Meta Loses $200 Billion In Stock 
Posted 5,February

By Chaveendra Dunuwille

In International News

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Reports submitted by the Tech Giant Meta have proven to be less than satisfactory, causing the company to shed $200 billion in stock, causing doubt among investors about the company’s future. 

A combination of investments in the Metaverse, trouble for its core ad business, slow growth, and fierce competition resulted in Wedbush’s Dan Ives stating that “It was a disaster quarter for Facebook & clearly they have some major headwinds over the next year.” 

Reports from the company contradict analytical expectations as Meta reported a slower growth and the first-ever dip in daily global users. While analysts expected around 1.95 billion daily users, the company notes only indicate 1.93 billion. A Facebook report also stated that it had lost over 1 million global users between the second and last quarter of 2021. Many believe that this is a sign of stagnated growth. 

The company’s turnover of $33.67 billion was within analyst estimates, but the net profit of $10.3 billion in 4Q 2021 was an 8% drop compared to the previous year. Zuckerberg himself has had $25 billion in value wiped from his stock in the company. Analyst Adam Sarhan stated that “If the company is not growing, then it’s a complete reset for investors.” 

However, it must be noted that Meta is still growing. In 2021, the company reported that 2.8 billion users used one of their messaging platforms, Whatsapp & Instagram, at least once a day, and over 3.6 billion people used one of the platforms once a month. 

However, the growth has been troubled with controversy as US Regulators have placed the company under extensive scrutiny following the whistleblowing crisis instigated by former employee Frances Haugen. The accusations leveled against the company stated that Facebook executives prioritized its growth over user safety.