Facebook Raises Price-Range of Red Hot Stock

Despite Zuckerberg's hoodie and concerns about mobile strategy, Facebook IPO furor heats up.
By Sharon Gaudin
News May 16th 2012

Facebook has raised the price range of its stock shares just days before the company's highly anticipated initial public offering.

The social networking pioneer filed with the U.S. Securities and Exchange Commission an amendment to its IPO registration that increases the estimated stock price to between $34 and $38 per share.

Facebook had initially planned to sell the stock for between $29 to $34 per share.

"Clearly, the Facebook IPO has generated a lot of excitement," said Ezra Gottheil, an analyst at Technology Business Research. "It reflects the market for the stock.

The amendment was filed following an IPO road show where top Facebook executives like CEO and co-founder Mark Zuckerberg and COO Sheryl Sandberg pitched the company's stock to potential investors in several cities.

The increased share price indicates that Facebook has overcome some well publicized criticisms of its road show and strategy.

Zuckerberg, for instance, was panned for showing up at an investor presentation wearing jeans and a so-called "hoodie" sweatshirt. The casual attire and attitude prompted some attendees to publicly question his ability to lead a public company -- particularly one that is expected to have the largest IPO in tech history.