Bloomberg: Facebook Is Worst Large IPO Of The Decade

Posted May 29, 2012

When Facebook went public earlier this month, they set a record for technology companies by raising over $16 billion. However the stock is now also known for producing the worst return amongst the largest U.S. deals in the past decade. This Bloomberg chart compares the first five days of trading for the 10 largest IPOs from the past 10 years.  The chart compares Facebook’s chart to Visa, Mastercard, HCA Holdings, Kinder Morgan, General Motors, Genworth Financial, CIT Group, Blackstone Group, and MF Global.  Facebook’s stock has fallen 13% since the underwriters sold them at $38 on May 17.  This decline exceeds the 10% drop by MF Global. in its first five days.  Visa was one of the best IPOs as it grew 45%.  The first day of Facebook’s trading was interrupted by a poor design of Nasdaq OMX Group’s software.  The software glitch prevented messages being sent to brokerages about whether client orders for the stock were purchased or cancelled.