Having set many records it seems FB will set another record today when markets open. Should the price of FB open where we saw the stock trade down to in after hours, FB will stand for the biggest stock market wipeout in US history. So far the biggest one day slump happened in September 2000 and was set by Intel.
FB stock fell hard in after hours yesterday and as we write this the pre-market has just opened and we see the share of FB trade at 175 USD.
Source: Bloomberg
We have seen the German stock of FB move rather violently this morning. Note it trades very small volumes and the price is in Euros.
Source: Bloomberg
FB is the fourth largest member of the NASDAQ ETF QQQ. Expect a lot of reshuffling of risk among various players today, including index investors. Nasdaq futures are down trading close to the big 7k level.
Source: Bloomberg
As Zuckerberg has been disposing of his shares lately ironically the hedge fund managers have been piling into FB longs. According to data compiled by Goldman Sachs Facebook is the number one darling among hedge funds.
Source: Goldman Sachs
At the same time, Zuckerberg has been increasing his sales rather dramatically. For a full list of all his insider transactions visit the link here.
Source: Gurufocus.com
I guess I should have listened to my teenage daughters fundamental view on FB: “Dad nobody uses FB these days….”
