Facebook stock plunges 20% after CFO warns sales growth will slow

according to Facebook's stock plunged 20% Thursday morning after the company said it expects revenue growth to slow as it "puts privacy first" and rethinks its product experiences. Wehner said a focus on "putting privacy first" in its product development process will likely "have some impact on revenue growth." That represents a slowdown from the 41 million daily users it added in the same quarter last year. Facebook had 279 million daily users there in the second quarter, down from 282 million in the prior quarter. But any benefits found there could come at the expense of ad sales growth.

Cramer: Facebook would no longer be a growth stock if its disastrous guidance becomes the new normal

Facebook should not be considered a growth stock anymore if the social network's disastrous revenue guidance were to become to the new normal, CNBC's Jim Cramer said Monday. Cramer popularized the term FANG, referring to the online powerhouses Facebook, Amazon, Netflix, and Alphabet's Google. Facebook on Thursday lost about $119 billion in stock market value, the largest one-day market-cap loss by any company in U.S. stock market history. "When things are good, these people are champs," Cramer said Monday of Facebook management. However, even with a three-session drubbing developing, Facebook still had a market value of $490 billion on Monday.

Facebook insiders sold more stock than usual in the second quarter

according to The company reported second-quarter results Wednesday that missed Wall Street expectations and sent the stock tumbling after the market closed. Ahead of earnings, Zuckerberg sold hundreds of thousands of shares at roughly $30 above where they were trading Thursday. Chief Operating Officer Sheryl Sandberg sold $11.5 million worth, while Christopher Cox, chief product officer, sold $2 million worth. "With the stock rising, the smart thing to do would have been to sell the stock before it took eventual earning hit." Selling Facebook stock wouldn't make much of a dent, especially when most of it is not going in his own pocket.

collected by :Roy Mark