Tuesday, May 29, 2012

Facebook still has some way to go...down that is.

FB closed around $29 today, but probably has some way to go according to Mark Hulbert.  Hulbert bases his analysis on a study coauthored by my dissertation adviser, Jay Ritter, who is an expert on all things IPO.  The conclusion of the analysis:  Something around $13 would be more reasonable.   Ouch.

HT: Reformed Broker.

On a separate note, Felix argues that the FB debacle should be of concern to all of us.

And finally, perhaps we should short it - here's the simple guide to shorting an IPO.  HT: Finance at Tepper