Facebook Stock Closes At New Low

Even as it taps every ad revenue spigot it can find, Facebook continues to flounder on the stock market. The company's shares closed at a new low Friday after a pair of Wall Street analysts lowered their price targets on its stock, according to a Wall Street Journal report. Facebook shares fell about 5% today to just over $18—more than a 50% fall-off from its IPO price of $38.

Bank of America analyst Justin Post dropped his target on Facebook shares 34% to $23, while Bank of Montreal analyst Daniel Salmon lowered his 40% to $15, the lowest of the 22 analysts with estimates for Facebook. The company's shares most recently took a hit following the expiration of the “lockup” period earlier this month, freeing early investors and company insiders to begin selling shares.

Facebook has rolled out a series of new ad options and initiatives in recent months including expanding mobile advertising, launching a real-time ad exchange, search advertising, and most recently, allowing marketers to target existing customers on the site through contact information like email addresses and phone numbers. Post said in a research note Friday he views the “success of new ad formats as paramount for the stock.”

However, another lockup expiration looms on Oct. 15, potentially resulting in another big sell-off. Post said he doesn't expect to see any “buying momentum” until December.

Recommend (2) Print RSS
All content published by MediaPost is determined by our editors 100% in the interest of our readers ... independent of advertising, sponsorships or other considerations.
  • Mississippi Officials Planned To Enlist MPAA In 'Media Blitz' Against Google

    An official from the Mississippi Attorney General's office proposed that the Motion Picture Association of America help coordinate a "media blitz" against Google -- which would include arranging for bad press on NBC's Today Show and in News Corp's The Wall Street Journal -- according to new court documents. The ...
  • FCC Chairman Backs AT&T's Merger With DirecTV

    AT&T's $49 billion merger with DirecTV appears to be headed for regulatory approval, Federal Communications Commission Chairman Tom Wheeler indicated on Tuesday. "An order recommending that the AT&T/DirecTV transaction be approved with conditions has circulated to the Commissioners," Wheeler said in a statement. The proposed order includes two conditions related ...
  • Google Wins Reprieve From Mississippi Attorney General

    A federal judge has granted Google's request for an order enjoining Mississippi Attorney General Jim Hood from following enforcing a subpoena for “millions” of documents relating to copyright infringement by outside companies. The preliminary injunction, issued on Monday by U.S. District Court Judge Henry Wingate in Jackson, Miss., stays Hood's ...
  • FCC Enacts Sweeping Open Internet Rules

    The Federal Communications Commission voted on Thursday to impose net neutrality rules that prohibit broadband providers from blocking or degrading traffic and from creating online fast lanes. “Today history is being made by a majority of this commission as we vote for a fast, fair and open internet,” Chairman Tom ...
  • Nick.com Visitors Seek To Revive Privacy Case Against Google And Viacom

    Representatives for a group of young children are appealing a judge's decision to dismiss a lawsuit accusing Google and Viacom of violating a federal video privacy law. The notice of appeal, which was filed this week with the 3rd Circuit Court of Appeals, doesn't offer details about the potential arguments ...
  • Coca-Cola Talks "Total Market" Multicultural Marketing

    Segmenting remains a natural component of multicultural marketing. Yet, top brands increasingly want separate units to share insights, and a broader strategy. It’s a “total market” according to Juan Pablo Gonzalez, Senior Brand Manager of Hispanic Marketing at Coca-Cola. Among other benefits, “It gives up an opportunity to share resources,” ...
  • "50 Shades Of Skin" Isn't The Way To Approach Multicultural Markets

    When approaching multicultural consumer segments, marketers shouldn’t go thinking about “50 Shades of Skin,” according to Xavier Turpin, Director of Multicultural Marketing at Dunkin Brands. “It’s wrong to label all these segments based on skin color,” Turpin told attendees of MediaPost’s Engage: Hispanics conference, on Tuesday. “What’s more important is ...
  • Finding programmatic revenue -- or lead-generation value

    Programmatic may yield too low cost per thousand prices for many publishers. Still, others who even sell premium video inventory find value. During a OMMA Miami panel, Daren Trousdell, founder/chief executive officer of OneUp Sports says: “Programmatic is a lead-generation tool for us; we can see who is bidding on ...
  • Audi Taps MUH-TAY-ZIK I HOF-FER For Social

    Audi of America has tapped San Francisco-based MUH-TAY-ZIK | HOF-FER as its social media agency. Audi says it choose the agency Audi after seeing their work for clients like Netflix, Golden State Warriors, and Slavery Footprint.
  • FCC Chairman Unveils Plan For 'Strongest Open Internet Protections' In Agency's History

    Federal Communications Commission Chairman Tom Wheeler said on Monday that he will propose that the agency declare broadband service a utility, in order to enact “the strongest open internet protections” in the agency's history. “These enforceable, bright-line rules will ban paid prioritization, and the blocking and throttling of lawful content ...
>> Raw Archives