Oh there were definitely some little guys buying......I mean that idiot moronic sock puppet Jim Cramer was screaming "buy as much as you can". There were surely lots of little guys moaning. I'm sure there are even some who are still buying so that they can "average" their buy price and take less of a hit. These buyers deserve the hit, when you ignore fundamentals and a plan and buy pure air, you don't really deserve the money do you?

Just wait till shorts are available on FB, just wait until option chain becomes available. The stock is doomed......unless MZ pulls a rabbit out of the hat.

For that we would need to ask the financial backers of the study.....RIAA or MPAA? Who backed this study?

There should be a story about this on Slashdot: http://www.zerohedge.com/contributed/2012-21-21/bipartisan-congressional-bill-would-authorize-use-propaganda-americans-living?page=1

here is an interesting article http://seekingalpha.com/article/606961-morgan-stanley-s-2-4-billion-facebook-short

It appears that the trading on Monday, in particular two large block trades at the very end of the day over 1.1 million shares each, and all the trades through the day were holding the 34.01 floor.

Key events to watch out for:

1) MS liquidating its entire short position (this will actually create down pressure on the stock after liquidation is complete)

2) 3 month lockup end

3) Options availability

4) 6 month lockup end

5) Next financial reporting date.

6) A wave of new analysis after that reporting date

If management is clever, there is actually a strategy in place to drive revenue upwards quickly. Unfortunately, when one looks at the FB demographic, it is not a positive statistic. I live in South East Asia, I see how people use FB in Indonesia, Philippines, Thailand, these have been huge growth markets for FB over the last year, in particular Indonesia and Philippines. And we are talking about street vendors, housewives of very low income (by USA standards would be extreme poverty), and yes they use it to post status and talk with friends while sitting there waiting for customers or while at work being unproductive serfs. Explain to me how they are going to monetize that demographic, which from what I see is the large majority of their demographic in Asia. Microfinance? Way too many regulatory hurdles. Credit card? Way too many regulatory hurdles. Flog goods? The large demographic I am referring too does not have disposable income. FB Phone? See Microsoft and Nokia there, the space is crowded even though its booming. Advertising? This leaves primarily the consumer goods market, since this demographic pretty much only buys consumables. And this category of advertising, for non discretionary consumer spending, is not going to get better results from money spent on FB as opposed to where they are spending now, the budget in that space is allocated and FB won't be able to claw that away from existing allocations, unless they figure out a way around FCPA, because that space is full of agencies and "middlemen" in Asia, lol.

How many shares were sold to the average FB user from their personal brokerage account? Think about it, how many of those 1 billion or so users they say they have actually bought a share, a single share (38$). What about 10 shares (380$), what about 100 shares? I would guess that the dollars raised from sales individual retail investors who could be described as "avid FB users" numbers in the 7 maybe 8 digits. 9 digits I highly doubt". This says a lot about FB right here.

Were the insiders aware of the above fact? yes, and they proved it by selling huge blocks of shares

Were the bankers aware? Oh yes.

FB shares have been trading on "secondary" private market for a long time. There was 800 million USD share block posted on a private investment forum over a year ago which valued the company at 65 billion or so, I know people who mad a killing brokering FB shares for the past 5 years, a lot of those deals they were paid in shares. These were HNWI from all over the world trading in these shares, then Goldman came along with its private offering vehicle, the whole thing has been like a dutch tulip fiasco. All those investors are going to cash out, mark my words the minute the lockup expires for them, they will book their profit, they don't believe or care if FB has a way to monetize traffic, they just hopped on for the ride and are ready to get off the train and book their profits.

Will MZ be the next Bezos and announce a grand plan to use the 7 billion in cash proceeds to leverage into bricks and mortar and drive earnings? One can speculate, but I doubt there is a ripe industry around ready to have a large bite taken out of it like books and media was when Amazon was post IPO, and Bezos had an amazing ability to execute the plan. This is a longshot in my mind and the world is much more consolidated today then back then.

Will FB turn into a Google competitor? Maybe, but a longshot. Android, Google Chrome, Gmail, Google Apps, Google Enterprise, Ad Sense, Google +, Picassa, Google's physical backbone network, Google Earth, Google Maps, even if FB had every computer user on the planet, I don't think they have the vision and execution talent to compete with anything Google, they are outclassed. They do have that social network though ;)

Will FB experience attrition? I think this has already started. People become bored with the same poo day in day out, the "like" and "thumb" are icons that won't be around for years and years, or is humanity really that stupid?

Will FB buy revenue growth? Well, judging from Instagram deal it appears revenues are not high on the acquisition list. That deal alone is an elephant in the room. Who pays 1 billion for poo like that with zero revenues, I don't care if you have 100 billion, spending 1 on that not what I would define as clever, and would even venture a description more akin to "breech of fiduciary duty".

The past months I've seen FB ads everywhere, and I mean *everywhere*, I really wonder how much their ad spend was this last quarter. They must have burned a huge wad of cash, because there were ads on every site, all the time. There is no more "viral" growth, it will be very interesting to see how much they have spent this last quarter for each new user. I bet its huge. And it will be more interesting to see if the ad spend continues, it is comical how often you see FB banners, ads, etc. right now, absolutely comical.

I think a fair value for FB today is around 15-20X earnings. Until there is a plan presented or a strategy executed that proves the FB userbase can be monetized. That day may come, it may not.

Disclosure: I do not hold any position in FB securities, nor plan to in the near future.

so, you bought shares at issue price and are happy with your deal?

How can anyone give respect to a company that does not stand behind the concept of free speech?

And with no underwriter buying shares next week, you watch how successful this looks. When do FB options start trading?

Gravity is going to hit the stock like a boulder come Monday. A huge percentage of the float was purchased by the underwriting bank to prop the stock above 38, if this would not have been underwritten it would have plunged. Now watch come Monday and next week. News of the lawsuit hits, a contingency for that outcome in a 50% settlement would be 7% in market cap alone, and a lot more if you deduct from earnings considering the insane earnings multiple this thing was priced at. Morgan Stanley going to take a big hit as the underwriter when the thing starts to tank.

Here is an interesting link: http://www.zerohedge.com/news/fadebook

And my favorite quote I saw in the media, "It is like they threw a party and nobody came".

And the irony of the whole thing is that by pricing at the very top of any conceivable valuation and increasing the size of the float in the last days, it would almost appear it was intentional, or were they smoking something?

Zynga halted trading several times yesterday, and closed over 15% down.

http://www.msnbc.msn.com/id/3071886/ns/news-special_coverage/t/double-life-marc-rich/#.T7cmautYugg

I'm not sure if you actually read up on the issue, but the gentleman moved to Singapore, which is by the way, not even in China. Singapore is one of the most civil and cleanest cities in the world.

This is fabulous. Now the US is akin to China in its most repressive periods, and very similar to Communist Russia and East Berlin. Will US citizens need "exit visas" soon as well? I don't think this is what the founding father's imagined when they drafted up the Constitution. This is just another form of repression, its just keeps getting worse and worse and joe six pack just does not care.

I find it completely ironic how the MSN throws Wikipedia under the bus. I was recently called by a major MSM print magazine to verify some facts in a story, some of the facts they were asking to verify were clearly laid out in a Wiki page that I myself had edited. Now after referring the editor to the Wiki page they said "we don't accept Wikipedia as a verification", and my response was "I already confirmed to you that the Wikipedia entry is factually correct", they then asked me to verify the facts listing them in the email as opposed to referring them to the Wikipedia site. So, I kindly did a screenshot and put it in the email saying "this is correct".

Now the irony is, I pointed out how the framing of the other facts that they were questioning, was in fact misleading. I also pointed out that they had not included very important facts, which I did list out, which would correct the misleading framing of the story and make it clear in the reader's eyes. Not only did they NOT include the facts that I pointed out in the printed version, but they grossly exaggerated the position and framing that they chose. I guess that sells more magazines.

The MSM industry is broken, corrupt, for sale, and in the hands of corporate giants looking to frame whatever story they want to spin. It is in their best interest that Wikipedia is relegated to a source than can never be used, and whose credibility is diminished to zero in the eyes of the public masses.

Is a fake article about a fake mass murderer 100 years ago a sign of lack of credibility? Or is framing a story around living people that demean them in order to create an "interesting story" that will sell magazines and swing public view toward a desired consensus a sign of lack of credibility? The MSM has zero scruples, and I wonder if there a grant around this research professor? Would be very interesting to know if there was a grant, and who paid for it.

OK, for a nice summary analysis of Fadbook, have a look here: http://www.zerohedge.com/contributed/worlds-first-phenomenally-forensic-facebook-analysis-what-you-need-you-invest-pt-1

Now, for me its pretty simple:

1. 1 billion users, valued at 100 USD per user is absurd. I don't see them being able to monetize traffic better than Google does, especially international. They are locked out of China too, so forget that market growth. FB is way too faddish. You will see major attrition over time without the addition of real services that people need. Instagram is a perfect example of what to expect of the company, just see what happens to that service over the next 2 years.

2. 25X revenues is absurd. That's a PE multiple not a REVENUE multiple. ~500X PE is not just overvalued, its extremely overvalued and even comical. I don't see the plan to get the growth needed to justify this valuation.

3. Insiders selling lots of shares, and increasing the number up to IPO date. Wow, this is a pretty good clue.......

yeah, I prefer my wardrobe to conform with the genre of those incredibly interesting people that play farmville and mafia wars.