1. ‘SELL’

    Analysts Sour After Facebook Debut

    Electronic screens show the price of Facebook shares after they began trading Friday, May 18, 2012 in New York. The social media company priced its IPO on Thursday at $38 per share, and beginning Friday regular investors will have a chance to buy shares. (AP Photo/Richard Drew)

    Richard Drew / AP Photo

    “Facebook was not just an IPO,” James A. Bianco, president of trading firm Bianco Research, told reporters Friday. “It was supposed to be something that would excite the retail investor. But that didn’t happen.” In light of the social network’s lackluster debut Friday, some analysts are already cautioning investors to be wary of the stock, with at least one in New York already recommending that buyers “sell.” “While we like the company, we’re troubled by investors’ perception of the risks,” Brian Wieser, an analyst for Pivotal Research Group, told reporters. “It’s priced for perfection and that’s clearly implausible.” Only a few market watchers have passed judgment on the stock so far, and most will be watching the social-network’s ticker closely Monday as trading resumes. “None of this is to take away from the fantastic success of the company,” Wieser said. “It’s just not consistent with the economics.”

    Read it at The Telegraph