50 million Facebook profiles harvested for Cambridge Analytica in major data breach

Discussion in 'Off Topic' started by hmscott, Mar 17, 2018.

  1. hmscott

    hmscott Notebook Nobel Laureate

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    What's behind Facebook's $150B market value plunge?
    CBS This Morning
    Published on Jul 26, 2018
    Facebook is suffering a major financial blow after months of punishing headlines about privacy and content concerns. Its stock plunged up to 24 percent in after-hours trading Wednesday, wiping out as much as $150 billion of the social media giant's market value in under two hours. This comes after Facebook announced second quarter revenue missed Wall Street expectations by around $130 million, and growth in the number of active users is slowing down. Wired editor-in-chief and CBS News contributor Nicholas Thompson joins "CBS This Morning" to put it into context.


    What happened on Facebook's nightmare conference call that wiped out nearly $150B in market value in 90 minutes
    Rob Price, 1h
    https://www.businessinsider.com/facebook-stock-drops-20-plus-nightmare-earnings-call-2018-7
    • Facebook stock dropped a whopping 24% after it announced its second quarter financial results on Wednesday.
    • The plunge came after Facebook executives announced that the company expects a significant slowdown in its revenue growth in the years ahead.
    • Here's what happened during the disastrous conference call with analysts that saw Facebook value fall by as much as $148 billion.
    "Facebook CEO Mark Zuckerberg announced a new feel-good statistic on a conference call with financial analysts on Wednesday: Some 2.5 billion people — a third of the world's population — now use at least one of Facebook's products each month.

    But that staggering statistic wasn't enough to distract investors from the bad news the company had to share — it expects significantly decreased revenue growth rates and operating margins in the years ahead.

    The proof was in Facebook's stock, which during the call was down as much 24% from its price at the close of regular trading. In fact, the call with Zuckerberg and his colleagues only made things worse for Facebook, in terms of its share price.

    An hour before the call started, Facebook announced disappointing second quarter financial results . The company missed Wall Street's expectations on both revenues and its number of daily and monthly active users.

    Its stock fell more than 8% on that news. But it stayed relatively steady after that, at least until the call started and David Wehner, Facebook's chief financial officer, started discussing the company's financial outlook.

    Wehner warned that Facebook expected its revenue growth to slow from the 42% pace it posted in the second quarter and its operating margins to fall from 44% in the period.

    "Looking beyond 2018, we anticipate that total expense growth will exceed revenue growth in 2019," he said. "Over the next several years, we would anticipate that our operating margins will trend towards the mid-thirties on a percentage basis."

    Facebook's stock really fell off during the company's earnings call
    During the call, Facebook's stock dropped precipitously. Within minutes it was down 15%, then 18%, then more than 24%. At the stock's lowest point, more than $148 billion of the company's value — significantly more than the entire market cap of IBM ($134 billion) — had been wiped out.

    Facebook's shares rebounded later, but at the time of this writing, they still remained deep in the red, at a little over 20% down.

    Three key factors are driving Facebook's expected revenue growth decline, Wehner said. First, Facebook is battling currency headwinds. Its overseas revenue got a boost in dollar terms as the dollar appreciated against other currencies last year. But the dollar's decline this year will reduce the dollar value of Facebook's foreign revenue.

    Second, the company is placing more emphasis on Stories, the packages of posts and photos users can share with their friends that generally disappear after 24 hours. The company doesn't yet make as much money from Stories as from its news feed and other features on its site.

    And then there's an increased focus on privacy and security, which Zuckerberg had previously warned could harm the company's profitability. New options that Facebook is offering users to opt out of certain data collection — inspired in part by a new privacy law in Europe — could lead to less advertising revenue.

    Facebook's expected decline "is beyond anything we've seen"
    As analysts pounded Facebook executives on the call about the company's expected deterioration in its financial results, its stock continued to sink. Towards the end of the call, a Jeffries analyst seemed astonished at the scale of the growth slowdown, saying it "seems the magnitude is beyond anything we've seen."

    Wehner warned analysts not to expect the company's financial results to get better anytime soon.

    The company will likely be posting sub-par operating margins for "several years ... more than two, less than many," he said.

    It's a staggering drop-off for Facebook, and flies in the face of Wall Street's expectations. Earlier in the day, its stock had hit a new all-time-high of more than $218 a share. A few short hours later, that already seems like a distant memory."
     
    Last edited: Jul 26, 2018
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  2. hmscott

    hmscott Notebook Nobel Laureate

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    Facebook stock plunges in loss of confidence
    CBC News
    Published on Jul 26, 2018
    Facebook falls, losing more than $100B in share value. The reason could be growing public concern over privacy and security.
    To read more: http://cbc.ca/1.4761601

    Facebook's stock plunges after earnings report
    CBS News
    Published on Jul 26, 2018
    Facebook's share price fell 20 percent in after-market trading after the social media company announced sluggish user growth and predicted slow revenue growth in the coming months. Maria Medina of CBS station KPIX-TV reports from Menlo Park, California.

    Why Facebook's stock is plunging
    CNN
    Published on Jul 26, 2018
    CNN's Christine Romans says Facebook's stock dive is partly due to a strategy shift where the social media giant has had to put privacy over profits.

    Facebook crashes 20% on earnings
    CNBC Television
    Published on Jul 25, 2018
    Gene Munster, Loup Ventures, on why Facebook is getting hammered after earnings. With CNBC's Melissa Lee and the Fast Money traders, Pete Najarian, Tim Seymour, Dan Nathan and Guy Adami.
     
    Last edited: Jul 26, 2018
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  3. hmscott

    hmscott Notebook Nobel Laureate

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    Tick by tick Facebook stock pricing, scroll all the way to the left to see it from the beginning...Still Live...

    LIVE: Watch Facebook's stock trade in real time

    CNBC Television
    Started streaming 3 hours ago
    LIVE: Watch Facebook's stock trade in real time
     
    Last edited: Jul 26, 2018
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  4. Fishon

    Fishon I Will Close You

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    Companies would die to have these sorts of margins. Just that Wall Street was expecting more of course.
     
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  5. hmscott

    hmscott Notebook Nobel Laureate

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    I don't think you listened to all of it, or all the way through, the prospect moving forward is diminished to the 12%-13% growth over the next 5 years.

    They were lamenting the loss of those high growth days... over for good?
     
    Last edited: Jul 27, 2018
  6. hmscott

    hmscott Notebook Nobel Laureate

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    Facebook’s Stock Takes a Historic Plunge I Fortune
    Fortune Magazine
    Published on Jul 26, 2018
    Facebook’s stock historically plunges as revenue and user growth numbers miss analysts’ expectations for Q2 2018, leaving investors reeling.

    Facebook Plunges 20% at the Open, Wiping Out $120 Billion in Value
    Bloomberg Markets and Finance
    Published on Jul 26, 2018
    Jul.26 -- Brian Wieser, senior analyst at Pivotal Research, discusses Facebook's disappointing earnings report and the fallout. He talks to Jonathan Ferro on "Bloomberg Markets: The Open."

    The Fallout From Facebook's Disappointing Earnings Report
    Bloomberg Markets and Finance
    Published on Jul 26, 2018
    Jul.26 -- Bloomberg's Luke Kawa and Romaine Bostick look at the market fallout from Facebook's disappointing earnings report. They talk to Jonathan Ferro on "Bloomberg Markets: The Open."
     
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  7. Fishon

    Fishon I Will Close You

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    I was talking about revenue margins. I'm not sure what their projected revenue margins were before, however, a projection in the mid-thirties is still incredible. The street had their growth rate in the mid- thirties and Facebook's guidance is now 18%- which is a momentous downgrade . Trust me, it will come in higher than that in the next quarter. The growth rate for advertising as a whole (industry at large) is 4%. They're betting on Stories (where they don't make any money yet) being a place where there is less advertising, but will keep people on Facebook longer. We shall see.
     
    Last edited: Jul 26, 2018
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  8. hmscott

    hmscott Notebook Nobel Laureate

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    Investor calls for Zuckerberg to reduce role after Facebook's historic stock loss
    CBS This Morning
    Published on Jul 27, 2018
    Facebook stock suffered the largest one-day loss of any publicly traded company in history when its shares plunged nearly 20 percent Thursday, erasing about $120 billion of the social media giant's market value. Some shareholders are now saying co-founder and CEO Mark Zuckerberg is part of the problem. Bianna Golodryga reports.
     
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  9. Fishon

    Fishon I Will Close You

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  10. hmscott

    hmscott Notebook Nobel Laureate

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    ...And, Intel...

    Swan dive: Intel shares dip under interim CEO Bob as 10nm processor woes worry Wall Street
    Chips not ready until 2H 2019, Epyc headache looms
    By Iain Thomson in San Francisco 27 Jul 2018 at 02:03
    http://forum.notebookreview.com/thr...-cannon-lake-cpus.817097/page-2#post-10771417
     
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