Meta shares are down 14% this week, slumping near their pandemic lows

Mark Zuckerberg, CEO of Meta Platforms, speaks at Georgetown University in Washington on October 17, 2019.

Andrew Caballero Reynolds | AFP | Getty Images

Facebook hasn’t been this cheap since the start of the pandemic.

After dropping 14% for the week to close at $146.29, shares of Facebook’s parent company Meta reached their lowest level since March 2020, and for the period on Friday, fell even more. Meta has lost 61% of its value over the past 12 months, the largest drop among major tech stocks and more than double the drop in the Nasdaq Composite Index.

In a five-day slide in a row, the Meta is now trading just 28 cents above the closing price on March 16, 2020, when the early days of Covid-19 sent US stocks reeling.

If the Meta drops below $146.01, it will be the lowest since January 2019. That’s when Facebook was dealing with the fallout from Cambridge Analytica Scandal that tested consumer confidence in the social media company and led to a series of heated Congressional hearings.

However, Facebook was able to expand its active users in the United States in that quarter, but by just under 1 percent.

Since it officially changed its name to Meta last October, the news for CEO Mark Zuckerberg and the company has been nearly all bad. Apple’s iOS privacy update made it difficult for the company to target ads, and rival TikTok’s surge in popularity on social media has drawn users and advertisers away from the app. Meanwhile, the economic slowdown has caused many companies to cut back on their online marketing spending.

In July, Meta said it expected a second straight period of lower sales as it reported second-quarter earnings that it missed in net profit.

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