We know this is the only story anyone has been covering, so we were gonna pass on it, but we can resist no longer.   Yes, the price has decreased, but some people are saying it “tanked” and we’re not sure that’s an accurate description.  Yes, it dropped 18% at end of day on May 22nd, but it’s not the first stock to drop after an IPO.  The real news is that the stock could lose even more ground as some of the post-IPO stories play out.

First, there is a legal investigation which plays out on two fronts.  The accusation has been made that Morgan Stanley tipped off some of their major investors that Facebook as a company was not the prize that many people were saying.  Further, charges have been made that Morgan Stanly changed a few financial models for their best clients.

This has garnered the attention of the Securities and Exchange Commission (SEC) which has launched a preliminary investigation into the matter.

But that’s not all.  An independent regulatory body (Financial Industry Regulatory Authority) is also conducting an investigation.

And there’s more.  A group of Facebook shareholders have filed a lawsuit against the company, Mark Zuckerberg and a number of banks that alleges that crucial information was withheld from them.

Facebook responded by saying they "believe the lawsuit is without merit and will defend ourselves vigorously."

There is also chatter after the fact that questions whether the deal was a good one to begin with.  Because although Zuckerberg only holds roughly 18% of the stock, he retained approximately 58%, of the voting rights.  Many are now questioning whether this is such a good deal for an investor.

One thing seems clear.  The stock price will likely not see its $38 initial selling point for some time.  It will be an interesting story to follow.