Facebook: 2012 Titanic

22 05 2012

Alright guys, here’s my latest update on Facebook. Today I sold the stocks I bought at $42.00 for $34.00 and took a loss. I’m glad I sold when I did because the shares continued to drop and closed at $31.00.  Now I’m reading that Facebook will end on July 15, 2012, this sounds like a rumour, but if it’s true, then it’s a good time to save pictures. Here is the link to the end of Facebook story. http://weeklyworldnews.com/headlines/27321/facebook-will-end-on-july-15th/ Not to mention the lawsuit Facebook faces. Could it get worse?

For now, Facebook is the 2012 Titanic: a sinking ship. So, for me, it was time to cash out and cut the losses before losing a substantial amount. I’m not completely  saying goodbye to Facebook, it was kind of neat owning stock, and I’m prepared to buy again when the prices are cheap, and I mean cheap, cheap.

Facebook started at too high of a price initially for a company new to the stock market. All that is relative though, high numbers can climb higher, even so, a lower price might not have brought the ship down. There’s tons of speculation, all the should have, could have, might have been’s…. What we are certain about is that the shares went down instead of the anticipated up.  Something went wrong. Even worse, the timing of the lawsuit couldn’t be worse. Understandably, if the company operates anything like Zukerberg’s surprise wedding, anything can happen! Surprise, you’re broke!

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Facebook is Like Flat Pop

19 05 2012

Friday’s Facebook launch had so much adrenalin, yet didn’t deliver; it was like drinking flat pop. I was on the telephone with my brokerage at 9:30am putting in my stock order, and the lady made me laugh. She said it was far too early for such excitement, and rightly so, I needed 3 cups of coffee to get my body in line with the energy going around.

My stomach went in knots, to constant checking my computer back and forth from seeing whether the order got filled, to current market value prices, to noticing the NASDAQ going down–oh, oh–this was problematic. Then my order didn’t go through until 11:40. I almost cancelled my order. Just as I went to push the cancel button, the order got filled.

For those with IPO’s who paid $38 the previous day, it was a great time to sell when it reached $45. By the time the brokerage purchased my shares, it was down to $40, in a way, I was glad for the delay because the shares might cost me $45. Purchasing at $38 would be even better, but who knew what was going to happen next? Sure was a crazy morning.

Looking at the computer screen, the numbers began to climb, there was such a great expectation that the numbers would continue the upward motion. Nothing of the sort happened. It was like drinking flat pop. By the time it was 1:30pm, you could tell there was no significant change about to take place.

I managed to read some articles in the meantime. An article was posted about Facebook being sued. Already? I thought. It’s just making a debut on the stock market, sheesh, give them a chance. Further thoughts to flatten the pop.

I’m a real optimist in situations that seem hopeless. So I’ve tried very hard to see something positive in Friday’s trading. And guess what? I found an angle. I’m happy the way things turned out because stock prices dropped down to $38, it was like the general public participated in the IPO prices. Rich and poor alike had the same opportunity to buy the stock at the same price. Except that those who purchased at the IPO prices a day earlier could sell their $38 stock when it reached $45, unlike us schmuks who started with a higher number, went down, and never went back up again.  In any case, when Facebook prices jump to $400-$500 a share in a year or so, it won’t matter whether the stock was purchased at $38 or at $45.

Here’s to flat pop.  Facebook, you rock.





Facebook Stocks Shame on you!

18 05 2012

FB-Facebook Inc (NASDAQ)

Open: 42:05 High: 45:00  Low: 38.00

Is it just me or are there others out there who can’t make money no matter what they do. I got a tip to buy Facebook stocks. Facebook stocks being the big money-maker (makes me wonder who made the money.) It sure wasn’t me! I tried a hand at stocks, I was brave enough to dish out my life saving of $400, I begged, borrowed, and went under cover as a squeegee mom to save this amount. Then I bought Facebook stocks. My very first at buying anything unusual, except for a pack of gingerbread zombie cookies. Then I watched the computer screen, my stomach in knots, hardly awake enough for such an ordeal. And there it was in black and white, I lost money the first 2 hours. The investment increased, yet I lost???? How is that?

Here’s the breakdown: I made a hefty payment of $29 to the brokerage, which got subtracted from my $400 and left me with $371 (a loss of $29). Since the stock got purchased at $40 a share, even though it climbed higher than $40, I still couldn’t recover enough to reach the initial $400 I invested. Then the prices dropped to $38 a share, same amount the IPO people paid. This made me think, how did they make money? Seems complicated. Did they somehow make the money when it reached $45, and sell to shmucks like me? Or did they make their money prior to that and pay less than $38? Or maybe they were as duped as me. I highly doubt it. The wealthy have tons of tricks, I wish I knew them. Bono, call me! Well, this is only day 1 and things may change, if not, I’m going back to being an undercover squeegee mom.

In seriousness, Facebook you have sent a terrible message! You sold a site that average people post and share their lives, to the rich, so the rich can get richer. The rich getting richer at the hand of the poor. Shame on you! There’s something gut wrenchingly corrupt with doing something as low as that. I’m glad I”m not the person who sold Facebook out in this manner, nor the person who made millions at the mercy of ordinary people.