NEWSMAX: Facebook Inc. fell to a record low after freeing up an additional 271.1 million shares, boosting by 60 percent the number available to trade and compounding concerns that have depressed the stock since the initial public offering.
Facebook declined 6.3 percent to $19.87 at the close in New York. The shares haven’t closed above the $38 IPO price since the first day of trading.
The prospect of more stock sales means Facebook will need to work even harder to convince investors that it deserves a higher price, relative to earnings, than all of its U.S.-based competitors, except for LinkedIn Corp. The shares freed up today make up only 14 percent of the 1.91 billion that will be available for sales in the coming nine months… (more)
