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First Facebook Shareholder Meeting Tackles Stock Price Complaints

June 11
10:31 PM 2013

During the first shareholder meeting of the no.1 social media network on Tuesday, Facebook Chief Executive Mark Zuckerberg was bombarded with a lot of questions. This was in relation to the firm's slumping stock price after its initial public offering last May.

Zuckerberg announced that he believes that Facebook was on the right path towards long-term success even when he was disappointed in the company's performance on Wall Street. This was after a 37% decrease in its stock value after debuting at US$38.

Facebook, a social media network has about 1.1 billion users. This is the first US firm to debut in the stock market having more than US$100 billion value. However, the shares of the company never traded above their offer aside from the first day of trading.

The company has to address one of its main concerns regarding weighing stock price. The move was to develop more mobile advertise that currently accounts for 30% of the total Facebook revenue.

Facebook shares closed at 1.2% lower at US$24.03 on Nasdaq amid a wide decline in the market.

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