As Facebook prepared to open its IPO last year, the telephones at Granite Investment Advisors were ringing constantly as ciients inquired about the social media giant's stock debut. Comparatively, the investment consulting firm has yet to field a call about Twitter as of last Friday.
According to Granite Investment Advisors Principal Tim Lesko, "Not a single call yet. We want to start seeing numbers. They need to mature a little bit more before we could think that we were getting a good number and consistent numbers."
Twitter has become this year's most anticipated stock technology offer, it is haunted by Facebook's disappointing 2012 opening. This had resulted in dampened enthusiasm for shares in the microblogging site.
Twitter enjoys strong brand recognition, similar to what Facebook has. This often translates to increased retail interest and was one of the factors why Facebook was able to raise the IPO price to USD36 per share. This valued the company at USD100 billion or nearly a hundred times its 2011 earnings. Consequently, Facebook shares fell at the first day of trading and continued on downward spiral. It was only a year later that Facebook was able to return to its IPO share prices.
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