Facebook is expected to go public on Friday. It could happen though as early as today as it is believed that Facebook has closed the IPO share sale yesterday. Reuters reports that a source familiar with the matter says that Facebook will increase the IPO by 25%. Facebook would be adding 85 million shares to its IPO. Increasing the floating shares to about 422 million on Friday.
Coverage of the Facebook IPO is going in over drive. A report on the Wall Street Journal about GM dropping advertising on Facebook ignited yet another discussion about Facebook's revenue potential. Here is the thing though: Facebook ads are totally not intrusive, that is why they fail in the first place in regards to CTR (click through rate). With 900 million users, you still make money though with them. Facebook can any time get more aggressive with ad placement that will make ads more efficient. Facebook did not really "activate" advertising yet in my opinion. Remember, they know everything about its users. Targeting ads and offers can be really accurate.
The only real issue i see is the shift to mobile and how advertising is going to work there. Nobody really figured that out. This is not just a Facebook problem.
I am considering to buy Facebook stock. At this point I am actually going to try. It really depends now how the FB shares fair in the first minutes after trading begins on NASDAQ. I do not have a way to get in on IPO shares.