Monday, 30 July 2018

Stock Market: FB Loss in Historical and Geographical Context

Just put FB loss on last Friday (27 July 2018) in a historical AND geographical context.

FB market cap loss on 27 July 2018

This is the biggest one day company share value loss in history.

The last time the loss even comes close was back in the tech bubble days of the year 2000 when Intel lost $90.7b.

IBM market cap is $134b, if IBM has the same drop in dollar terms as FB ($119b), its share price would plunge from $145+ to about $16 dollars.

And last but not least, this loss is greater than the GDP of the bottom 129 countries. I derive this conclusion from this wikipedia page using IMF stats.

Morocco's GDP ranks 61 according to IMF, and has a GDP of $109.8b. Any country ranks lower would have a GDP lower than Facebook's loss.

In other words, Facebook, a social media company, has more wealth destroyed in a single DAY than any of the 129 countries produced in a YEAR. Think about it.

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