Skip to Content

Facebook plummets nearly 25% in two hours as numbers disappoint ($FB)

Facebook (NASDAQ:FB) shed almost 25% of its value – that’s $150 billion –  in just 2 hours after sales growth and user numbers disappointed shareholders. This occurred in after-hours and if repeated in Thursday’s live market session it could prove to be the biggest one-day share price drop of any company in history. That record is currently held by Intel Corp who lost $91 billion in one day back in 2000 as the tech boom unravelled.

What is interesting is that there has been a very strong rally in Facebook since the controversy over its data handling smashed the stock down in the Spring. Could this have been a ‘spoof rally’ luring more retail investors in and letting the big players out?

In after-hours, Facebook hit lows of $16450, dropping from $21900. The price has since bounced a little but has already bumped its head on the 100 and 200 Day Moving Averages (DMA). Failure to regain these key levels would signal a longer-term decline for the stock.

 

Author: Stuart Langelaan

Disclosure:  The Author does not hold a position in any of the companies mentioned above.

Related Articles

Headlines

teathers app screenshot

App Empowering Private Investors

Crowd Equity for Placings, IPOs and Live Market Blockbuilds, designed to give provate investors access to placements and Intial Public Offerings (IPOs), predominantly on the London Stock Exchange’s Alternative Investment Market (AIM).