Facebook action plunges 19% after the opening of the stock market. DN.no



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– I am surprised by the numbers, says Sissener at DN

He waited Thursday afternoon to see how development was when stock exchanges opened in the United States.

Facebook's stock was traded at over 20% as a result of Wall Street after quarterly company figures were presented Wednesday night. Just as bad it was not at the opening of the market on Thursday afternoon.

Facebook's share has opened around 19% – which reduces the market value of Facebook by $ 120 billion

Fenomenal Growth

– Facebook is experiencing phenomenal growth, but in the second quarter, growth n & n Was not phenomenal enough Sissener

He points out that the risk associated with quarterly numbers is asymmetrical because the possibility of major price declines is greater the possibility of significant price hikes.

– I can not imagine that the Facebook stock could have jumped 20% surprise, says Sissener.

It shows that the very high valuation on the part of Facebook is that the company is punished more severely when it does not meet expectations

– When such a company does not deliver as expected, Sissener

He explains that Sopener Canopus has covered some of the investment in Facebook by selling purchase options.

Lower Growth

The Reason for Market One's negative response to the results is twofold.

First, analysts' growth forecasts have failed. According to Bloomberg's financial website, it was expected that monthly user growth would increase by 2.3% between the first quarter and 2.25 billion active users

The second quarter scenario shows that the number of users Users stopped at 2.23 billion. Profit Release, David Wehner, chief financial officer, said that sales growth would drop over the next two quarters.

Second, Zuckerberg announced a decline in profits in the coming time. According to Zuckerberg, the numerous scandals surrounding the company, as well as GDPR, have led the company to invest heavily in the safety of users on the platform. These changes may weaken Facebook's advertising product, which is the main reason for the company's huge growth in recent years.

"We have 20,000 employees working in the field of content security and control around the world, and as I said in previous quarterly updates, we invest so much that it will impact on profits, "wrote Zuckerberg in an update on Facebook (Terms)

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