Facebook stock drops 6% when renaming stock code to META
When Facebook changed its name to META, the company suffered many attacks.
The rebranding did not bring any immediate change in assets to the social media giant’s highly-rated stock.
When the stock market closed on Thursday, shares formerly known as Facebook fell 6.43% during the day. META is currently valued at $184, which appears to be near the lowest ever recorded level of $174.95 at the end of April.
By October 2021, Mark Zuckerberg had officially announced that Facebook would change its name to META to accommodate the company’s future operations better. More particularly, the company wants to look to Metaverse when it sees the enormous potential of this technology.
Metaverse is the concept of an immersive collection of digital spaces and worlds navigated by internet users through 3D avatars. Many developers, including Zuckerberg, believe Metaverse will become the future hub for work, shopping, entertainment, and social interaction.
At that time, the whole market seemed to be on the verge of changing the company’s goals. However, since the announcement of the name change, the company’s stock has fallen 42%. In February 2022, META declined 26% within just one day as the Q4 2021 earnings report showed sluggish user growth as the company shifted resources to metaverse-related ambitions.
Does the decline imply a further loss of confidence in Metaverse’s super-reverse shift? Or is it merely the actual result of a symbolic change, a logistical barrier that can affect trading volume? Financial news service Barrons noted today that the researchers have found that “significantly reduced trading volume” tends to follow stock code changes.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Join CoinCu Telegram to keep track of news: https://t.me/coincunews
Follow CoinCu Youtube Channel | Follow CoinCu Facebook page
CoinCu News
KAI
MicroStrategy Bitcoin holdings are now more than any country, with 214,400 BTC worth $13.6 billion.
The highly anticipated Bitcoin Seoul 2024 conference is gearing up to be a revolutionary event…
As an experimental festival, Non-Fungible Conference aims to revolutionize event frameworks, offering attendees a glimpse…
Blockchain Week Rome 2024 is set to unite the Italian and international crypto communities in…
The eagerly anticipated BlockSplit conference, a premier gathering for blockchain enthusiasts, is set to take…
Despite market downturns, over 95% of Bitcoin ETF investors have held onto their assets, demonstrating…
This website uses cookies.