BRKG Zuckerberg Loses $16.8 Billion in a Snap as Facebook Plunges

[Housecarl]

For links see article source.....
Posted for fair use.....
https://www.bloombergquint.com/onwe...lion-in-a-snap-as-facebook-plunges#gs.DfGZKYg

Zuckerberg Loses $16.8 Billion in a Snap as Facebook Plunges

Tom Metcalf
25 July 2018, 3:07 PM
25 July 2018, 2:42 PM

(Bloomberg) -- Mark Zuckerberg is counting the cost of user disenchantment with Facebook Inc.

His fortune tumbled by $16.8 billion in late trading Wednesday, as shares of the social media giant slid 20 percent at 5:37 p.m. in New York on disappointing results. If that holds through Thursday’s close, he will slide to sixth place from third on the Bloomberg Billionaires Index. It would also wipe his $13.7 billion of gains for the year, leaving him with just less than $70 billion.

Second-quarter revenue and average daily visitors fell short of analysts’ estimates, according to a statement from the Menlo Park, California-based company. Revenue increased 42 percent to $13.2 billion, missing the $13.3 billion Wall Street consensus. The company is grappling with new data laws in Europe, criticism over its content policies and privacy issues.

©2018 Bloomberg L.P.

 

[Faroe]

Cry me a river.
He should have sold it earlier and put it in silver.
Nevertheless, I doubt he'll be living out of a cardboard box anytime soon.

 

[Housecarl]

For links see article source.....
Posted for fair use.....
https://www.cnbc.com/2018/07/25/facebook-earnings-q2-2018.html

Facebook plunges more than 24 percent on revenue miss and projected slowdown
Earnings per share: $1.74 vs. $1.72 per a Thomson Reuters consensus estimate
Revenue: $13.23 billion vs. $13.36 billion per a Thomson Reuters consensus estimate
Global daily active users (DAUs): 1.47 billion vs. 1.49 billion, according to a StreetAccount and FactSet estimate

Michelle Castillo | @mishcastillo
Published 3 Hours Ago Updated 47 Mins Ago

Facebook shares collapse result of Cambridge Analytical election scandal Facebook shares collapse as a result of Cambridge Analytica election scandal
1 Hour Ago | 01:46

Facebook missed projections on revenue and global daily active users this quarter after struggling with data leaks and fake news scandals.

The company reported its second-quarter earnings after the bell on Wednesday. Shares were down as much as 20 percent. At the current after hours prices and given its market cap at the close Wednesday, Facebook is poised to lose more than $123 billion in market value.

Earnings per share: $1.74 vs. $1.72 per a Thomson Reuters consensus estimate
Revenue: $13.23 billion vs. $13.36 billion per a Thomson Reuters consensus estimate
Global daily active users (DAUs): 1.47 billion vs. 1.49 billion, according to a StreetAccount and FactSet estimate
North American DAUs: 185 million vs. 185.4 million, according to a FactSet estimate
European DAUs: 279 million vs. 279.4 million, according to a FactSet estimate
Average revenue per user (ARPU): $5.97 vs. $5.95, according to a StreetAccount and FactSet estimate
Facebook said 2.5 billion people were using any of its family of apps each month, including Instagram and WhatsApp. Though Facebook-specific global DAU rates were up 11 percent year over year - with growth led through users in India, Indonesia and the Philippines - it was less than Wall Street was projecting. European DAUs were down from 282 million last quarter, potentially related to the effect of the enactment of the General Data Protection Regulation (GDPR) in the European Union. The set of regulations gives users more control over their online data.

"GDPR has not had a significant (ad) revenue impact, but we also recognize it wasn't fully rolled out this quarter," said Facebook chief operating officer Sheryl Sandberg on a call with analysts, adding the company recognizes there could be more risk for decreased numbers in the Europe in the future.

North American DAUs remained flat despite the fallout from the Cambridge Analytica data leak scandal and fake news issues. However, average revenue per user in the region rose despite the lack of growth. It reached $25.91 per user, up from $23.59 during the first quarter.

Facebook also surprisingly missed on advertising revenue projections, reached $13.04 billion compared with the StreetAccount and FactSet estimate of $13.16 billion.

On a call with analysts, Facebook advised it expected its revenue growth rates to be lower than the year prior, especially in the second half of this year. Sequentially in the third quarter and fourth quarter, it expected the decline to be as much as high single digit percentages. Some reasons included Facebook investing in Stories, which has lower levels of monetization, as well as improving privacy features as a result of GDPR and other user demands. It also is bracing for currency fluctuations as the dollar gets weaker.

"We continue to focus our product impact on putting privacy first, and that's going to have some impact on revenue growth," said Facebook chief financial officer David Wehner on the earnings call.

However, media buyers believe the company will bounce back.

“A surprisingly mixed set of results," said Marco Rimini, chief development officer at Mindshare. "We believe this is a short term effect of GDPR and some short term negative effects of PR issues. In the mid-term advertisers still believe in Facebook, as do its users."

 

[Dosadi]

i don't fake book

couldn't happen to a better prog lefty commie skunk

 

[Hfcomms]

Poor Zucky....this is playing just for him.

 

[Bubble Head]

It always sucks to lose 16.8 Billion. So suck it up buttercup.

 

[Housecarl]

The thing is, these sorts of losses and performance issues usually have consequences "at the top" via the board and or stock holders...

 

[northern watch]

Holger Zschaepitzþ @Schuldensuehner · 3h3 hours ago

Facebook shares crash in after-hours trading, wiping out $6.7bn from Zuckerberg's net worth. FB reported slower-than-expected revenue growth in Q2 as user growth miss estimates, indicating the social-media website felt some effects from series of controversies over past mths.

 

[Raggedyman]

i don't fake book

couldn't happen to a better prog lefty commie skunk

INDEED!!! but the truth is he probably won't even miss that little bit from the HUGE pile he's got

 

[Bardou]

INDEED!!! but the truth is he probably won't even miss that little bit from the HUGE pile he's got

He's Jewish, he'll miss it!

 

[JF&P]

Even though this isn't directed at Trump....Facebook's troubles are to me, more WINNING!!!

 

[Seer]

A sudden drop like the chart shows wasn't caused by slow earnings and a decline in price. Someone dumped a ton of stock for that to happen.

 

[Hognutz]

Censorship should hurt!

 

[Snyper]

He hasn't lost anything unless he sells the whole business.

 

[jazzy]

Censorship should hurt!

that was beautiful and you are so right. hope it gets posted all over facebook.

 

[northern watch]

Holger Zschaepitzþ @Schuldensuehner · 3h3 hours ago

Ouch! This BBG chart shows the decline in #Facebook’s monthly active user growth!

 

[ktrapper]

Good ole Suckerturd. How does that censorship taste???

 

[Blacknarwhal]

His fortune tumbled by $16.8 billion in late trading Wednesday, as shares of the social media giant slid 20 percent at 5:37 p.m. in New York on disappointing results. If that holds through Thursday’s close, he will slide to sixth place from third on the Bloomberg Billionaires Index. It would also wipe his $13.7 billion of gains for the year, leaving him with just less than $70 billion.

SEVENTY BILLION?? How is he supposed to live on THAT pittance??

It's looking bleak! Here's Al Bundy with a 16 second assessment of Zuck's future.

https://www.youtube.com/watch?v=v0Ow5FebcuM

 

[northern watch]

Bloomberg Markets‏Verified account @markets · 40m40 minutes ago

Mark Zuckerberg is counting the cost of user disenchantment with Facebook. His fortune tumbled by $16.8 billion in late trading

 

[Dozdoats]

Wow, a Facebook flash crash. Looks like someone fat-fingered something....

 

[Garryowen]

Well, it's a start.

 

[northern watch]

Bloomberg Markets‏Verified account @markets · 39m39 minutes ago

A record Facebook selloff spread to other technology stocks after the social media giant missed revenue estimates

 

[Housecarl]

For links see article source.....
Posted for fair use.....
https://www.msn.com/en-us/money/com...ld-rewrite-history/ar-BBL45Hx?ocid=spartanntp

How Facebook's $151 billion rout could rewrite history

Adam Haigh and Garfield Reynolds
1 hr ago

Facebook has racked up plenty of milestones in its pioneering journey. Now the social media giant is poised to add one it would doubtless rather avoid: the biggest stock market wipeout in American history.

That could happen Thursday if the 24 percent tumble in Facebook’s stock in after-hours trading is replicated in the regular New York session. Its market capitalization plummeted late Wednesday, at one point by about $151 billion, as sales and user growth disappointed investors. A move of that magnitude on Thursday would likely be the largest ever loss of value in one day for a U.S.-traded company.

The following is a look at some of history’s other notable one-day share slams, considering American firms that were worth at least $150 billion in any year over the past decade.

Back in the depths of the tech bust, Intel Corp. lost about $91 billion on one September day in 2000. Exxon Mobil Corp., already reeling from the financial crisis and recession in October 2008, lost $53 billion one wretched Wednesday that month. And the slowest profit growth at Apple Inc. in 10 years triggered a loss of almost $60 billion on January 24, 2013.

Read more: These hedge funds may blame Facebook for a lousy Thursday
Facebook ended the after-hours session down 20 percent at $173.50, a loss of about $126 billion in market cap, having declined as much as 24 percent earlier.

 

[Dozdoats]

sales and user growth disappointed investors

Didn't disappoint investors. Tripped the SELL triggers on the back room big boys' ALGOS. Joe Sixpak on the phone with his broker cannot possibly produce a waterfall like that one. I love the smell of BS in the morning …

OBTW - the entire "market" is riding that same hair trigger. Makes moose pasture look better all the time. I'd love to see that waterfall go UP - again.

 

[Redcat]

I have 5 grandsons from 15 to 26. Not one of them uses Facebook. They ALL say "that's where everyones Grandparents hang out".

Zuckerberg is screwed, his platform is no longer "cool".

 

[ShadowMan]

Couldn't happen to a nicer guy........

 

[Richard]

Overvalued

 

[Dosadi]

yuckerboy is all over drudge, looks like his fakebook lost the most of any company ever.

Never could stand that lil' boy and his snotty attitude.

 

[Publius]

Good ole Suckerturd. How does that censorship taste???

This ^^^ and the selling of user data I think is part of their problem that lead to this crash. Facebook is said to have lost a large number of user accounts with that no one wants to pay to advertise with them knowing this.

 

[greysage]

The thing is, these sorts of losses and performance issues usually have consequences "at the top" via the board and or stock holders...

Just in time to run for President.

 

[hunybee]

I have 5 grandsons from 15 to 26. Not one of them uses Facebook. They ALL say "that's where everyones Grandparents hang out".

Zuckerberg is screwed, his platform is no longer "cool".

bingo

 

[hunybee]

did you see what i did there?

did ya see?

 

[Terrwyn]

Saw something today about the SEC investigating him for insider trading because he dumped 5 billion or so of stock a couple of weeks prior to the crash.

 

[Publius]

Saw something today about the SEC investigating him for insider trading because he dumped 5 billion or so of stock a couple of weeks prior to the crash.

Yes this is now making the rounds that a few Fackbook insiders sold off $4.31 billion dollars of stock and likely use the excuse that it was part of nomal daily business.