- Last Updated: 4:14 PM, May 18, 2012
- Posted: 9:34 AM, May 18, 2012
It's Facebook's big day.
The site, which was born in a dorm room eight years ago and has grown into a worldwide network of almost a billion people, is making the most talked-about stock market debut in years.
Facebook shares closed their first day of trading Friday only slightly above the company's IPO price of $38 a share, as investors cooled on the stock after its highly anticipated debut. Facebook shares closed up 0.6 percent at $38.23.
Bruno del Ama, the CEO of asset management firm Global X Funds, said that he will wait five full trading days, until after the market closes Thursday, to get in on Facebook.
"On the first day you see a tremendous amount of volatility," he said. By the fifth day, investors should see more stability, he said.
He believes Facebook is here to stay: "Once companies have built a network, it's really difficult to displace them," he said. He added that while massive companies such as Google are trying to compete with Facebook, and may even have better technology, "we care about where our friends are."
— Barbara Ortutay, AP Technology Writer
AN HOUR TO GO
Facebook stock is trading at $39.02, up a little more than a buck. Volume just passed 450 million shares.
It's another bleak day for the rest of the market, by the way. The Dow Jones industrial average appears headed for its 12th loss in the past 13 trading days. The Nasdaq composite, representing Facebook's stock exchange, is down 1 percent.
BUT SERIOUSLY, FOLKS
Twitter users are joking about the Facebook IPO.
From Conan O'Brien: "Today, Facebook went public, just as MySpace's last user went private."
And from the Twitter feed of the website Someecards: "My favorite Facebook public offerings are still your beach photos."
— Peter Svensson, AP Technology Writer
WE ARE THE ONE-QUARTER PERCENT
Conversations about the Facebook IPO accounted for 0.25 percent of all online discussion during the first part of the workday, according to NM Incite, a company that tracks social media traffic.
That may sound small, but it's an increase of 5,000 percent compared with the buzz about the Facebook IPO a month ago. It is also four times greater than the chatter for the LinkedIn IPO and 10 times greater than the Groupon IPO.
— Scott Mayerowitz, AP Business Writer
Francis Gaskins, president of IPOdesktop, a market research company, said that it wasn't a bad thing that Facebook didn't get a "pop" on its first day, similar to what happened during the 1990s dot-com frenzy.