Soros Hedge Fund Bullish on Facebook Stock
Facebook's IPO, mismanaged by NASDAQ, has been disastrous for its stock price and public relations.
But liberal financier George Soros, who has invested and gambled against the grain many a time throughout his career, seems to be bullish on the stock while others are bearish.
Reuters reports dozens of the most heralded hedge funds, in their second quarter reports, did not have shares of Facebook stock in their portfolios; however, a hedge fund in which George Soros is a partner, JAT Capital Management, was among the few that disclosed having Facebook shares as of June 30.
As Reuters reports, “shares of Facebook have tumbled 46 percent since the company's initial public offering at $38 a share on May 18” and the shares “shed another 6 percent on Tuesday" after the Internet company Groupon posted disappointing quarterly results.
Reuters notes Facebook’s lockup agreement prohibits insiders who hold 1.9 billion shares from selling those shares until August 16, which is Thursday. The share price may face further pressure later this week when those shares are allowed to be sold. It will be interesting to see if Soros's hedge fund has its Facebook shares when third quarter filings are released.