Shares of Facebook Inc (NASDAQ:FB) have posted a weekly fall of 12.64%. So far the stock lost 50% for 2012 and, at last close, was down 17.53% from 20 day moving average and kept distance of 30.51% from 50 DMA.
The stock started the week in negative territory after a report that a flood of privately held Facebook shares could begin to hit the market last week, potentially putting more stress on the company’s stock, as the first lock-up ends that have kept some early investors except Chief Executive Mark Zuckerberg from selling their stakes.
The same trend continued on Tuesday as the stock closed near its all-time low after Billionaire investor George Soros’s Fund Management LLC acquired 341,000 shares in the social-networking company, which has seen its share price decline after the company’s market debut in May.
The next day, FB shares made some recovery after a report indicated that the company is taking steps to publicize its efforts to grow ad revenue. For the first time since going public, the company’s Vice President of Marketing, Carolyn Everson, was speaking in front of the media, undoubtedly looking to get out the word out about the company’s strong relationship with the country’s biggest advertisers and its efforts to grow their return on investment.
She highlighted three key points that companies are on board for Facebook’s big mobile push, marketers are ready to re-write the rules with Facebook and FB is working on measurement and data to assure companies of a return on investment.
After the lock-up period ended on Thursday, the stock tumbled 6.3 percent to a record closing low after early investors were allowed to sell for the first time since the No. 1 social network went public, starting a series of insider lockup expirations that will keep the stock under pressure for months.
There were more than 270 million shares under ownership of early investors that became available for trade on Thursday after a 3-month curb on sales ended. That was more than half the 421 million shares sold in its IPO on May 18.
On Friday, FB shares slipped to set a new low as the market has raised disappointments with Facebook’s inability to articulate a plan to reverse slowing revenue growth.