Meta “shifting deckchairs on Titanic” after first ever revenue decline – Mirabaud Equity Research

by | Jul 28, 2022

Neil Campling, head of TMT research at Mirabaud Equity Research, said: “Meta’s Q2 results show the company’s first ever revenue decline since it went public as Facebook – this probably explains why Instagram has changed algorithms in the last week and should probably be renamed ‘InstaTok’.

“In signs of shifting deckchairs on the Titanic – though most have already abandoned ship – Meta’s CFO is becoming its CSO, while the VP of Finance will become the CFO. Meta is blaming the macro landscape for its weak guidance rather than competition or privacy changes from Apple, but we think all three factors play a part.

“Mark Zuckerberg has also effectively called time on the importance of Friends. Facebook will begin relegating posts from Friends, as well as Pages and Groups that users follow, to their own tab called Feeds. And this is because the home feed will become a “discovery engine” full of “content we think you’ll most care about”. That could be re-interpreted as – it will be full of stuff our AI thinks is important and all the foundational ideas around the platform are to be forgotten in desperate attempts to stay relevant in TikTok’s world.”

Related articles

UK recession confirmed but economy shows signs of steadying

UK recession confirmed but economy shows signs of steadying

Following the publication of their revised estimate of Q4 2023 UK GDP from the ONS might we dare to believe that there be brighter times ahead? Lindsay James, investment strategist at Quilter Investors, has shared her reaction to the news with us as follows: "While...

Will uranium continue to glow for investors?

Will uranium continue to glow for investors?

Written by Thomas Roderick, Portfolio manager, Trium Epynt Macro Fund Uranium has been the standout commodity of the past 12 months - nearly doubling in price to $100 per pound, with nuclear firmly back on the policy agenda as part of the green energy transition. The...

Trending stories

Join our mailing list

Subscribe to our mailing list to receive regular updates!

x