A less impressive financial report directly caused Meta's market value to evaporate by over $130 billion. On Thursday, Meta's stock price fell by $52, a drop of 10.56%, marking the largest decline since October 2022.
This also caused Meta CEO Zuckerberg's assets to shrink by about $18 billion, falling out of the top three on the global wealth list. Currently, Zuckerberg's net assets are $157 billion, ranking fourth in the world. The ones in front of him are Bernard Arnott from LVMH, Bessus from Amazon, and Musk from Tesla.
It is interesting that earlier this month, due to poor delivery data from electric vehicle giant Tesla, the wealth of major shareholder Musk has been shrinking, leading Zuckerberg to surpass him and enter the top three of the global wealth list. This is also the first time Zuckerberg has surpassed Musk in personal wealth in 2020.
In less than a month, the rankings of these two "enemies" have once again swapped, fully demonstrating the complex situation faced by technology stocks this year and the importance of CEOs' storytelling skills for company stock prices.
Everywhere is a struggle
Musk and Zuckerberg are well-known figures in Silicon Valley who have a strained relationship. The two of them have a substantial competitive relationship due to their investment in social platforms, coupled with many conflicting ideas, and are constantly on the front line of verbal battles.
Last year, the two of them publicly scheduled a fight in front of hundreds of millions of netizens due to their passion. They agreed to have a cage fight and solemnly invited a coach to adjust their physical condition to welcome the game. However, to the regret of the melon eating crowd, this cage fight ultimately came to an end.
But the rivalry between the two did not come to an end. In the Q1 earnings season of the US stock market, the two fatally staged a reversal drama. The financial report did not meet expectations, and Tesla, with mediocre performance, successfully won the trust of the investment market after Musk's "pie painting". The stock price reversed its decline and continued to rise.
On the other hand, Meta, which has excellent financial report data but speaks poorly, has experienced a sharp drop in its stock price. This anti common sense plot even makes some analysts exclaim that value investing is no longer necessary. But it is undeniable that in the financial report battle, Musk won easily.
Musk is good at dancing with long sleeves
In addition to Tesla, it has been revealed that Musk's private company xAI will receive an additional $6 billion in a new round of financing, bringing the company's valuation to $18 billion, once again highlighting Musk's popularity in the investor community. In addition to companies such as SpaceX and X social platforms, Musk can be said to have blossomed in many ways.
Zuckerberg, on the other hand, is a different story, with his wealth deeply tied to Meta, almost flourishing and losing together.
Their completely different ways of dealing with wealth and vastly different corporate governance attitudes have always been a topic of discussion in Silicon Valley. Although the real cage fight is no longer a reality, their performances are still worth looking forward to.