Facebook's stock has risen 7 percent despite 850 million shares released on the stock market.
Shares of Facebook are (as of this writing) $21.96, or up $2.00, or 9 percent, from their previous dismal value of less than $20. Facebook went public in May at $38 a share and hasn't hit that price since, according to the Christian Science Monitor.
The biggest lock up period for Facebook stock expired Wednesday, freeing up 852 million shares of stock for sale. Lock ups are used after IPOs to prevent stock volatility -- or basically all shareholders selling at once and tanking the stock.
However, the rise shouldn't be seen as a sign the stock is a steady one, analysts caution.
"Not everyone is running for the door, but I suspect more will sell in the coming days or weeks," says Daniel Bradley, professor of finance at the University of South Florida, told USA Today
. "Given that the stock price is essentially cut in half from the IPO price, I would think that would prevent some selling that otherwise would have taken place."
Perhaps Facebook chief Mark Zuckerberg had another word
with employees to wait before selling off and causing a panic. However, it seems Facebook execs
and even Zuckerberg himself selling off 30.2 million shares just before his wedding, may have had a larger hand in lowering the price of stock.