Meta, the parent company of Facebook, shed about $230 billion of market capitalization in early trading Thursday. The market value dramatic decline followed the release of Meta’s fourth-quarter earnings which were disappointing to investors.
The plunge puts Meta on track for the largest one-day wipeout of market value in the history of the United States, according to Bloomberg data.
As of this writing, Meta stock is down 24%, trading around $243. It closed at $323 the previous day. Meta released its results after Wednesday’s market close. The drop dramatically wiped out the market capitalization — the value of all its shares combined — from $898.5 billion to $668.4 billion.
Mark Zuckerberg, the CEO of Meta said Wednesday that earnings will probably remain under pressure, due to the fierce competition from other social platforms — especially TikTok.
“People have a lot of choices for how they want to spend their time, and apps like TikTok are growing very quickly,” Zuckerberg said.
