As Meta-formerly- Facebook's slump continues, analysts are saying that the CEO made a terrible mistake.
Meta may reach a "Make or Break" moment in the next couple of months according to financial experts who spoke with Yahoo Finance.
Laura Martin, a senior analyst at the Needham investment bank, told Yahoo that she thinks Mark Zuckerberg does not have a core business.
He is moving to a new place because it competes with TikTok. He is moving to the metaverse and changing the name of the company, which tells me he doesn't think his core business that he built 15 years ago is actually a business anymore.
The shift towards building both infrastructure for and interest in its Metaverse has been predicated on the day of reckoning.
The company's stock has fallen 60 percent over the last year and that shift isn't going well.
Meta is trying to compete with TikTok, but it is failing to compete with the core of its revenue.
According to the Washington Post, an average American user spends 80 minutes a day on TikTok, which is more than they spend on other social media platforms.
Facebook is also set to lose out a lot as the economic downturn continues since it relies on ad spends.
Mark Shmulik told Yahoo that the company would need to get back to basics if it wanted to rebound.
Shmulik said he thinks the stock is back to questions. I think investors would like it if they were spending less on it.
We can imagine it as well, but it doesn't seem like the rest of the company will like it or not.
Say It Ain't So! has more on the man. The Metaverse legs were apparently staged.
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