Meta value down $520 billion over last year, threatening its position as a top 20 company

midian182

Posts: 8,498   +106
Staff member
In context: Could Mark Zuckerberg's bet on the metaverse be his downfall? Facebook parent company Meta has seen $65 billion wiped off its market value as profits halved during the last quarter and it continues to pour money into projects many have little faith in. The company's declining value, which is down $520 billion over the last year, has left it at risk of losing its status as one of the top 20 biggest US firms.

Like most businesses, Meta is suffering the effects of the economic slowdown that has seen advertisers spend less on marketing, which makes up most of Meta's revenue. Its net income in Q3 was down 52% to $4.4 billion, lower than analysts' estimates of $5 billion, while revenue was down 4% to $27.71 billion, which was higher than expected.

In addition to the falling revenue, Meta has been worrying investors with the amount of money being poured into its VR/MR ambitions, aka the metaverse. Reality Labs, the division responsible for this unit, was down another $3.7 billion in Q3. That follows the $3 billion it lost in Q2 and the $2.96 billion from the first quarter of 2022. The division hemorrhaged $10.2 billion throughout 2021, and Meta expects the unit's operating losses to grow significantly year-over-year in 2023. Meta predicts total expenses for this year to reach between $85 billion and $87 billion.

Facebook's market cap reached $1 trillion last June; it hit the milestone faster than any other company. At the start of the year, it was the sixth biggest firm in the US by market cap. But the social media giant's fortunes have been in freefall since changing its corporate name to Meta. According to Bloomberg, Meta's market cap could be around $283 billion if it opens trading in line with the premarket, putting it in 20th place on the biggest-companies list.

Despite losing billions and an analyst's prediction that many business projects in this area will close by 2025, Zuckerberg is doubling down on the metaverse. "Look, I get that a lot of people might disagree with this investment, but from what I can tell, I think this is going to be a very important thing," he said. "People will look back a decade from now and talk about the importance of the work being done here."

Meta's decline is reflected in Zuckerberg's falling place on Bloomberg's Billionaires Index. The CEO has seen his fortune fall by $76.8 billion over the last 12 months, dropping to $48.9 billion and placing Zuck in the 23rd position on the list. For comparison, the soon-to-be Twitter owner Elon Musk sits in number one place with a fortune of $211 billion.

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NicktheWVAHick

Posts: 423   +799
I’m sure it will swing back up tomorrow. But overall, since the Meta name change (whatever that is) and Sandbergs departure the company has been on a steady downward trend. Not exactly helping my portfolio, but more than worth the admission price of watching Facecrop slowly crash & burn. I won’t be completely satisfied until its value is well below $5 per share.
 

Rq3EWAq

Posts: 169   +172
Why uses Fakebook anyway? One of the most heavily censored platform to be in. There is nothing there for me. Deleted my Fakebook and Whatapp accounts long time ago, not missing a thing.

EDIT: Fakebook even censored British Journal of Medicine, one of the most respected medical papers being in print since 1840. That did not stopped Fakebook abusing their powers to ban & block everything they don't like left and right.
 

Nobina

Posts: 4,051   +4,722
I don't follow Zuckerberg but I remember him trying to act human and failing hard, he was made fun of a lot because of it. I recently saw him on a podcast, and he seemed way more "normal". At the same time, his company's relevance is fading therefore becoming less evil. I saw some light in that hell.
 

umbala

Posts: 797   +1,598
Excellent news. I hope Zuckerberg never ever gives up on this "metaverse" nonsense. I hope it bankrupts him and his stupid company. I mean, it's an amazing idea, so just keep pouring billions and billions into it!
 

umbala

Posts: 797   +1,598
Why uses Fakebook anyway? One of the most heavily censored platform to be in. There is nothing there for me. Deleted my Fakebook and Whatapp accounts long time ago, not missing a thing.
I find it very telling that out of the myriad of issues surrounding Facebook you seem to be hung up on censorship and freedom of speech. There is this new trend now where people seem to use the false equivalency of content moderation versus censorship as some kind of shield against any company they don't like.

There are plenty of platforms that at least _claim_ to have no content moder...err censorship at all. Perhaps Parler, Gab, or Truth Social is more your cup of tea. Spoiler alert: Basically all of those sites do some level of content moderation, except maybe Parler, which is basically just a meeting ground for far right extremists, white nationalists, and racists. Also, now that Musk's deal to buy Twitter is back on, you can rejoice because he'll turn it into a free speech nirvana as promised. *roll eyes* So yeah, take your pick.
 

kiwigraeme

Posts: 1,404   +1,041
Ok Mr Zuckerberg - what experience do you want in META today?

"Smoking some sweet baby ribs and brisket on my grill with some cold beers and pals - rating college girls as they stroll by "

Just put these on and lie back - your are in for a treat we have added Elon's neural transmitter to the back - to stimulate your primal senses
 

Mr Majestyk

Posts: 1,574   +1,484
The sooner the Facebook cancer is cured the better. Total bankruptcy is the grand prize. F#ckerberg should be destitute and living on the street
 

Rq3EWAq

Posts: 169   +172
I find it very telling that out of the myriad of issues surrounding Facebook you seem to be hung up on censorship and freedom of speech. There is this new trend now where people seem to use the false equivalency of content moderation versus censorship as some kind of shield against any company they don't like.

There are plenty of platforms that at least _claim_ to have no content moder...err censorship at all. Perhaps Parler, Gab, or Truth Social is more your cup of tea. Spoiler alert: Basically all of those sites do some level of content moderation, except maybe Parler, which is basically just a meeting ground for far right extremists, white nationalists, and racists. Also, now that Musk's deal to buy Twitter is back on, you can rejoice because he'll turn it into a free speech nirvana as promised. *roll eyes* So yeah, take your pick.
Concent moderation is one thing. Banning established medical journals, politicians, doctors, entire government accounts, just because their opinions are not aligned with Facebook agenda, is another.
I have freedom not to use crap censoring platform and use another. You have freedom to keep using Fake book and read what they shove straight to your brian. Thanks, I am out.
 

Eflow

Posts: 54   +106
Concent moderation is one thing. Banning established medical journals, politicians, doctors, entire government accounts, just because their opinions are not aligned with Facebook agenda, is another.
I have freedom not to use crap censoring platform and use another. You have freedom to keep using Fake book and read what they shove straight to your brian. Thanks, I am out.

Please provide examples of posts which got people banned from Facebook.

P.S. you are posting on a site which censors its members' posts.
 

Rq3EWAq

Posts: 169   +172
Please provide examples of posts which got people banned from Facebook.

P.S. you are posting on a site which censors its members' posts.
You must be blind if you can't see it. Think for a minute. I already provided an example of institution restricted by Facebook in earlier post. Do search engine query. There is thousands more.
Yes I know there is content moderation on this website. This is not the same what Fakebook is doing.
 
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