Facebook Inc. set its share price at $38 for today’s initial public offering. Should you get in line to buy it? No. And here’s why. A lot of smart people who invested in Facebook are selling now, in fact many early investors have increased the amount of shares they plan to sell. What do they know that you don’t? Plenty. Ask your financial advisor about Facebook’s price to earnings ratio. You will not like the answer. Then, there’s Mark Zuckerberg, who is about to become one of the richest people in the world. Even after the IPO, Zuck will still control the company. He doesn’t like advertising, and Facebook really doesn’t make money doing anything else. Of course, none of this information will stop the feeding frenzy. Facebook’s IPO is destined to be one of the most amazing, most talked about, most debated, most analyzed ever. If you’re really thinking about buying Facebook shares, please consult with a trusted professional financial advisor beforehand.
Shelly Palmer Radio Report – May 18, 2012
Author: Shelly Palmer
Shelly Palmer is Fox 5 New York's On-air Tech Expert (WNYW-TV) and the host of Fox Television's monthly show Shelly Palmer Digital Living. He also hosts United Stations Radio Network's, Shelly Palmer Digital Living Daily, a daily syndicated radio report that features insightful commentary and a unique insiders take on the biggest stories in technology, media, and entertainment. He is Managing Director of Advanced Media Ventures Group, LLC an industry-leading advisory and business development firm and a member of the Executive Committee of the National Academy of Television Arts & Sciences (the organization that bestows the coveted Emmy® Awards).