Facebook Is Learning That You Reap What You Sow
Francesco Abbruzzino, The Uncensored Report, LLC
When you get big enough, it can be tempting to believe that you can treat those that you do not like any way that you want. But if you treat people like garbage long enough, it is going to bite you in the rear end. Executives at Facebook apparently thought that they could viciously shut down free expression on their various platforms without damaging their financial performance. Well, they were wrong. Vast hordes of really good people have been leaving Facebook and Instagram permanently, but for a while growth from overseas was balancing that out. Now overseas growth is drying up, and the latest numbers the company just released were do disastrous that it caused a violent reaction on Wall Street. In fact, Facebook just had the single worst day that any company has ever had in the history of the stock market…
The 26.4% wipeout in Meta Platforms, as Facebook’s owner is now known, erased more than $230 billion in market value, easily the biggest one-day loss in history for a U.S. company. The stocks of other social media companies including Twitter and Snap also fell.
Because Meta is valued so highly, a big swing in its stock price can also sink or lift broader market indexes. The S&P 500 fell 2.4%, its biggest drop in nearly a year. The tech-focused Nasdaq composite gave up 3.7%, its biggest loss since September 2020. The Dow Jones Industrial Average, which does not include Meta Platforms, fell 1.5%.
And it wasn’t as if Facebook just squeaked past the old record.
If you can believe it, Facebook actually surpassed the old single day record by more than 50 billion dollars…
Facebook parent Meta lost more than $237 billion in value Thursday. That’s the biggest one-day drop in value in the history of the U.S. stock market.
Meta’s plunge, based on a weaker-than-expected revenue forecast, topped the prior record set by Apple, when it lost $182 billion in market value in September 2020.
Let me try to put this into perspective.
The amount of market value that Facebook lost on Thursday is almost equivalent to the entire value of Disney.
Needless to say, it was a very rough day for Mark Zuckerberg as well. The value of his fortune declined by over $30,000,000,000…
It’s also a tough day for Meta CEO Mark Zuckerberg, who is by far the company’s largest individual shareholder. Zuckerberg owned more than 398 million Meta shares, or 14.2% of the company’s total outstanding shares, according to an SEC filing from February 2021, the most recent filing available.
As Meta’s share price plummeted Thursday, the value of Zuckerberg’s stake in the company dropped by more than $30 billion.
Could you imagine losing more than 30 billion dollars on a single day?
We are being told that the number of people logging in to Facebook on a daily basis has dropped for the first time ever.
But the truth is that the company has been reporting troubling numbers in North America for a very long time.
Facebook is slowly dying, and now Wall Street is finally starting to wake up to that fact.