Q: Can Facebook Shares Go Lower? A: How Well Can You Limbo?
Here’s all you need to know:
Facebook’s stock is now $17.73, down another 1.8 percent after hitting previously low lows on Friday. That’s off 53.3 percent from the IPO in May.
The cause? More negative press and a pair of price downgrades from two of the social networking site’s key Wall Street underwriters — from $45 to $30 from J.P. Morgan and from $38 to $32 from Morgan Stanley.
While no longer as bullish, those new price targets are still rather lofty, given today’s slide, 77 percent and 66 percent higher respectively.
This all comes after a spate of worries about mobile growth, payments growth, lockup shares for sale growth.
It’s essentially a growth of growth worries, in which the limbo pole keeps getting lower.
Current basement scenarios on the price are at $15 to $17 a share — right where the stock seems to be headed for what investors hope is a final soft landing.