The heritage of mark zuckerberg decreased by $31 billion, one of the largest single-day declines in history, after the fourth-quarter results of Meta Platforms Inc. did not meet analysts’ expectations, according to the Bloomberg agency.
Goal is in the midst of a historic stock slump after its results showed stagnant growth in monthly users of Facebook in the latest quarter relative to the prior period, raising concerns about the company’s future growth. Shares fell as much as 27% on Thursday in New York.
The presentation of an inauspicious balance, in which the company recognizes for the first time in 18 years a drop in the number of users who visit daily Facebook, was the trigger for the drop. However, there are multiple reasons underlying its business model to understand why a wave of sales of its shares was unleashed.
Meta’s sharp drop leaves Zuckerberg, the company’s CEO, with a net worth of about $92 billion, down from $120.6 billion at market close on Wednesday.
Users
Among them, a user base that stopped growing, lower revenues, a controversial rebranding and a weakening of the product.
Meta’s sharp drop leaves Zuckerberg, the company’s CEO, with a net worth of about $92 billion, down from $120.6 billion at market close on Wednesday.according to the index Bloomberg Billionaires. It’s enough to knock the 37-year-old millionaire off the list of the 10 richest people in the world for the first time since July 2015.
A $31 billion loss of wealth in one day would be the second largest ever caused by a drop in stock price, second only to the volatile swings in Elon Musk’s fortune.
The world’s richest person lost $35 billion in one day in November when shares of Tesla Inc. fell following a Twitter poll in which Musk asked whether he should sell 10% of his stake in the company. His net worth also plummeted $25.8 billion last week.
A $31 billion loss of wealth in one day would be the second largest ever caused by a drop in stock price, second only to the volatile swings in Elon Musk’s fortune.
co-founders
The co-founders of Meta they are also facing unprecedented declines in their personal fortunes. Dustin Moskovitzthe 79th richest person in the world with a net worth of $21.2 billion as of Wednesday, lost around $3 billion, while Edward Saverinwith a fortune of USD 17.5 billion, lost more than USD 4 billion, according to Bloomberg.
Read: Facebook: the reasons behind the first drop in active users
The $2.5 billion personal fortune of Sheryl Sandberg, Meta’s chief operating officer, fell by more than $100 million, according to data compiled by Bloomberg. However, unlike ZuckerbergSandberg’s wealth is less concentrated in the company’s stock, softening the blow.
“For Meta, the disappointing results add to their problems. It is in the midst of a series of regulatory fights and is also seeking to justify its strategic change to bet on an immersive internet, known as the metaverse. Meanwhile, other platforms like TikTok and YouTube they are gaining ground among younger users,” the agency noted.
