Report: Zuckerberg Tells Employees Stock Is 'Painful' to Watch
BY John McDermott
A new report says the world's most watched entrepreneur finally met with employees to discuss low morale as Facebook stock hits a new low.
Facebook shares hit a new low on Thursday, and its famous founder is feeling the hurt.
Mark Zuckerberg, founder and CEO of the social network, told Facebook employees that the company's dropping stock price is "painful" to watch, unnamed sources told the Wall Street Journal. The statement reportedly came in a companywide meeting held to boost low employee morale.
The Journal's report comes the day after Facebook investors were first able to sell their stakes in the company, and the stock price fell more than 6% to $19.87.
Employee shareholders will not be able to sell shares until the lockup period expires in October, leaving them to just watch and wait.
Yesterday's 6% drop was the second-largest post-lock-up share price decline for companies that have gone public since January 2011, Bloomberg reported. Facebook's share price is almost half what it was when the company started trading at $38 in May.
Zuckerberg has been hesitant to address the company's stock performance prior to this statement, instead urging his employees to focus on building the social network, the Journal reported.
But senior management decided to address the issue with employees after workers started expressing concern about the ever-falling share price. In the meeting, Zuckerberg reportedly said that investments the company has made during the past year will soon deliver a return and justify the company's $100 billion dollar IPO valuation, according to the Journal.
JOHN MCDERMOTT is a business and culture reporter whose work has appeared in the Chicago Tribune and Playboy and on AOL.com. He recently moved from Chicago to Brooklyn, New York, to work for Inc.com. @J_M_McDermott