Ipo, Facebook Ipo | featured news

Facebook’s post-IPO performance has been poor. But is it so poor that it will hurt the prospects for other startups? The short answer: Almost certainly.

Kayak Software Corp. slowed its march to the stock market in one of the clearest examples yet of the fallout from Facebook Inc.'s tumultuous initial public offering.

Facebook's stock has fallen below $30 for the first time since its much-awaited public debut this month.

Independent analysts have issued price targets ranging from below $25 a share to nearly $50, while bloggers, day traders and others have trotted out valuations that pin Facebook as low as $6 a share. At $38 a pop, nobody liked Facebook.

The fallout from Facebook Inc's messy initial public offering widened on Wednesday as shareholders sued the social network and its bankers while a trading firm revealed a massive loss on the shares and threatened to seek "remedies."

Two top U.S. financial regulators said on Tuesday the issues around the initial public offering of Facebook should be reviewed, putting fresh pressure on the company, its lead underwriter, Morgan Stanley, and the Nasdaq stock exchange.

Facebook's stock was down more than 10 percent on Monday morning, to around $34 a share.

Facebook shares struggled to stay above their $38 IPO price, as Wall Street bankers stepped in to prevent the newly minted stock from ending its first day with an embarrassing loss.

There wasn't much to like about Facebook's first day as a public company. The social media giant's stock rose by mere pennies in its initial public offering. The shares closed at $38.23, barely above the $38 IPO price.The performance fell far short of the grandiose expectations of Wall Street and Silicon Valley, and raised questions about whether the company's stock will be the sure bet many had counted on.

Facebook on Thursday priced its initial public offering at $38 per share. The social networking company, which is expected to go public tomorrow under the ticker symbol "FB," stands to reap $18.4 billion in the IPO.