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Thursday, 16 August 2012

Faceplant continues

The fantasy business that is Facebook continued the decline in its share price.

Keen readers may recall that I tipped the price of the share to decline exponentially when it was launched in May.  It seems to have a half life of about three months, because today the prohibition on sales by its major holders at the time of the float was lifted and the shares fell 6% putting them at $19.88, less than half the value just after flotation.

Still not to worry, because the Facebook website will be airing reality TV programs. Well, I'm no media expert, but what I do know is that if a website is putting out TV programs that are available on free to air YV at the same time  don't expect the web business to make out like gang busters.

This one is going all the way to zero.

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