Facebook Loses Over $110 Billion in Market Value as fears.

Facebook stock is on track for its worst day ever

by facebook fears

The big story from the earnings report was the forecast that revenue will decelerate in the second half of 2018, Pivotal Research analyst Brian Wieser wrote in a research note. “[W]hile the company is still growing at a fast clip, the days of 30%+ [revenue] growth are numbered,” he wrote.
          
Facebook CFO David Wehner told investors revenue growth would decline significantly over the next few quarters, and that Facebook’s operating margin would drop from 44% in Q2 to the mid-30% range over a time frame of more than the next two years.

         

Facebook (FB) Chief Financial Officer David Wehner said on a conference call with investors that Facebook is "putting privacy first" after the Cambridge Analytica scandal triggered a wave of horrible press, customer angst and regulatory scrutiny around the world.

As an example of its new strategy, Wehner said Facebook will put more development muscle behind the company's Stories feature. That will put a drag on sales because Facebook makes more money on its core News Feed than its other products.