Facebook CEO Mark Zukerberg Loses Profit, Falls from Third To Sixth World Richest


Facebook’s Mark Zuckerberg loses $17.6bn, Becomes ’s Sixth-Richest

has lost $17.6bn in net worth as facebook stock plunged over 20 per cent in after-hours trading on Wednesday following a disappointing report.

The 34-year- Facebook billionaire, who had been worth as much as $86.5bn when Facebook stock traded at an - high in the day, has a net worth of about $68.9bn, based on regulatory filings with the .

That figure includes some $2.7bn in and , according to ’s Billionaire index, putting the world’s third-richest person, at Number Six, including ’s Buffett, French magnate Bernard Arnault, and Amancio Ortega.

Zuckerberg’s net worth had surpassed Buffett’s in June as shares of Facebook continued to climb and Buffett continued to give much of his away in charitable . Today, Buffett is worth roughly about $82.3bn.
Facebook’s founder is the ’s shareholder, with 12.8 percent of its shares outstanding.

Zuckerberg’s paper losses come after Facebook revealed mixed earnings and slowing during the second quarter of 2018.
During the quarter, the company added 22 million daily active users, lower than the 41 million it added in the same quarter a year earlier.

, , told analysts in a follow-up call to brace for a possibly deeper slowdown as the company seeks to expand offerings such as and increase and for users.

At least 16 brokerages their price targets on Facebook after executives said the cost of improving privacy safeguards, as well as slowing usage in the biggest , would hit the company’s profit margins for more than two years.

Facebook shares were down 20.4 percent at $173.20 in pre-market trading, a decline that would wipe about $128bn off the company’s value — or nearly four times the entire market capitalisation of

Facebook’s second-quarter results were the sign that a new European privacy and a string of privacy scandals involving and are hitting the company’s business.

Facebook also warned that the toll would not be  balanced by revenue growth from and the company’s app, which has been less affected by privacy concerns.
Describing the announcements as “bombshells,” Baird analysts said the issues were, to a large degree, “self-inflicted” as Facebook sacrifices its app monetisation to drive usage.
Of 47 analysts covering Facebook, 43 rate the stock as “buy,” two rate it “hold,” and two rate it “sell.” Their median price is $219.30.

While some analysts opine that Facebook’s issues would not be easily resolved, some , saw a silver lining in Facebook’s emphasis on more engaging and its promotion of stories , which would revenue over the longer term.

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