Facebook (Nasdaq:FB) and Mark Zuckerberg have been taken prisoner by investor perceptions. Facing a humiliating $50 billion loss of shareholder wealth Facebook will start buying back some of its own shares which might reduce the float some and help engineer the illusion of EPS growth.
More importantly Mark Zuckerberg promises not to sell any personal holdings for the next year. Because Mark knows if he sells it will be the largest unfriend action in the history of capitalism. In the mean time he continues to have a mortgage on his mansion. Truly wealthy people do not have mortgages. They have walls erected around them.
By the way markets are conversations. Stock markets are an original form of social media.
George Gutowski writes from a caveat emptor perspective. Follow him on twitter @financialskepti
- Zuck: I Won’t Sell Facebook Shares for a Year (mashable.com)
- Zuckerberg says no plans to sell his Facebook shares (mercurynews.com)