumping shares and laughing at the naive public.This is truly the worst scam in Wall Street history.There should be a Senate inquiry with Mark Zuckerberg answering some very difficult questions to lawmakers.This whole affair stinks from heaven.
    13 Aug 2012, 12:14 PM Reply Like
  • bill d
    , contributor
    Comments (1884) | Send Message
     
    Reminded me of ZZZZbest - Barry Minkow.
    If you have a few minutes read this. Absolutely amazing AND He's still walking around!!!
    http://bit.ly/Oovhte
    Bernie is probably wondering why HE's still in the joint LOL.
    13 Aug 2012, 05:06 PM Reply Like
  • MSF INVESTMENTS
    , contributor
    Comments (4138) | Send Message
     
    They may merge with Microsoft.
    13 Aug 2012, 01:36 PM Reply Like
  • Toddphillippi
    , contributor
    Comments (9) | Send Message
     
    The thing about FB is that it is a fairly reasonable investment at some point and assuming it soesnt MySpace. Which with Zuck in charge is not that much of a leap. He lacks any real plan other than OHHHH lets buy this and a FB phone Yahooooo!!!
    But I digress one of the things that is just coming up it the overstated MAU issue. 8% are fake really try searching something dogs, anything sex related and actual people and see how many fake users you find .... Its going to turn out that kids, dogs, sex things advertisers and other non valuable "users are i the range of 40+% of the MAU. Also the time on FB is greatly overstated as most of us just close the page without logging off thereby increasing our on FB time. Just wait this is coming and soon.
    13 Aug 2012, 04:53 PM Reply Like
  • Ronin.
    , contributor
    Comments (1487) | Send Message
     
    There were very high expectations for growth and profitability built in to the IPO price, and I question whether that has been adequately addressed by the subsequent price drop....this is because of the movement to mobile, as well as questions about the effectiveness that paid ads have on Facebook, partly due to what your are bringing up, like fake accounts, the demographics and spending power of typical users, and time on Facebook, all contribute to questions about the model that is supposed to bring in a tremendous amount of cash.

     

    We may be approaching a time where just being labeled "social" is not enough to garner a sky-high premium....and social businesses will have to actually perform in creating large profits rather than stir up hopes...right now, people actually go to Google to search for information and to find products, so ads makes sense...is that what many Facebook users are going to Facebook for, to find and buy? I have questions on that...Currently, I think that advertisers are overpaying for their ads on Facebook...but except for a few, many haven't figured that out yet....

     

    I think thorough studies using volunteers, should be conducted on people's buying habits on PCs and mobile devices, measuring time actively on the account, how often they click, how often they actually buy, what items sell, and what are the demographics of the buyers....also, when they click on an ad and buy during the time they are active on the account. I suspect that when you open up Facebook initially, is the prime time for ads....as time ticks on, I think that we habituate and filter out the ad "noise" as if it isn't there...so, that total time on the account is not as relevant to advertisers. You can spend hours chatting, but notice the ad only a little in the beginning.

     

    ...should this be the case, FB has a long ways to drop before becoming reasonably valued....
    13 Aug 2012, 05:27 PM Reply Like
  • bill d
    , contributor
    Comments (1884) | Send Message
     
    Guess the earnings will tell us.
    14 Aug 2012, 08:48 PM Reply Like
  • Chris Lau
    , contributor
    Comments (1626) | Send Message
     
    Insider sales will matter more than earnings - next earnings date is October. big unLockup in Nov - 50% of shares will be free.
    15 Aug 2012, 02:32 PM Reply Like
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