Facebook’s IPO finally hit the market at a raised price of $38 per share.
Some were expecting the shares to “pop” as soon as they start trading.
Instead, shares went up to the $40-41 range, but finished the day at $38.23.
I didn’t get into the action, but many others hopped on to get a slice of Facebook. I’m still not convinced they should be trading at a Price-Earnings ratio of 122. In comparison, GE trades at P/E of 15.5, Apple at P/E of 12.93, and Ford at P/E of 2.11 times earnings.