When it comes to the Facebook Inc (NASDAQ:FB) IPO, everybody has an opinion on where the company went right and wrong. While some have been critical of the way Facebook handled its IPO, others feel that the company did its best and is now on the right track to making things better.
Despite the fact that many have weighed in on this, it would not be a conversation until billionaire Mark Cuban got in on the action.
Most people know Cuban as the outspoken owner of the NBA’s Dallas Mavericks. That being said, he is also one of the top minds in the internet space. He knows a thing or two about making money online, as this is just one of the many ways he has amassed his fortune.
In a recent segment with Trish Regan at the Clinton Global Initiative in Chicago, Cuban discussed the Facebook Inc (NASDAQ:FB) IPO including where he feels the company went wrong.
Here is what Cuban had to say:
“I think they made one of the biggest strategic mistakes when they went public.”
Before we go any further, this goes to show you how Cuban feels about Facebook Inc (NASDAQ:FB)’s decision to go public. He shares the belief with many that the social networking giant made a mistake when it made this decision.
He went on to add the following:
“If they had done what LinkedIn had done and only issued eight million shares float as opposed to three billion shares float, we would be talking about them as an incredible success story. The stock would be $300 and they would be doing secondary after secondary after secondary. But they put so much stock out there that now they just have to grovel for every cent that they can in earnings per share because they have a lot of shareholders and there is too much stock out there.”
As always, Cuban is not holding back when speaking on a subject he is passionate about. He doesn’t bash Facebook Inc (NASDAQ:FB) during the segment, but does feel that the company made some big mistakes along the way with its IPO.
No matter if you agree or disagree with Cuban, you have to respect his take on this topic. You can watch the video in its entirety, discussing Facebook Inc (NASDAQ:FB) in greater depth, on the next page.