Market Overview

Facebook Stock Tumbles Despite Solid Q4 Earnings, DAUs

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Facebook Stock Tumbles Despite Solid Q4 Earnings, DAUs

Facebook, Inc. (NASDAQ: FB) shares dropped in after-hours trading Wednesday despite a fourth-quarter earnings report in which EPS and revenue both bested Street expectations.

Facebook posted quarterly EPS of $2.56 per share, beating analysts' estimate $2.53, on sales of $21.08 billion, which topped the consensus expectation of $20.88 billion.

Earnings per share in the same quarter last year had been $2.38 on revenue of $16.9 billion.

The company also added $10 billion to its buyback.

Daily, Monthly Active Users Up

The social media network company said it had 1.66 billion daily active users during the quarter, up 9% year over year. Monthly active users were 2.5 billion, up 8% year over year.

"We had a good quarter and a strong end to the year as our community and business continue to grow," said Mark Zuckerberg, Facebook founder and CEO. "We remain focused on building services that help people stay connected to those they care about."

Investors appeared to disagree, selling the stock off after the market close. Facebook had closed up more than 2% on the day, but the stock was down more than 7% in after-hours trading to $206.76 at time of publication.

Related Links:

Raymond James Upgrades Facebook Ahead Of Q1 Earnings

Alibaba, Tencent, HSBC, Other Hong Kong Stocks Drop Over Coronavirus Concerns As Markets Open After Holiday

Posted-In: Mark Zuckerberg social mediaEarnings News Buybacks Top Stories After-Hours Center Best of Benzinga

 

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