Facebook and its Insider Problems

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Facebook and its Insider Problems
Facebook and its Insider Problems

Some analysts are debating on the issue that there may have been some sort of vulnerability in the air in the Facebook headquarters where the top guns of the company owning a large number of the company’s shares, are off-loading substantial amount of that share. The CEO and COO of Facebook, Mark Zuckerburg and Sheryl Sandberg are apparently reducing their number of shares of the company that may give a negative signal to other stakeholders of this social networking company. Although the shares definitely have traded under a low price but despite offloading the shares, these top guns should have bought more shares to bring in the stability in the firm amid the serious competition that it is facing from Google + where some analysts are emphasizing on the fact that Facebook must keep innovating or it would end up like MySpace.

Facebook has gained in the past few weeks and managed to close at $25.91on Friday, where investors would love to go long on the stock if it closes above $26.45 resistance level. Buying may get strong if it sustains above $27 a share.

Fire Caused 3.6% Share Slump for Boeing

Just after the concerns regarding the technical issues in its Dreamliner, Boeing faced another setback on Friday where its share price plunged to around 3.6% within an hour after the news came out that an empty aircraft 787 apparently caught fire at Heathrow airport. No deaths or injuries were caused, however. Boeing’s share that were trading above $108 level suddenly dropped to around $99.8 level, where it gave a closing at $101.87 on Friday despite the record level that was tested by S&P 500 on Friday. Going bullish on Boeing stock at the moment is quite risky, as the company would have to deal with Dreamliner’s technical problems and then probe on this incident.

JP Morgan posts Un-expected Profits

The profit level for one of the largest banks – JP Morgan Chase – beat the forecasted numbers with a healthy margin in the second quarter, where its stock price has been on its way up for the past 3 weeks and is currently moving at $54.97 a share. The profit numbers of other major banks are also due in a few days, only after which the investors would take a firm decision as the profitability level among these competitor firms may give a clear direction as to what bank is worth investing in.