Facebook stock sank today in the first day of trading without the full support of the company's underwriters, leaving some investors down nearly 25% from where they were on Friday afternoon.
Shares fell $4.64 to $33.67 in the first minutes of trading. That represented a decline of more than 12% from Friday's close and about 24.4% from the intra-day high of $45 a share.
"There are real concerns about growth and advertisers' frequent lack of certainty how best to use Facebook, along with rising costs and ongoing acquisition risk," said Brian Wieser at Pivotal Research Group.
Facebook and Morgan Stanley are being sued by shareholders who claim weakened growth forecasts were hidden ahead of shares being sold.
If Facebook can get around privacy issues to use advertising better and capitalise on markets like China and Russia, prices should recover.
After all the hype about the most expensive flotation of a company ever, Facebook shares are well down on what they were when launched.