Should Investors Buy the Facebook Rally?

Before you go, we thought you'd like these...
Before you go close icon

The following video is part of our "Motley Fool Conversations" series, in which technology and media editor/analyst Andrew Tonner discusses topics around the investing world.

The fallout from Facebook's botched IPO left its stock price, not to mention those who purchased shares around the time of its debut, bloodied and bruised. However, now that the dust has settled, Facebook's stock has rallied impressively over the past two weeks, up slightly more than 20%. In that time, the company has attempted to address some of the flaws that investors cited as risks coming out of its IPO. Has one of the most hyped stocks and biggest investing storylines of the past several years fallen low enough to be a buy today? Watch the video to know whether this rally is here to stay or whether you should still avoid this high-flying growth stock.

Facebook recently became the largest company ever to IPO. Yet all the buzz around this social-media monster could prove off-base, as Facebook has deep problems converting its millions of members to revenue. We've created a new report, "Forget Facebook -- Here's the Tech IPO You Should Be Buying," that details a much better social-media stock that has a longer runway for growth than Facebook. The report won't be available forever, so click here to get access today -- it's totally free.

The article Should Investors Buy the Facebook Rally? originally appeared on Fool.com.

Andrew Tonnerhas no positions in the stocks mentioned above. The Motley Fool owns shares of Facebook. Try any of our Foolish newsletter servicesfree for 30 days. We Fools don't all hold the same opinions, but we all believe thatconsidering a diverse range of insightsmakes us better investors. The Motley Fool has adisclosure policy.

Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Read Full Story

Want more news like this?

Sign up for Finance Report by AOL and get everything from business news to personal finance tips delivered directly to your inbox daily!

Subscribe to our other newsletters

Emails may offer personalized content or ads. Learn more. You may unsubscribe any time.

From Our Partners