After the social networking company Facebook (NASDAQ:FB) made a modest debut in its first day of trading Friday, the new public company isn't fairing well in the beginning of trading today.
Shares dropped below the IPO price in premarket trading and have continued that trend into market hours. Analysts had been predicting that the stock could have doubled in price on its first day but surprised everyone when it leveled out just above its IPO price.
The social networking IPO also exposed the Nasdaq Exchange to some ridicule. Glitches in the trading system on Friday made the exchange a half hour late in initiating trading of Facebook. According to reports, the main problem arose from processing order cancellations. Before Facebook began trading, the Nasdaq was taking trading orders but, if an investor wanted to change or cancel that order, the Nasdaq did not confirm it.
Despite the glitches, trading Facebook shares continues into today's session. It remains to be seen whether the social networking site will grow this coming week but it is not off to a great start. Currently, share are down over 11% and falling.