The Facebook parent company, Meta Platform Inc plunged 26% last week Thursday after the release of poor earnings results. About $251.3 billion in market value was wiped out, making it the biggest daily loss for any U.S. company ever. As a result of this fall, Mark Zuckerberg lost over $30 billion. This massive fall of Meta made other tech stocks fall, the likes of Twitter, Snap, and Pinterest.
In the year 2021, the opening price of Meta was $274.79 and closed at $332.46. The appreciation in price put smiles on the faces of investors. Now, the reverse is the case this year. The opening price of the Meta stock was $338.26 but now the price is at $237.01, which is a 30% loss from the year’s opening price. Long-term investors have nothing to fear about the most recent dip in the price of Meta. In the coming weeks, the price could rally to $381, which will eventually lead to a new all-time high. There was a gap down when the market opened last week Thursday as a result of the earnings report. On Friday, Meta’s loss increased because of the continued bearish turn, but at the end of the trading day, there was a rally that formed a Doji. RSI using the daily time frame shows that price has been oversold, which could lead to a possible reversal.
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