Monday, May 21, 2012

Facebook stock slide puts new pressures on company




Facebook Inc's underwhelming debut on Wall Street increases the pressure on the social networking giant to deliver stellar growth - a novel situation for CEO Mark Zuckerberg, who has been clear he is more interested in building products than making money, according to Reuters.

Facebook shares fell 11 percent on Monday, the company's second day as a publicly traded company, due to what many analysts and investors blamed on overly aggressive pricing by Facebook's underwriters, as well as a decision to expand the size of the offering by 25 percent.

The poor stock market performance has intensified the scrutiny of Facebook's business, raising the bar for the company to regain Wall Street's confidence, say some investors and analysts….

Read all about it at http://www.reuters.com/article/2012/05/22/us-facebook-pressure-idUSBRE84L00U20120522

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