Drama Is Percolating at Meta Platforms: Should Investors Steer Clear?
Meta Platforms (NASDAQ: META), the company formerly known as Facebook, has never been the type to be devoid of drama. The social media giant has been in the limelight for the better part of the last decade, in part because of its massive scale. Meta boasts nearly half the planet as consumers of at least one of its family of apps, which include Facebook, Instagram, WhatsApp, and Messenger.
Recently, the drama has percolated following news of an investigation into former chief operating officer Sheryl Sandberg's use of company resources for personal projects. The word of the investigation came shortly after Sandberg announced her resignation from the role effective June 1, although she has kept her position on the board of directors of Meta. Understandably, the news has some investors asking if they should stay clear of Meta Platforms' stock.
Unfortunately for Meta Platforms, the news was not the beginning of negative sentiment in recent times. The stock price has more than halved as headwinds have arisen that are lowering growth prospects. These include Apple's privacy changes to apps operating on its smartphones that make it more difficult for Meta to track users across apps, as well as a decrease in appetite from advertisers as they face macroeconomic headwinds of their own.
Source Fool.com
