Facebook Shares Dip Below $20 for First Time

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Keith E. Whisman

I've always felt that the shares should have been initially sold for $16 dollars a share to allow for profits from any increase in value. FB just wanted to get rich quick at $38 a share. There was never a chance they would go up from there for a company that makes all its money from advertising.

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alienplayer

Not surprised... It has been going down ever since its IPO.

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Biceps

In my opinion, you really need to account for the herd mentality here. This stock came out overvalued and hyped, and there has be a drastic revaluation - which was needed. However, I would guess that much of today is all these new Facebook millionaires who had stock options trying to cash in. If I had seen my brand new fortune drop by 50% over 12 weeks, you can bet your bacon I'd be cashing out a good chunk, too. I bet Facebook's stock will go up from this point, at least modestly.

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jedisamurai

Don't buy high and sell low, buy low and sell high... Now is the time to buy...

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compro01

So your strategy is buy low, sell lower.

Facebook is nowhere near a reasonable price. Realistic value is about $4-5 based on P-E ratio.

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Valor958

I have a much better strategy for ensuring no loss of income related to Facebook shares.
Don't... waste... money... on... Facebook.
I mean really.... Facebook shares worth more than many Bank stocks? Definitely over-valued. I'd say it will probably settle around $10-11 for a while. They were doing fine before the IPO... they should have just stayed that way.

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rayatwork05

you have to go public at a certain point depending on the amount of investors you have, i believe its 500+.

at $10 would be a good buy. they are making $1b/q now, they have tons of potential. i like the poker play i read somewhere, they'd be making $2-3b/q easily if they were able to run with that. fair valuation is 5x sales or profits.

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don2041

$20 is still $20 more than I would pay for a Facebook share

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