Meta loses over $200 billion in market value after disappointing earnings and CEO warnings

From CoinTelegraph
August 24, 2024 2:47 PM:

Facebook parent company Meta lost more than $200 billion in market value, marking one of the most dramatic single-day collapses in history. The drop came after disappointing earnings and a warning from Zuckerberg about the challenges of building the metaverse.

Meta’s market value plummeted by 26%, erasing billions from Zuckerberg’s personal wealth. The drop followed concerns about user growth and revenue, which were exacerbated by the CEO’s cautious outlook on the metaverse. Zuckerberg warned that building the metaverse would take years and billions of dollars.

Investors reacted negatively to Meta’s earnings report, sending the stock tumbling. Despite reporting strong revenue growth, the company fell short of Wall Street’s expectations, particularly when it came to user numbers. The disappointing results, combined with Zuckerberg’s metaverse comments, led to the massive drop in market value.

The impact of Meta’s losses extended beyond the company itself. The sharp decline in the stock price raised concerns about the broader tech sector and the future of the metaverse. Analysts and investors are now questioning the viability and timeline of Zuckerberg’s ambitious vision for the next phase of the internet.

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