Facebook plunges more than 24 percent on revenue miss and projected slowdown

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Michael Connor, whose Open Mic group helps investors push tech companies to address privacy, abuse and other issues, said it's "far too early" to see if Facebook's efforts to improve itself will prove fruitful.

Mark Zuckerberg has lost around £13 billion of his personal fortune after Facebook suffered its worst ever day on the stock market.

The more than $15 billion in net worth that Zuckerberg lost on Thursday is roughly equal to the wealth of the world's 81st-richest person, now Japanese businessman Takemitsu Takizaki, according to Forbes real-time data. It said that 2.5 billion people use at least one of the company's family of apps-Facebook, Instagram, WhatsApp, or Messenger-each month. The company is still grappling with blowback from the revelation that political data firm Cambridge Analytica accessed data on up to 87 million Facebook (FB) users.

The Cambridge Analytica scandal prompted several apologies from Chief Executive Mark Zuckerberg and generated calls for users to desert Facebook, which has grown strongly since launching as a public company in 2012.

Facebook reported its user base was still growing but not as fast as some expected. In addition, the company expects to invest in products like Stories "that now have lower levels of monetization", while the introduction of new controls for users to limit their data-sharing with Facebook "may have an impact on our revenue growth", the CFO said. The mass stock sale saw approximately $119 billion in market value destroyed, marking the largest one-day drop in the history of the American stock market. While the company reported a growth in all markets, its overall revenues missed analyst estimates. Q2 revenue rose a whopping 42%, to $13.0 billion, and net income was up 31%, to $5.1 billion.

In contrast to Facebook, Amazon on Thursday in the USA reported a record profit and forecast plowing past analyst estimates.

"While those actions might take time to play out, it is still possible that threatened fines associated with GDPR to Facebook or other sellers of advertising could also have the effect of spooking advertisers into changing how they use data", said Wieser, who thinks the shares should be worth $140 U.S. - well below Thursday's level.

"The perceived narrative surrounding Facebook has changed after yesterday's earnings announcement", said Jeff Henriksen, managing partner at Thorpe Abbotts Capital, according to the Business Insider.

"Looking beyond 2018, we anticipate that total expense growth will exceed revenue growth in 2019", he said. By the time Wall Street closed yesterday, Facebook had lost over $120 billion of the company's value and shareholders are not happy.

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