Meta continues its slide following Facebook name change as share price nears pandemic low

[midian182]

In context: It's been almost one year since Facebook changed its corporate name to Meta, and life hasn't been smooth sailing for the company in that time. Just look at Meta's share price, which has fallen almost as low as in March 2020, when tech stock prices crashed due to the pandemic.

Meta's share price is currently $146.29 following five straight days of declines. CNBC notes that it's only 28 cents higher than the closing price on March 16, 2020, the lowest price it hit during the pandemic stock crash.

Arguably Meta/Facebook's biggest crisis in its history (there have been a lot of them) was the Cambridge Analytica scandal and the resulting fallout—the social media firm last month settled one of the lawsuits brought against it over the incident. The public outrage at the time crashed its shares to a low of $146.01 in January 2019. If the current trend isn't reversed soon, the price is in danger of falling below that level.

Meta's share price over the last year won't bring a smile to Zuck's face

Meta CEO Mark Zuckerberg's conviction that the future of the internet lies in a shared augmented/virtual reality space prompted the company to change its corporate name to Meta last October.

The all-new Meta parent company has had a difficult time since its inception. February brought news that it was down $500 billion since the name change, and the company's first-ever revenue decline since Facebook went public was recorded in July. In August, there were reports of teen users—a demographic Facebook has long been chasing despite their indifference toward the 'old person's' social media platform—abandoning the service in droves for the likes of YouTube.

But what about the metaverse division, Reality Labs? It lost $10.2 billion throughout 2021, $2.96 billion in the first quarter of 2022, and $2.8 billion in the second quarter. It's also making cutbacks by axing projects, including the dual-camera smartwatch. Adding to the problems, Meta is said to be one of many tech giants cutting staff/reducing hiring this year as it deals with the economic downturn.

Zuckerberg hasn't lost faith in the Metaverse. The CEO thinks it could make billions or even trillions over time and that the company is laying the groundwork for what he expects to "be a very exciting 2030." Zuck no doubt hopes Meta's share price will recover before then.

Permalink to story.

https://www.techspot.com/news/96014-meta-continues-slide-following-facebook-name-change-share.html

 

[Uncle Al]

Dare we hope for a bankruptcy? At these falling prices Musk may want to pick them up, assuming he can get out of that twitter deal ..... or maybe he could just sit home and keep his mouth shut ..... I think any of these is a long shot but ........

 

[bviktor]

Oh boy I'll miss instagram.

 

[Fearghast]

This pretty much can end up in three scenarios.
1) They will succeed in the end
2) It will be their doom
3) If there is a board of directors, they will get rid of Mark and steer the ship back
TBH at this point I can't decide what is the more probable outcome. They are really throwing a lot of money at VR, and they actually have really incredible prototypes ... in VR they probably will push the market to greater adoption, with Meta as a social/work platform I am not so sure. Feels like most of us aren't ready for it, and TBH most of us do not want to have anything in common with Facebook when it comes to work ... or personal life for that matter.

 

[RudyBob]

It's BIG business and so many want to forecast gloom for anything that is successful. It's the way people are

 

[ScottSoapbox]

This pretty much can end up in three scenarios.
1) They will succeed in the end
2) It will be their doom
3) If there is a board of directors, they will get rid of Mark and steer the ship back
TBH at this point I can't decide what is the more probable outcome. They are really throwing a lot of money at VR, and they actually have really incredible prototypes ... in VR they probably will push the market to greater adoption, with Meta as a social/work platform I am not so sure. Feels like most of us aren't ready for it, and TBH most of us do not want to have anything in common with Facebook when it comes to work ... or personal life for that matter.

3) Is impossible because Mark controls too much stock.

 

[Kn0xx]

Facebook/Meta just made the common error of already dead social platforms .... turning the plaftform into a more selling/buy point than "social platform" ....Instagram is next.

 

[wiyosaya]

For me, the "metaverse" has never been worth it.

 

[BadThad]

Let it wither and DIE on the vine!

 

[mrvco]

If the stock price keeps falling, eventually a PE firm will see an opportunity to 'extract value'.

 

[Fearghast]

3) Is impossible because Mark controls too much stock.

Let's be honest, I wrote ts not even caring if it was a possibility.
I am too lazy to check when it comes to this company.

 

[terzaerian]

Meta delenda est

 

[waclark]

It's BIG business and so many want to forecast gloom for anything that is successful. It's the way people are

No kidding. Being successful is somehow evil. I wonder how people look at themselves when they become successful. Do they think they are evil and should stop being successful?

 

[waclark]

I think FB/Meta's problem is their newly revised app. It's garbage. I manage several pages and it constantly drops me into one or the other when all I want to do is put up a personal post. Things that should be easy are hard. The platform is doomed, IMHO, though it may take a few years for it to fully go away. And, as others have stated, the bombardment of ads is AAF.

 

[terzaerian]

No kidding. Being successful is somehow evil. I wonder how people look at themselves when they become successful. Do they think they are evil and should stop being successful?

No, we think that being evil is evil. The problem is that a lot of people achieve success by being evil, like Zuckerberg, who stole others' ideas along with the data of billions, indelibly marring the landscape of the internet forever, to make his.

By the inverse token, there are many who are deluded into thinking that the ends justify the means.

 

[p51d007]

Part of the problem from I've come across on multiple sites, is they aren't attracting
as many YOUNGER users like they were. As older ones age out, or switch to things
like instagram, tic-tok or whatever the flavor-of-the-month is, their share drops.
Plus, if you use a plugin like F.B. Purity information, you aren't seeing all of those
"sponsored by" things tossed in your feed. If you don't see it, you don't click it and
they lose money. Facebook isn't about the meta, VR, or social interaction. It's about
the DATA. They want to scoop up as much data and sell it. They could care less about
social interaction.

 

[BuckarooBonzaii]

Metaverse turns you into a cartoon character in their virtual world, but then Mark in Meta/Facebook is a cartoon character.

 

[axiomatic13]

I still have zero desire for any of this. I am a tech junkie too and the metaverse just has zero moxie for me.