Shares in Facebook parent company Meta are in the midst of their worst day ever Thursday after the social media giant reported a rare decline in profit due to a sharp increase in expenses as it invests heavily in its transformation.
- Meta is putting a lot of virtual eggs — and billions of dollars — into the metaverse basket, and Wall Street is pretty anxious about it.
Meta’s shares fell more than 26% to $237.76 in afternoon trading Thursday, lopping more than $230 billion off the company’s overall value, or market capitalization. That’s the largest single-day decline for a company on record. There’s “continued concern that Facebook’s past challenges will follow Meta into the metaverse,” said Mike Proulx, research director at Forrester Research. “The company has work to do to convince consumers that Meta’s expression of the metaverse is a good thing,”
It might sound like science fiction, but then again, not long ago so were computers that fit in your pocket, driverless cars and microwaves that talk to you. Technology barrels ahead whether we like it or not and, to quote a vintage Facebook motivational poster in the company’s headquarters, “fortune favors the bold.
But while Wall Street’s metaverse optimism appears to fall well short off Zuckerberg’s, Meta’s rivals are ramping up their own metaverse projects. This includes Apple, Google and Microsoft, which recently bought the video game company Activision Blizzard with the hopes of accelerating its ambitions for the metaverse.
Australia Latest News, Australia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Meta Stock Falls Over 20% After Metaverse Project Loses Over $10 Billion In 2021Investors weren't pleased with the company's profitability—even after anticipating that its shift toward virtual reality and the metaverse would eat away at income.
Read more »
Meta Share Price Plunges as Metaverse Losses Revealed | CoinMarketCapMeta's share price is on course for the worst day in its history after the tech giant gave a grim update on its performance in the fourth quarter of 2021 — and revealed eye-watering losses in its metaverse division 😱
Read more »
Meta, formerly Facebook, faces historic drop as stock tanksShares of the company formerly known as Facebook saw a historic plunge Thursday after the social media giant reported a rare profit decline. From the Associated Press.
Read more »
Facebook parent Meta loses $200B in value as users abandon siteMeta shares were changing hands at $248.00 in pre-market trading early Thursday — about 23% lower than Wednesday’s closing price of $323.00.
Read more »
Facebook owner Meta set for $195 billion wipeout, biggest in market history(Bloomberg) — Meta Platforms Inc.’s one-day crash may rank as the worst in stock-market history.
Read more »
S&P 500 drops back under 4500 level as dour Meta (Facebook) earnings hammer equity sentimentMajor US equity indices turned sharply lower on Thursday after an ugly earnings report from Facebook combined with hawkish surprises from the BoE and
Read more »