Is it worth buying shares in facebook?

Merlin5 · 17 May 2012 at 23:13

At £24 a share, would it be a good investment?

http://www.bbc.co.uk/news/business-18105608

TheCenturion · 17 May 2012 at 23:15

If someone was able to answer your question, would they answer your question? Probably not

(A little cryptic, but hopefully you can see what I'm getting at)

The Halk · 17 May 2012 at 23:15

My personal opinion is they will continue to rise until at some point they crash hard. Every social network before Facebook has crashed. None have reached the heights of Facebook though.

Sin_Chase · 17 May 2012 at 23:17

FB will have a downfall, eventually. It's no more or less a sound investment than any other stock imo.

StriderX · 17 May 2012 at 23:17

Facebook is coming to a point where it is probably going to become stale, so the time for investment is probably gone.

digipeep · 17 May 2012 at 23:19

It's an IT company, in 10 years do you think people will be still using Facebook, maybe but I doubt it, something else will come along.

Another ridiculous stock market flotation.

scwba06 · 17 May 2012 at 23:19

Agreed fb has a shelf life like anything in life. There's no safe bet these days with shares. If I was you is be watching what law firms are floating under the new Legal Services Act

muon · 17 May 2012 at 23:21

Merlin5 said:
At £24 a share, would it be a good investment?

http://www.bbc.co.uk/news/business-18105608

You still have to wait and see what the price opens at on the market.

You can't just buy shares at the IPO price as that is reserved for the clients of the underwriters.

Clipsey · 17 May 2012 at 23:21

You wouldn't be able to buy them at 24pounds anyway, you'd have to have millions in the bank and strong connections with the investment banks to get anywhere near it.
It will no doubt rise, then joe public will buy them, making the original investors more wealthy, then it will come tumbling down

IMO

Boycey0211 · 17 May 2012 at 23:22

there was a BBC documentary on it earlier this week. The consensus is that two kinds of people will buy them.

1. Investors with no idea about technology buying as many as they can.
2. People who know about technology buying them just to sell to number 1.

RomanNose · 17 May 2012 at 23:23

Maybe
Facebook could carry on if it adapted to the market.
I think that we might have a web freedom movement with p2p networks instead of being owned by companies. That's what I think is the future as it offers far better privacy.

Amp34 · 17 May 2012 at 23:23

Do you mean long term or short term? The general suggestion for small investors* is to wait until prices have settled down for longer term investments. From similar past flotations there has been a massive spike in the first day or two, may be worth buying a few for a few hours before selling again if you have an account that allows thats oct of thing.

£24 a share makes no difference than 2p a share if it goes up 10%... You just get less of them for your investment.

* Not sure if it was mentioned in that article, didn't read it...

Merlin5 · 17 May 2012 at 23:24

Damn, I was thinking of buying 10 shares at £240 and hoping it would double in about a year. Looks like I'm not gonna be able to do that then.

Merlin5 · 17 May 2012 at 23:26

Amp34 said:
Do you mean long term or short term? The general suggestion for small investors* is to wait until prices have settled down for longer term investments. From similar past flotations there has been a massive spike in the first day or two, may be worth buying a few for a few hours before selling again if you have an account that allows thats oct of thing.

£24 a share makes no difference than 2p a share if it goes up 10%... You just get less of them for your investment.

* Not sure if it was mentioned in that article, didn't read it...

I was thinking short term really.

Subliminal Aura · 17 May 2012 at 23:28

Eeeeediots will be buying in.

It's going to be a pleasure shorting the ramp up..... I'll be shorting it all the way up mooohahahahhahhahhhaaaaa ha ha

How long will the ramp up last is the question 3 days 3 weeks ? One thing that I'm very interested in is the timing of IPO is unbelievable.... Smack bang in the middle of a dire financial crisis.

The Halk · 17 May 2012 at 23:29

Yep.. but lots of people have lots of money they don't know what to do with, that's why the value of gold is so high. There's at least potentially a massive market for Facebook shares.

Subliminal Aura · 17 May 2012 at 23:29

I can read the papers.....

" Facebook saves the financial markets " :rolleyes:

FFS ppl don't get suckered in

Guile · 17 May 2012 at 23:31

Ridiculously over-priced.

I guess the OP wants to buy so he can say he owns shares in Facebook. It's all brand hype and it will crash when alternatives spring up which don't have millions of shareholder's profits to worry about.

Subliminal Aura · 17 May 2012 at 23:32

The Halk said:
Yep.. but lots of people have lots of money they don't know what to do with, that's why the value of gold is so high. There's at least potentially a massive market for Facebook shares.

Gold just hit 1520 today and has been shorted for months. Today is the first time I've seen it bounce for a long time. Gold is getting back to its real value. I'd rather buy that than facebook

Merlin5 · 17 May 2012 at 23:35

Guile said:
Ridiculously over-priced.

I guess the OP wants to buy so he can say he owns shares in Facebook. It's all brand hype and it will crash when alternatives spring up which don't have millions of shareholder's profits to worry about.

Believe me, I couldn't give a monkeys about any kudos of owning shares in facebook, and I don't even have a facebook account. I'm purely interested in making money.