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Facebook continues to make headlines as its market cap drops below $600 billion

Miguel A. Rodriguez
Miguel A. Rodriguez
10 February 2022
Facebook is now the 8th biggest tech company in the US

Meta, Facebook's parent company, has been at the receiving end of negative press headlines since the beginning of 2022. It all started with last week's Q4 earnings report which presented lower than expected numbers, making the company's stock drop in value by an unprecedented 26%. 

Apple's new privacy changes have also affected Facebook's stock value, currently trading at a 35% lower price compared to the start of the year.  

Meta is also facing legal disputes in Europe, as regulators are planning to implement new laws that will specify how EU citizens' data can be processed, stored and transferred to the US.  

Mark Zuckerberg announced that Facebook, Instagram and WhatsApp may very well be restricted for European users, in the event of such a restrictive legislation will be implemented.  

The bad press trend continues for Meta, as Tuesday saw the company's market cap fall below $600 billion, for the first time since May 2020. 

Meta's total market cap is now at $599.32 billion, which makes it drop right below Nvidia ($627 billion market cap). 

Due to the latest disappointing earnings report and the litigations Meta is facing in Europe, the company is no longer ranked as one of the five most valuable tech companies, alongside Apple, Microsoft, Amazon, and Alphabet. It's currently behind Tesla, Berkshire Hathaway, and Nvidia. 

Even though it is currently facing negative headlines, the silver lining for Meta could be that dropping below the $600 billion market cap may help the company dodge the new antitrust scrutiny.  

At the time of publishing, Meta's stock price was trading 2.10% lower. 


This information/research prepared by Miguel A. Rodriguez does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. The research analyst primarily responsible for the content of this research report, in part or in whole, certifies that the views about the companies and their securities expressed in this report accurately reflect his/her personal views and consequently any person acting on it does so entirely at their own risk.The research provided does not constitute the views of KW Investments Ltd nor is it an invitation to invest with KW Investments Ltd. The research analyst also certifies that no part of his/her compensation was, is, or will be, directly, or indirectly, related to specific recommendations or views expressed in this report.The research analyst in not employed by KW Investments Ltd. You are encouraged to seek advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit that conforms to your specific investment objectives, financial situation, or particular financial needs before making a commitment to invest. The laws of the Republic of Seychelles shall govern any claim relating to or arising from the contents of the information/ research provided. 

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Miguel A. Rodriguez
Miguel A. Rodriguez
Financial Writer

Miguel worked for major financial institutions such as Banco Santander, and Banco Central-Hispano. He is a published author of currency trading books.