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Meta stock drops 14% this week, to near pandemic low

Meta Platforms CEO Mark Zuckerberg speaks at Georgetown University in Washington on October 17, 2019.

Andrew Caballero-Reynolds | AFP | beautiful pictures

Facebook hasn’t been that cheap since the beginning of the pandemic.

After falling 14% for the week to close at $146.29, shares of parent company Facebook Meta are at their lowest levels since March 2020 and during the period on Friday they dropped even lower. Meta has lost 61% of its value over the past 12 months, by far the biggest slide among Big Tech stocks and more than double the Nasdaq Composite’s drop.

For five consecutive days of slide, Meta is now trading just 28 cents above its closing price on March 16, 2020, when the early days of Covid-19 sent US stocks reeling.

If Meta falls below $146.01, it will be the lowest since January 2019. That’s when Facebook handle in the aftermath of the Cambridge Analytica scandal that tested consumer trust in the social media company and led to a series of heated congressional hearings.

However, Facebook managed to expand its active users in the US during that quarter, albeit by just under 1%.

Since official change its name came to Meta last October, the news for CEO Mark Zuckerberg and the company was mostly not good. Apple An iOS privacy update made it harder for the company to target ads, and the growing popularity of social media rival TikTok has lured users and advertisers away from the app. Meanwhile, the economic downturn has caused many companies to reduce their online marketing spending.

In July, Meta said it was expecting a second consecutive period of sales decline when it reported the second quarter income which is missing on the top and bottom lines.

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