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Barron's Associate Editor Mike Santoli on whether CEO Mark Zuckerberg showing up at Facebook's IPO roadshow will make or break the company.
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-- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- -- a Daddy Yankee of the characters does anyone care.
Obviously they do but why should we care Zuckerberg shows up for this event it's for the Wall Street investors why does he have to be there or does.
I don't know that -- has to be there but I do think that potential investors are going to be committing capital and by the way most of the people who do a -- -- road show wanna buy the IPO wanna hold for a while so they really do wanna hear from the guy.
Who obviously created this thing and has a vision for -- exactly what we're we're expecting them in the coming years in terms of strategy.
You know how do we think about this company we know what the numbers have been.
You know how exactly do we model its growth path from here on I don't think it's really make or break if you remember Google.
They just -- the entire process of doing a regular IPO they did it through an online auction they left money in that any.
So that was it can we call -- a disaster no I don't think -- that -- -- -- battle and they'd -- as you said look here's the -- -- these companies don't need capital they don't go public because they need to maximize today's price and put their money and plowed back in the business they do -- to have a benchmark for what this company's worth.
To basically compensate their employees and and you know have some kind of metric.
For exactly how they're doing longer term senior ME -- obviously pretty plugged in with those of the Wall Street.
Side of this -- what are people gonna wanna know from even if it's not Zuckerberg and Sheryl Sandberg whoever they -- they're gonna wanna know what about FaceBook.
They're gonna want to know what is your strategy for you know the five billion mobile devices out there which is going to be in the way people interact with the world.
And you know can you maximize exactly how are you going to have an advertising supported platform longer term while keeping the user experience.
You know obviously a positive thing and you know.
Competition exactly -- you know address everybody knows this opportunity now they've shown the world.
What the opportunity is and how do you maintain that advantage.
How critical do you think it is for the overall market that this IPO go off not just OK but very well in terms of the where they price it.
In terms of how it trades even up in the after market.
I actually think it's gonna be kind of its own animal you know it's going to be it's gonna kind of use up a lot of the oxygen that the overall market can provide -- hasn't been anything -- -- I don't think it necessarily means a good or bad I think it's gonna have a a massive popular gonna want to own this thing it's going to be a sliver of the company comes public.
I do think though it will tell you if if it carries other related stocks with it or or if it's a zero sum game it actually takes away from those guys that could tell you something about the general risk appetite of investors didn't -- has been waning.
But saying its its -- animal you don't.
You think that's unlikely -- and in other -- -- I think it's unlikely that carries the entire market up with -- -- -- of exuberance and I go back to Netscape in late 95 were well into -- Bob -- market and it really did usher in this entire new segment of the -- of the economy in the markets I don't think -- there and I think.
Personal Facebook's a more Overture company terms of the size of its revenues than most companies -- they come public we already kind of know with this thing has been trading kind of in the shadows for a long time.
Five Euro company around by 27 year old peak and it's more mature just don't think that's how fast things move thank you Mike he's -- huge -- -- --
