Kellogg School of Management at Northwestern University

Day 2 of trading for Facebook’s newly minted stock is over, and things didn’t improve quite as people had hoped. Shares of the hyped offering were down nearly $4 from the IPO price of $38, prompting complaints that Morgan Stanley, the lead underwriter, had priced the shares too high. (Usually, you hear the opposite—that underwriters price IPOs too low and reap a windfall in the process.)

Others also grumbled that too many shares were offered, especially after the late addition of 84 million shares. That probably did tamp initial demand, but it still seems like an odd complaint given that just over 15 percent of the company was available for purchase. CEO Mark Zuckerberg also remains still undisputedly in control, as Anup Srivastava pointed out to me earlier this year.

Now that Facebook has finally gone public, check out our previous coverage on the topic.

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