By Malvika Gurung
Investing.com -- Technology giant Meta Platforms Inc (NASDAQ: FB ), formerly known as Facebook, recorded a historic fall on Wall Street, marking the highest one-day plunge post weak earnings forecast, shuddering the entire global landscape.
Meta’s stock tanked 26.4% on Thursday, wiping out over $230 billion of its market capitalization, leaving its CEO Mark Zuckerberg poorer by $29 billion and pulling down his net worth to $85 billion.
Meta’s crash initiated drops in other growth stocks too, pushing the tech-heavy index Nasdaq to tank 3.7% on Thursday.
The social media heavyweight’s single-day plunge on Thursday exceeded Apple (NASDAQ: AAPL ) Inc’s largest-ever single-day drop, shedding $180 billion in September 2020.
At the least, 21 brokerages slashed targets on Meta post the tech giant’s dismal quarterly forecast, blaming Apple’s recent privacy changes, making it difficult for social media companies to track people for advertising purposes, and rising competition from rivals, especially Tik Tok and YouTube.
Meta’s profit decline of 8% YoY in the Dec 2021 quarter (Q4) to $10.28 billion was also led by a reduction of user growth in India, as Indian telcos Reliance (NS: RELI ) Jio, Bharti Airtel (NS: BRTI ) and Vodafone Idea (NS: VODA ) hiked their tariff rates by 18-25% in the quarter.
India’s benchmark indices opened on a flat note on Friday, with IT stocks Infosys (NS: INFY ), TCS (NS: TCS ) and Tech Mahindra (NS: TEML ) in red. At 10:15 am, Nifty50 dropped 0.1% and Sensex slid 0.15%. Nifty IT dropped 0.4% and Nifty Bank gained 0.12%.
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