M**a Shares Have Experienced Record Growth Throughout The Company’s History, But There Are Still Many Problems

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    As of the end of last Friday: Meta stocks reported 178% growth this year, making it the company's best year ever. This exceeds his 105% growth in 2013, when the company went public. On Monday, the stock rose another 2.9% to $344.62, nearing a two-year high and 10% below the record set in September 2021. Among the S&P 500 companies, only his NVIDIA has had the best performance this year, with its stock price rising $235. % on friday.

    Image source: Kirill Averianova /

    meta results Make sure CEO Mark Zuckerberg's promise of a “year of efficiency” wasn't empty words. In 2022, the company's stock plummeted 64%, forcing it to cut costs and cut more than 20,000 jobs.sales meta declined for three consecutive quarters, but growth resumed in 2023 with a 23% increase in the third quarter, the highest increase in two years. This was achieved due to a recovery in the digital advertising market and an increase in market share compared to the previous year. Competitors include Alphabet and Snap.

    The biggest catalyst for growth was a change in Zuckerberg's attitude: he started listening to shareholder concerns.meta chapter Although he continues to invest heavily in the Metaverse project and believes it is the future of the company, he is now refocusing on advertising, which is important today, and investors regarding uncontrollable costs. We are responding to your concerns. 2024 meta There are many issues to address. The advertising market remains unstable due to the Israeli incident. The company has not yet denied allegations that its social network is addictive among children. And despite the Quest 3's aggressive promotion, virtual reality remains a niche product.

    Meta It took more than two years to overcome the impact of iPhone privacy policy changes that significantly complicated targeted advertising. The company recovered from the crisis faster than Google and Snap by investing heavily in artificial intelligence.China also played a big role in advertising revenue growth: e-commerce giants Temu and Shein invested in advertising on the Meta platform Approximately $600 million and $200 million, respectively, led Meta's third quarter revenue growth The share from Asian advertisers increased by 44%.

                    Image source: Gerd Altmann /

    Image source: Gerd Altmann /

    In 2022, the company faced many negative factors. TikTok's intensive growth as a pioneer in the short video market, falling stock prices across the technology sector due to rising interest rates and inflation, and huge losses from the Metaverse sector. – Virtual reality and augmented reality technology.Meta The company implemented two major layoffs, losing 25% of its workforce and dramatically reducing costs. Initially expected to be in the range of $94 billion to $100 billion in 2023, the latest data suggests that range will be limited to: 87 billion USD and 89 billion USD. All these measures took effect, and in the first quarter of 2023 the company's stock price rose by 76%.Catastrophic losses at Meta Inc.'s Metaverse division couldn't stop its forward momentum – In the first nine months of 2023 alone, that amount reached $11 billion.

    Mark Zuckerberg has spent much of the year talking about his meta efforts AI that helped power advertising technology: Llama's large-scale language models have become one of the most popular AI platforms since the release of ChatGPT, which brought generative AI to the mainstream. The company has significantly improved data center management efficiency.

    Negative factor for meta What remains is that we do not control Apple iOS or Google Android and are still at risk of significant policy changes from these companies. The social media giant has weathered iOS privacy policy updates, but a more immediate threat is Google's planned Chrome browser phasing out third-party cookies in 2024, which could mean Meta ads It could weaken the business..

    Finally, another strong negative factor for meta — Video platforms are growing in popularity, advertising budgets are increasing, and consumers are abandoning traditional TV and metadata It has nothing to do with this market. Bloggers are increasing their presence on TikTok and YouTube, where younger audiences gather. A recent Pew Research Center study found that nearly one in five young people use video-sharing apps “almost always.” And even the claims made by American lawmakers against TikTok did not threaten the service's existence in the United States. A court recently lifted an injunction in Montana, but analysts now don't believe TikTok is going anywhere.will continue to be a threat to the meta.


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