NEW YORK, N.Y. - During the week that the bankers behind Facebook's initial public offering issued their first ratings on the company, its shares fell nearly 6 per cent.
The stock ended trading Friday at $31.09, down 27 cents for the day. For the week, it lost almost $2, or 5.9 per cent, compared with last Friday's closing price of $33.05.
The 40-day quiet period for analysts who work for the banks that underwrote Facebook Inc.'s IPO ended this week, meaning they finally could issue ratings and opinions on the stock.
In a flood of reports on Wednesday, they mostly rated it "neutral" or "buy." Morgan Stanley, the lead bank for the IPO, set a target price of $38.
That's the very same price it initially sold for — and has failed to match since.