Facebook shares head south again, set new trough

Facebook shares head south again, set new trough

Reuters

SAN FRANCISCO (Reuters) - Shares in Facebook Inc kept up their downward march on Thursday, cracking under $27 to set a record low and shedding almost $30 billion in market value since a botched May 18 initial public offering.

Facebook, the No. 1 Internet social network and the first U.S. company to debut with a market capitalization of more than $100 billion, slid 3.1 percent to $27.32 at midday after dipping to a low of $26.83.

S&P Capital IQ cut its target on the stock to $27 from $30. The company debuted at $38, which many analysts now deem over-priced. It maintained a "sell" rating.

Wall Street is concerned Facebook, while boasting nearly a billion users worldwide and dominating Internet social networking, will have difficulty translating its growing presence on smartphones and other mobile devices into revenue.

Rivals Google Inc and Apple Inc currently dominate the mobile arena.

(Reporting By Edwin Chan; editing by Jeffrey Benkoe)