What else could Facebook do to make its day worse? It took just 2 hours for the company to lose $150 billion in market cap in after-hours trading after its stocks tripped by 24% on Wednesday, according to Bloomberg.
The incident is being called as the biggest single-day wipeout in the history of the American stock market. With its performance, Facebook has outdone Intel which suffered a single-day loss of $91 billion back in 2000.
Facebook’s after-hours session ended with a $126 billion loss in market cap. Its share prices had closed at $217.50, then dropped further to $173.50.
The news comes after Facebook announced its struggling growth and sales numbers in front of the investors. Facebook’s CFO David Wehner projected further revenue slowdown by high single digits percentage in the coming quarters.
It could be one of the repercussions faced by the scandal-ridden company. The social network is finding it hard to keep increasing the number of users.
According to Wehner, the new privacy controls introduced by Facebook could be assumed as a contribution to the deacceleration. Also, Facebook has been promoting new products, like Stories over News Feed. But the question of generating revenue through advertising needs to be addressed properly.
Also Read: Facebook Is Opening A New Company “Facebook Technology (Hangzhou)”
