$29 billion lost in three weeks; but analysts say selloff overdone
Three weeks after Facebook’s FB -1.86% offering, investors in the five major social media stocks have seen the group’s combined market capitalization plummet by about $29 billion, according to a MarketWatch analysis.
“They see Facebook going down and they’re depressed,” Wedbush analyst Michael Pachter said of investors.
Mark Harding of JMP Securities said the mood on social media stocks has clearly swung the other way after Facebook’s controversial debut. “The group as a whole was pumped,” he said, adding that “there was a lot of hype” going into the sector. “Certainly, it didn’t live up to the original hype… Read more