Facebook Shares Value Continues To Fall: Now It’s $30.98 A Share
The selling off in Facebook’s shares intensified on Tuesday, since investors pursued to doubt the valuation of the stock after Reuters stated that underwriters lowered their revenue estimate for the company before the Initial Public Offering.
On Tuesday Facebook’s shares were valued at $30.98 that is 8.9 percent fewer than on Monday. On the whole, given the IPO price was $38, Facebook’s shares are down 18 percent.
Shares of the world’s No1 social networking site are currently the most actively traded in the markets of the United States. On Tuesday’s session there was more than 28 million shares traded.
Lately Facebook’s shares were priced at $31.75, 6.7 percent below on the day.
In recent quarters the social site’s revenue growth has been slacking, playing the dickens among those who consider that at this stage of its development the company’s revenue growth should be more intense.
Just on the eve of the IPO the investors were surprised to know that Facebook’s revenue may be significantly increased if to shift to mobile platforms, where advertising hasn’t obtained a wide circulation. That made Morgan Stanley’s analyst inform clients he was downing his revenue estimate for the company.
Despite value of Facebook’s shares lowered, the company still could get high annual growth rates. Guided by the predicted growth rates of approximately 10.8% over the next decade Thomson Reuters Starmine forecasts the price on Facebook’s shares will be at $9.59.