Catch A Falling Knife, Facebook Co-Founder Selling Shares at a Regular Clip
It's a telling sign when the co-founder of a company can't offload his shares quick enough. That's sort of what's happening with Dustin Moskovitz, the billionaire Internet whiz kid not named Mark Zuckerberg. Like Zuckerberg, Moskovitz had a hand in founding Facebook, but unlike his cohort, Moskovitz is selling his shares at a steady clip.
According to reports, he's been steadily offloading falling Facebook shares every day, having now sold 450,000 Class A stock for anywhere between $19.19 to $19.22 a pop. That's about half of Facebook's debut price of $38 back in May.
To put the sales into perspective, Moskovitz still owns 6.15 million Class A shares, along with 106.8 million B shares. The latter, in this instance, come with more voting rights. Class B can also be converted to Class A on a one-to-one basis at any time, but with 6.15 million still on hand, it's unlikely Moskovitz would do that.
It's been a rough run for Facebook in the stock market. Within a week of going public, Facebook shares dropped in value by around $7 to $31.91 and, for the most part, have been declining ever since. Much of that is due to the fact that the company's first earnings report post IPO noted a $157 million net loss. The social networking site is still trying to figure out how best to monetize its 955 million active members and properly leverage mobile platforms.
According to reports, he's been steadily offloading falling Facebook shares every day, having now sold 450,000 Class A stock for anywhere between $19.19 to $19.22 a pop. That's about half of Facebook's debut price of $38 back in May.
To put the sales into perspective, Moskovitz still owns 6.15 million Class A shares, along with 106.8 million B shares. The latter, in this instance, come with more voting rights. Class B can also be converted to Class A on a one-to-one basis at any time, but with 6.15 million still on hand, it's unlikely Moskovitz would do that.
It's been a rough run for Facebook in the stock market. Within a week of going public, Facebook shares dropped in value by around $7 to $31.91 and, for the most part, have been declining ever since. Much of that is due to the fact that the company's first earnings report post IPO noted a $157 million net loss. The social networking site is still trying to figure out how best to monetize its 955 million active members and properly leverage mobile platforms.
