We know that the Facebook IPO story has been beaten to death, resurrected, then drowned…but we’ve still got a small bone to pick with this ‘IPO from hell’ situation. Now, what we’re having a hard time wrapping our heads around is what’s happened with their stock today considering their progress in the past quarter; their first as a public company. For those of you unaware of what’s going on, Facebook’s stock dropped nearly 15% today, and closed at under half of it’s initial offering value. Basically, anybody who put a penny of their hard earned cash into Facebook stocks in order to make a buck is probably wishing they’d invested in about ANYTHING else. Hell, there’s probably diaper companies with steadier stock rises than Facebook.

The one thing that’s really weird about all this though, is the fact that Facebook, as a company, really hasn’t been doing all that bad lately. Some would even say they’ve been “Kickin’ ass and takin’ names” in terms of growth and profit. They’ve in fact “added about 50 million users worldwide during the April-June quarter” raising the company’s worldwide popularity up to 950 million monthly users, with a daily average of 552 million users. Facebook also adjusted their estimated earnings to $1.18 billion after its first quarter, which is a pretty high bar to shoot for considering they made $895 million last year.

At the end of the day, everything is pointing up for Facebook…so why on Earth is everything going terribly wrong for them? It would seem that a company who’s doing well would see stock value increases instead of decreases of over 30% since the initial public offering. What’s going on here?! Anybody care to shed some light, because from our side of the table it’s looking like none of this really makes sense. Give us a shout on Twitter to clear up some of this confusion…please!

 

photo courtesy of west.m