In one of the most dramatic days in Wall Street history, Facebook’s parent company Meta Platforms saw more than $100 billion wiped from its market value following a disappointing earnings report and weaker-than-expected guidance. The plunge marks the largest single-day loss ever recorded by a publicly traded company.
Shares of Meta fell over 25% during Thursday trading, closing at their lowest level in nearly three years. The sell-off came after the company reported a decline in quarterly profits, slower user growth, and mounting competition from TikTok and other social platforms. Analysts described the drop as a “historic collapse” that underscored growing concerns about Meta’s ability to maintain dominance in the social media industry.
CEO Mark Zuckerberg sought to reassure investors, emphasizing Meta’s long-term investments in artificial intelligence and virtual reality. However, those efforts have been costly, with the company spending billions on its metaverse ambitions while advertising revenue growth has cooled sharply.
The staggering loss surpasses previous records set by Apple and Amazon during their own market corrections. It highlights the volatility facing the technology sector amid rising interest rates, inflation concerns, and changing consumer behavior.
Market watchers say Meta’s decline could signal a shift in investor sentiment toward Big Tech, with traders becoming more cautious about companies reliant on digital advertising. Despite the rout, Zuckerberg maintained that Meta remains “fundamentally strong,” pointing to its billions of users and continued product development.
Still, Thursday’s sell-off will likely be remembered as a defining moment for Silicon Valley — the day Facebook’s empire faced its harshest reckoning yet on Wall Street.
