Facebook's Stock Seesaws as Investors Parse a Mixed Earnings Report

A Historical Look At How Facebook Shares Trade After Earnings

A Historical Look At How Facebook Shares Trade After Earnings

Overall third-quarter revenue was $13.73 billion, up 33 percent from the same period past year and below the $13.78 billion average analyst estimate in Refinitiv data.

It has also run into problems retaining European users and growth in the USA is sluggish, with only 1 million monthly active United States users coming on board in the last quarter.

Facebook Inc on Tuesday beat profit estimates but missed targets for growing monthly users and reported its slowest revenue growth in about 6 years in a quarter some investors feared would be hit harder by defections from the social media site.

Every day around the world more than two billion people use at least one of the resources of the company Facebook.

But speaking on a conference call after the company's pretty solid - if unspectacular - third-quarter results, Zuckerberg said: "We're seeing the way people connect, shifting to private messaging and Stories".

Those scandals, along with Zuckerberg's previous warnings about decreased user engagement, had already wiped away huge gains for the company.

Analysts were expecting earnings of $1.47 per share on revenue of $13.78 billion.

But investors must have liked what they saw this afternoon, as shares perked up a bit in after-hours trading after a slight dip.

"I can't tell you just yet what that time frame is going to look like, but I think we're well positioned over the long term because we're leading in Stories and in basically every country", he said.

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Volumes of new work from overseas also increased, albeit at the softest rate for three months. The US and countries in Southeast Asia were mentioned as destinations for new export orders.

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Washington's demands included opening up China further to USA investments and abolishing the country's foreign-ownership caps. Kudlow believes that an economic downturn in China will have "very modest effect" on the US economy and small businesses.

Goodbye, Kepler Space Telescope
The approximately $700 million spacecraft (including operations) will remain in a safe and stable orbit around the Sun forever. Four years into the mission, the main goals had been met, but mechanical failures put a sudden end to future observations.

Why it matters. Watch, IGTV, and Stories are all part of Facebook's plan to keep users engaged on its platforms - and engaging with ads.

The Facebook CEO would not be drawn on when revenue from Stories would match that from news feed advertising, but said it was trending in the right direction. Facebook says it changed the way it calculates users, which reduced the total slightly.

But Facebook CEO Mark Zuckerberg admitted that the issues may never be fixed. The projections sent shock waves through the market, causing Facebook value to fall by more than $100 billion, the largest single-day drop in Wall Street history.

Now, the Facebook management can still point to global stats that show that it has 2.27 billion monthly active users and 1.49 billion daily users.

In the second quarter of this year, the company lost millions of users in Europe.

Facebook has tried for years to make its mark on the SME business world and has undeniably great opportunities in areas such as peer-to-peer payments via Messenger as well as Zuckerberg's penchant for virtual reality and, lately, home audio and video hardware. User growth has slowed after the Cambridge Analytica privacy scandal and a major data leak this year, in addition to faltering confidence in the company's ability to handle misinformation. On top of that, it's received constant criticism from the U.S. Congress for allowing political propaganda to spread through its platform - swaying the result of the 2016 U.S. Presidential election.

Facebook reported better-than-expected third-quarter earnings per share on Tuesday.

What he means is that instead of posting those new baby photos or that article about the three-headed dog onto the public News Feed, they are sending them to individuals or groups via Messenger or WhatsApp or they are using the new Stories features. Which for investors that have been holding Facebook all year, that's going to be a good thing.

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