Bad Data and Bad Decisions: Facebook’s Sinking IPO

Observe PoinT Facebook's Sinking IPO Bad Data and Bad Decisions: If based on baompanies make decisions This is the story Sometimes ### of one that affected millions... About Friends Map ONN Money CNN Feb. 1, 2012 Friends Facebook readies for blockbuster IPO Instagram Facebook's long- awaited IPO filing is imminent, according to several news reports. Kim Jong citi *UBS Like Comment Share UBS Gordon Gekko Way to go, greed is good! Citigroup King Midas Swiss Bank Citigroup This is exciting, we will be on board. Facebook Apr. 23, 2012 During Facebook's first-quarter, net income fell 12 percent to $205 million, weighed down by higher expenses. Facebook Аprг. 9, 2012 Facebook has plans to buy Instagram, a photo-sharing social network, for $1 billion in cash and stock. INCOME REVENUE Fell 12% Rose 45% However, Facebook's revenue rose 45 percent to $1.06 billion. Instagram They also plan to list its stock on the NASDAQ Stock Market under the ticker symbol "FB." Like Comment Share Investments Group So what are you going to set your stock price at? With numbers like that, it shouldn't be anything crazy. PRICE: $1 BILLION Like Comment Share Instagram We are excited to join your team. WSJ Wall Street Journal May 15, 2012 Facebook May 3, 2012 Is Facebook Profitable? Facebook has yet to prove it can actually make money. Right now, its only real value is in the number of people Facebook plans to set a price range of $28 to $35 for its IPO. IPO RANGE:$28-$35 who use it. Like Comment Share Facebook and its early investors plan to sell $337.4 million shares. This would raise as much as $11.8 billion. Forbes Even their number users Forbes is questionable. Facebook's offering values it at $76 billion to $95 billion. ESTIMATED accounts on Facebook are 46 MILLION duplicates. accounts are misclassified, MILLION such as personal accounts for companies and organizations or even pets. Like Comment Share 23 Investments Group Shared a photo I'm curious, where is the data to back up this price?! ESTIMATED accounts are "undesirable" 14 MILLION or spam accounts. Facebook May 16, 2012 Facebook adds 84 million shares, worth up to $3.2 billion, to the IPO. That brings the total to 421 million shares, or $16 billion. Facebook May 15, 2012 Facebook increases its price range for the IPO from $34 to $38 per share. Like Comment Share The sale would raise about $12.8 billion and value the company at $104 billion. Facebook May 17, 2012 FROM $34 to $38 PER SHARE Facebook sets its IPO to be the second largest U.S. IPO ever, behind Visa Inc. The offering values Facebook at about $104 billion. Like Comment Share Investments Group What has changed? What info gives you this impression? Like Comment Share Gordon Gekko OMG, data $104 BILLION doesn't matter lol. Kim Jong II Come on, it's Facebook, they compete with Google and Apple, that's all we 2nd Largest U.S. IPO ever, behind Visa, Inc need to know. Investments Group Guys, you can't make decisions on bogus information. Investments Group I'm sorry to say this again, but where is the information to back up this decision? ObservePoint NEWS FLASH! 46% of companies report they made an inaccurate business decision based on bad or 46% outdated data. Bad data leads to bad business decisions. Companies need to be careful that their data is sound - especially when dealing with investors. Like Comment 9hare Facebook May 21, 2012 ABC News NEWS May 18, 2012 NASDAQ Glitches Facebook's stock closes below its IPO price. Two hours after Facebook began trading, opening at CLOSES BELOW ITS IPO PRICE $42.05 per share, a technical problem at NASDAQ caused an anxiety-filled half-hour delay. Like Comment Share Investor WHERE'S THE DISLIKE BUTTON ON THIS?? Like Comment Share O comScore comscore June 15, 2012 Facebook May 29, 2012 Facebook's stock falls below $30 for Facebook seeks to consolidate more than 40 lawsuits it faces and suggests the NASDAQ Stock Market is to blame for the drop in stock price. first time. FALLS BELOW $30 FOR THE FIRST TIME Like Comment Share Like Comment Share Citigroup What's wrong? Why aren't we making money? Citigroup We can jump on that band wagon. Any way to get our money back. UBS Swiss Banking It will bounce back. It has to bounce back. M Mashable August 2, 2012 Investments Group Could it be the fact that your decision was based off bad information? 83 Million Accounts Are Fake The number of fake accounts Facebook Aug. 17, 2012 on Facebook is roughly the size of Egypt's population and larger than most of the world'a countries. Facebook's stock falls further and hits $19 – half of its IPO price – just minutes before trading ended for the day. Like Comment Share Investments Group This is not something to brush off, this is HUGE. UBS Swiss Banking Those numbers can't be right.can they? HITS $19 half of its IPO price Forbes Forbes Sep. 20, 2012 Like Comment Share Zuckerberg is now worth $9.4 billion, down from $17.5 billion last year. Federal Government Sep 6, 2012 Zuckerberg now worth almost HALF Facebook Closes its Purchase Like Comment Share of Instagram Federal government clears Instagram deal. Because of Facebook's falling atock price, the $1 billion caah- and-atock deal dropa to about $750 million. Facebook Who has lost the most? THE BIGGEST LOSERS Like Comment Share Instagram Man, this really didn't work out in our favor. Like Comment Share UBS Swiss Banking We lost $356 million. A The State of California Knight Capital Group We lost $35.4 million. The State of California had budgeted for $1.9 billion in tax revenues from the Citadel We lost $30 million. valuation, but now expects to lose "hundreds of millions of dollars" that Citigroup We lost about $20 million. was planned to help avoid school cuts and programs for the sick, poor and disabled. Mom and Pop Investors We lost $630 million. Like Comment Share ObservePoint NEWS FLASH! Case Study Release: Companies are seeing the need to be responsible with data. With all the data available, it's more and more important to have experts on your side. Companies are partening with ObservePoint to audit Digital Analytics Data. Truth in Analytics. www.ObservePoint.com Observe PoinT SOURCES http://stream.marketwatch.com/story/the-facebook-ipo/SS-4-1615/SS-4-9931/ http://dealbook.nytimes.com/2012/08/22/citigroup-blasts-nasdaq-over-facebook-i-p-o/ http://www.cbsnews.com/8301-505 245_162-57499375/going-public-key-developments-in-facebooks-ipo/ http://www.forbes.com/sites/greatspeculations/2012/08/16/facebook-now-great-value-after-ipo-flop-flood-of-insider-selling/ http://stream.wsj.com/story/facebook-ipo/SS-2-9640o http://www.pcmag.com/article2/0,2817,2386884,00.asp http://www.reuters.com/artide/2012/08/22/nasdaq-facebook-citadel-idUSL2E8JLFKB20120822 http://www.reuters.com/artide/2012/08/20/us-facebook-thiel-idUSBRE87JOUQ20120820 http://www.cbsnews.com/8301-505123_162-57499908/nasdaq-slammed-over-facebook-ipo-settlement/ http://marketday.nbcnews.com/_news/2012/08/24/13460329-facebook-mishandling-its-crisis-experts-say?lite http://www.thedailybeast.com/articles/2012/08/28/how-joining-facebook-is-hurting-instagram.html http://monev.usnews.com/monev//personal-inance/mutual-funds/articles/2012/08/28/how-retail-investors-should-evaluate-social-media http://mashablecom/2011/10/18/facebook-users-dislike-changes/ http://technorati.com/social-media/artide/facebook-users-dislike-new-timeline/ http://www.digitaltrends.com/social-media/ftc-facebook-users-must-opt-in-to-privacy-setting-changes/ http://www.theatlanticwire.com/technology/2012/07/uh-oh-facebook-losing-its-popularity/54701/ http://artides.latimes.com/2012/may/30/business/la-fi-facebook-teens-20120531 http://www.nytimes.com/2012/08/21/technology/facebooks-ambition-collides-with-a-harsh-market.html?pagewanted-all Observe PoinT Facebook's Sinking IPO Bad Data and Bad Decisions: If based on baompanies make decisions This is the story Sometimes ### of one that affected millions... About Friends Map ONN Money CNN Feb. 1, 2012 Friends Facebook readies for blockbuster IPO Instagram Facebook's long- awaited IPO filing is imminent, according to several news reports. Kim Jong citi *UBS Like Comment Share UBS Gordon Gekko Way to go, greed is good! Citigroup King Midas Swiss Bank Citigroup This is exciting, we will be on board. Facebook Apr. 23, 2012 During Facebook's first-quarter, net income fell 12 percent to $205 million, weighed down by higher expenses. Facebook Аprг. 9, 2012 Facebook has plans to buy Instagram, a photo-sharing social network, for $1 billion in cash and stock. INCOME REVENUE Fell 12% Rose 45% However, Facebook's revenue rose 45 percent to $1.06 billion. Instagram They also plan to list its stock on the NASDAQ Stock Market under the ticker symbol "FB." Like Comment Share Investments Group So what are you going to set your stock price at? With numbers like that, it shouldn't be anything crazy. PRICE: $1 BILLION Like Comment Share Instagram We are excited to join your team. WSJ Wall Street Journal May 15, 2012 Facebook May 3, 2012 Is Facebook Profitable? Facebook has yet to prove it can actually make money. Right now, its only real value is in the number of people Facebook plans to set a price range of $28 to $35 for its IPO. IPO RANGE:$28-$35 who use it. Like Comment Share Facebook and its early investors plan to sell $337.4 million shares. This would raise as much as $11.8 billion. Forbes Even their number users Forbes is questionable. Facebook's offering values it at $76 billion to $95 billion. ESTIMATED accounts on Facebook are 46 MILLION duplicates. accounts are misclassified, MILLION such as personal accounts for companies and organizations or even pets. Like Comment Share 23 Investments Group Shared a photo I'm curious, where is the data to back up this price?! ESTIMATED accounts are "undesirable" 14 MILLION or spam accounts. Facebook May 16, 2012 Facebook adds 84 million shares, worth up to $3.2 billion, to the IPO. That brings the total to 421 million shares, or $16 billion. Facebook May 15, 2012 Facebook increases its price range for the IPO from $34 to $38 per share. Like Comment Share The sale would raise about $12.8 billion and value the company at $104 billion. Facebook May 17, 2012 FROM $34 to $38 PER SHARE Facebook sets its IPO to be the second largest U.S. IPO ever, behind Visa Inc. The offering values Facebook at about $104 billion. Like Comment Share Investments Group What has changed? What info gives you this impression? Like Comment Share Gordon Gekko OMG, data $104 BILLION doesn't matter lol. Kim Jong II Come on, it's Facebook, they compete with Google and Apple, that's all we 2nd Largest U.S. IPO ever, behind Visa, Inc need to know. Investments Group Guys, you can't make decisions on bogus information. Investments Group I'm sorry to say this again, but where is the information to back up this decision? ObservePoint NEWS FLASH! 46% of companies report they made an inaccurate business decision based on bad or 46% outdated data. Bad data leads to bad business decisions. Companies need to be careful that their data is sound - especially when dealing with investors. Like Comment 9hare Facebook May 21, 2012 ABC News NEWS May 18, 2012 NASDAQ Glitches Facebook's stock closes below its IPO price. Two hours after Facebook began trading, opening at CLOSES BELOW ITS IPO PRICE $42.05 per share, a technical problem at NASDAQ caused an anxiety-filled half-hour delay. Like Comment Share Investor WHERE'S THE DISLIKE BUTTON ON THIS?? Like Comment Share O comScore comscore June 15, 2012 Facebook May 29, 2012 Facebook's stock falls below $30 for Facebook seeks to consolidate more than 40 lawsuits it faces and suggests the NASDAQ Stock Market is to blame for the drop in stock price. first time. FALLS BELOW $30 FOR THE FIRST TIME Like Comment Share Like Comment Share Citigroup What's wrong? Why aren't we making money? Citigroup We can jump on that band wagon. Any way to get our money back. UBS Swiss Banking It will bounce back. It has to bounce back. M Mashable August 2, 2012 Investments Group Could it be the fact that your decision was based off bad information? 83 Million Accounts Are Fake The number of fake accounts Facebook Aug. 17, 2012 on Facebook is roughly the size of Egypt's population and larger than most of the world'a countries. Facebook's stock falls further and hits $19 – half of its IPO price – just minutes before trading ended for the day. Like Comment Share Investments Group This is not something to brush off, this is HUGE. UBS Swiss Banking Those numbers can't be right.can they? HITS $19 half of its IPO price Forbes Forbes Sep. 20, 2012 Like Comment Share Zuckerberg is now worth $9.4 billion, down from $17.5 billion last year. Federal Government Sep 6, 2012 Zuckerberg now worth almost HALF Facebook Closes its Purchase Like Comment Share of Instagram Federal government clears Instagram deal. Because of Facebook's falling atock price, the $1 billion caah- and-atock deal dropa to about $750 million. Facebook Who has lost the most? THE BIGGEST LOSERS Like Comment Share Instagram Man, this really didn't work out in our favor. Like Comment Share UBS Swiss Banking We lost $356 million. A The State of California Knight Capital Group We lost $35.4 million. The State of California had budgeted for $1.9 billion in tax revenues from the Citadel We lost $30 million. valuation, but now expects to lose "hundreds of millions of dollars" that Citigroup We lost about $20 million. was planned to help avoid school cuts and programs for the sick, poor and disabled. Mom and Pop Investors We lost $630 million. Like Comment Share ObservePoint NEWS FLASH! Case Study Release: Companies are seeing the need to be responsible with data. With all the data available, it's more and more important to have experts on your side. Companies are partening with ObservePoint to audit Digital Analytics Data. Truth in Analytics. www.ObservePoint.com Observe PoinT SOURCES http://stream.marketwatch.com/story/the-facebook-ipo/SS-4-1615/SS-4-9931/ http://dealbook.nytimes.com/2012/08/22/citigroup-blasts-nasdaq-over-facebook-i-p-o/ http://www.cbsnews.com/8301-505 245_162-57499375/going-public-key-developments-in-facebooks-ipo/ http://www.forbes.com/sites/greatspeculations/2012/08/16/facebook-now-great-value-after-ipo-flop-flood-of-insider-selling/ http://stream.wsj.com/story/facebook-ipo/SS-2-9640o http://www.pcmag.com/article2/0,2817,2386884,00.asp http://www.reuters.com/artide/2012/08/22/nasdaq-facebook-citadel-idUSL2E8JLFKB20120822 http://www.reuters.com/artide/2012/08/20/us-facebook-thiel-idUSBRE87JOUQ20120820 http://www.cbsnews.com/8301-505123_162-57499908/nasdaq-slammed-over-facebook-ipo-settlement/ http://marketday.nbcnews.com/_news/2012/08/24/13460329-facebook-mishandling-its-crisis-experts-say?lite http://www.thedailybeast.com/articles/2012/08/28/how-joining-facebook-is-hurting-instagram.html http://monev.usnews.com/monev//personal-inance/mutual-funds/articles/2012/08/28/how-retail-investors-should-evaluate-social-media http://mashablecom/2011/10/18/facebook-users-dislike-changes/ http://technorati.com/social-media/artide/facebook-users-dislike-new-timeline/ http://www.digitaltrends.com/social-media/ftc-facebook-users-must-opt-in-to-privacy-setting-changes/ http://www.theatlanticwire.com/technology/2012/07/uh-oh-facebook-losing-its-popularity/54701/ http://artides.latimes.com/2012/may/30/business/la-fi-facebook-teens-20120531 http://www.nytimes.com/2012/08/21/technology/facebooks-ambition-collides-with-a-harsh-market.html?pagewanted-all