By the numbers: Twitter vs. Facebook IPOs
10 days out may be too early, but we can't resist taking a peek at the data
Computerworld - Facebook's IPO was considered an early bust while Twitter's has been deemed a success. In terms of orderly market activity, that's without question. Ditto for anyone who acquired stock at the IPO price. In fact, the Twitter IPO may signal that other social media companies can successfully raise money by going public. But what about prices for the average investor?
Ten days is admittedly early to rule on the success of a stock launch. That said, we can't resist taking a peek at the data to compare how each stock did in its first 10 business days compared to overall market performance -- and each other.
The graphs below show the set IPO price, first-day-trading opening and closing prices and then subsequent closing prices for Facebook and Twitter. Facebook's graph starts on May 18, 2012; Twitter's on Nov. 7, 2013. Each stock is compared to the NASDAQ Composite for the same days (but the NASDAQ index is divided by 100 in order to be at roughly the same scale as an individual stock), since it wouldn't be fair to compare one company's stock price during a time the overall stock market was rising with the price of another stock when the market was slumping.
Conclusion? Facebook clearly trended downward after its $42/share opening, finishing its 10-day stretch at $27.72. Twitter, meanwhile, has been considerably more stable since its $45.10 opening, trading largely in the low 40s and closing yesterday at $41.05. (The NASDAQ composite during both times didn't show any major movement.)
You can see the trends in the graphs below.
Read more about Social Media in Computerworld's Social Media Topic Center.
- Social Media in Technology: A Unified Strategy for Success Find out how social media is sparking a new era of customer and industry-understanding in technology enterprises and how industry leaders are overcoming...
- SANS: Next-Generation Datacenters = Next-Generation Security This whitepaper takes a look at some new technology that may allow security teams to implement more flexible and capable protection models in...
- SANS: Protecting Virtual Endpoints with McAfee Server Security Suite Essentials SANS review of McAfees Server Security Suite Essentials that address some of the emerging challenges of securing virtual platforms and cloud environments.
- Safeguarding the Next-Generation Data Center Use of virtual and cloud servers has exploded. Unfortunately, security often lags behind. McAfee recommends looking at innovative solutions in order to erect...
- What Does it Take to Deliver a Superior Customer Experience? The Two Top-Rated Online Retailers, B&H Photo and Crutchfield Electronics, Share Their Secrets Discuss practical CX tools and service methods such as contact center agents and the use of realtime speech analytics to help contact center...
- Is SQL Server AlwaysOn really as powerful? Tips and Tricks from the field With the introduction of AlwaysOn, Windows Clustering Services is now more critical than ever. All Social Media White Papers | Webcasts