Thursday, April 25, 2013

What other stocks will benefit from Facebook IPO?

Q. I saw today that Zynga stock jumped on the filing of the Facebook IPO. What other stocks will react when the FB stock starts trading in three months? I am anticipating that none of us will have a chance at purchasing any FB stock at that time so I'm trying to find other stocks that will benefit from the "halo" effect similar to what just happened to Zynga. Any suggestions out there from private investors? Would love to hear your thoughts. Thanks

A. This is a though provoking question.

ZNGA jumped because ZNGA has a direct business relation with Facebook, GOOG has no reason to jump unless the whole web sector is lifted. In that case, LNKD, GRPN, and the likes might jump.

By the way, I took a wild guess at Facebook's stock symbol 7 months ago, and I was correct in my conclusion, it was FB. See here: http://fadi.el-eter.com/what-will-be-facebooks-stock-ticker-symbol.html

How much $$$ can I get for buying one facebook share?
Q. Hello,

I know it's currently just one facebook IPO share I'm looking into getting for now, but how much is the financial returns for just buying one share? Thanks.

A. You will lose money - I don't know what the dividends are but there are soo many shares out there.

It was extremely over hyped - this is thier strategy:
http://www.roberttanguay.com/news/facebook-ipo-fail-scam/

Yahoo has an active lawsuit against Facebook. Don't let anyone you know buy stocks. Invest in local businesses or start your own.

Would stock in Facebook be a good birthday present?
Q. After noticing the hype about the Facebook IPO I decide to ask my mom for stock in Facebook for my birthday. I'm unemployed, but looking for work. I wanted a new cell phone, but since I don't have a job I figure having stock in Facebook my help. Was this a good idea or am I over my head?

A. It would look nice in a frame on the wall but yes you're way over your head in investing.




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