Investors Snatch FB Even Cheaper Than Its Secondary Stock Offering

Posted: Dec 30 2013, 9:11am CST | by , in News



Looking back to 10 days ago, Facebook, Inc. (NASD: FB) priced a 70,000,000 share secondary stock offering at $55.05 per share. Buyers in that offering made a considerable investment into the company, expecting that their investment would go up over the course of time. In trading on Monday, bargain hunters could buy shares of FB and achieve a cost basis 2.3% cheaper than those buyers, with shares changing hands as low as $53.79 per share.

Click Here To See All Recent Secondary Stock Offerings »

Secondaries can often present buying opportunities for bullish investors interested in purchasing shares, because the sudden extra supply of stock tends to require that the offering be priced at an attractive discount to where the stock had previously been trading before the offering announcement. At last check, Facebook, Inc. shares are currently trading down about 2.9% on the day. The chart below shows the one year performance of FB shares, versus its 200 day moving average:

Looking at the chart above, FB’s low point in its 52 week range is $22.67 per share, with $58.58 as the 52 week high point — that compares with a last trade of $53.55.

Special Offer: Try OLI Premium and get reports on Splits, Buybacks, and M&A daily

According to the ETF Finder at, FB makes up 10.71% of the Social Media Index ETF (NASD: SOCL) which is trading lower by about 0.8% on the day Monday.

Special Offer: Try OLI Premium and get reports on Splits, Buybacks, and M&A daily

Source: Forbes

You May Like


The Author

Forbes is among the most trusted resources for the world's business and investment leaders, providing them the uncompromising commentary, concise analysis, relevant tools and real-time reporting they need to succeed at work, profit from investing and have fun with the rewards of winning.




Leave a Comment

Share this Story

Follow Us
Follow I4U News on Twitter
Follow I4U News on Facebook

You Also Like


Read the Latest from I4U News