Facebook is selling under its IPO. What to do? What to do?

Prologue and important update: the Facebook investment opportunity is an investor issue,  not a company issue.  Understand that Facebook got what it wanted.  It sold all its 500 421 million plus shares at the IPO of $38 per share (on average).  Keep that in mind as you read the following and consider  your future Facebook strategies. Don't start thinking that Facebook, itself,  is in some sort of trouble. Stocks go up and down.  It's all normal. 


Two days ago,  experts on Fox Business were telling that network that Facebook was 40% over priced which translates into an evaluation of $15.20  $22.80 per share.  Gerri Willis,  financial Guru on Fox Business (coming over from CNN) has repeatedly expressed her concern in the fact that “60% of Friday’s Facebook volume”  was made up of  investors selling off their original purchases of months and years gone by. Mike Santoli,  of Barrons,  told Fox Business,  this morning (Monday morning - 8:33 am pt) that waiting might not be a bad idea,  that he could see an evaluation of half the IPO ($38 per share) before it began a sustained advance - if, in fact, that is to be the case.  

Understand,  there were serious technical problems during the Friday session,  issues that effected that trading session as relates to Facebook.  It seems that the Street was not quite ready for this particular IPO. No doubt, those problems were addressed over the weekend.  A second negative consideration effecting Facebook,  may have been the fact that the Street, on a larger scale,  had its worst week of the year.     

On the positive side of this discussion is this: some analysts believe the IPO sale will go as high as $60 per share or more.  Me?   I think I will grab a cup of coffee and work on plans for my next motorcycle trip.  I hate gambling   -  blog editor. 

You may want to read:

From CNBC, the news with some analytic notes. 

Facebook shares fell more than 13 percent, falling below its $38 price of its initial public offering, in the social network's second day of trading as a public company.
Meanwhile, the NASDAQ exchange continued to defend itself regarding the IPO's delay on Friday.

The company's shares [FB  33.768   -4.4638  (-11.68%)   ] last traded down more than 13 percent. The stock had previously closed 0.6 percent higher on Friday.

Investors and technology industry watchers are closely tracking the Menlo Park, Calif., company's shares. The world's largest social network was one of the most anticipated initial public stock offerings ever, and now serves as a bellwether for other social media companies.