Shares in Mark Zuckerburgs dorm room project have opened on the Nasdaq index of shares and the stock currently stands more valuable than some consumer juggernauts like Mc Donalds and Amazon who also trade on the same stock exchange.
The boss himself was given the honour of ringing the opening bell remotely from the websites headquarters in California the trading floor being located in New York city. The roaring first day trade of the stock was welcome news for the stock brokers as the Nasdaq was on course for its worst week of 2012 thus far.
However, there has been serious doubts about how the company can live up to its very high valuation of over 100 billion dollars. The company made just 3.7 billion dollars last year which is much less than dozens of companies with half the perceived value.
Facebook may be a victim of the dot com bubble and indeed a driver of it with the purchase of the non profitable Instagram brand for 1 billion dollars last year. There is wide based speculation that the stock price may stabilise at something close to half of its opening 48 dollar price tag. Either way I am sure there a few smiling faces in facebook HQ this evening, wiping their hands with some small bills.