Home » Zuck Refuses to Let Metaverse Dream Die. Wall Street Has Had Enough.

Zuck Refuses to Let Metaverse Dream Die. Wall Street Has Had Enough.

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  • Meta shares fell nearly 20% in after-hours trading to $104.30 on Wednesday.
  • According to Reuters, Meta’s market value has already fallen by $5 trillion this year, but this has cut it by $67 billion.
  • Mark Zuckerberg’s net worth has decreased by 61% this year due to the stock price drop of Meta.

Wall Street hit shares of Meta Platforms in after-hours trading Wednesday after Meta Platforms reported two consecutive quarters of declining sales.stock price slide It also cuts off some of CEO Mark Zuckerberg’s rapidly shrinking fortune.

Meta’s shares fell nearly 20% in after-hours trading after Wednesday’s earnings report, to $104.30. The recession has reduced Meta’s market capitalization by $67 billion, according to the company. Reutersexpanding losses of almost $5 trillion this year alone.

As of Wednesday, Zuckerberg has already seen his fortune drop by 61% this year, according to the report. Bloomberg Billionaires Index. Most of the millionaire’s wealth comes from his 13% stake in Meta.

Zuckerberg is currently worth $48.9 billion, meaning he is the 23rd richest person in the world. according to the index. He started in 2022 with a fortune of $125 billion, but that has dwindled in a year due to a decline in Meta’s share price, which has dropped nearly 70% so far this year.

On Wednesday, Meta, which owns social networking platform Facebook, posted a 4% revenue decline in the third quarter of 2022. first income It fell 0.9% in the previous quarter. Also, the company’s metaverse unit expects him to continue to be unprofitable in 2023, the company said. press release.

“Intensifying competition from China’s TikTok, Apple’s new iPhone privacy measures, In addition to a significant slowdown in advertising spending, the company’s sales appear to be falling.” Thomas Westwater Analyst for online trading platforms DailyFX and IG. But the Metaverse is likely to be the “most powerful headwind” for Meta’s stock, he added.

Investors are wary of Zuckerberg’s unrelenting forays into the metaverse. Altimeter Capital CEO Brad Gerstner said: issued an open letter Addressing Zuckerberg and Meta’s boards on Monday, he called on the tech giant to focus instead on its core, profit-generating business.

Meta told Insider that the company “does not comment on stock volatility.”

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