Meta Becomes Worst Performer in S&P 500

Meta's falling share price has pushed the company into the bottom tier of the S&P 500 index this year, CNBC reports.

Meta's shares have fallen about 73 per cent over the past year, putting the company in the bottom tier of the stock market index.

The company's shares have fallen due to investor concern for company's problems. For example, in October the company reported its second consecutive drop in quarterly sales and issued a weak outlook for the fourth quarter. Meta attributed the decline in earnings to a number of issues, including a looming recession and the impact of Apple's 2021 iOS privacy update, which has affected the company's advertising business.

Investors are wary of Zuckerberg's excessive interest in the meta universe. Meta believes it will gain an advantage in developing metaverse technologies, thereby cementing its status as a leader in this field.

However, Reality Labs, the division that develops the metaverse, has lost $9.4 billion this year, leaving Reality Labs with an operating loss of more than $31 billion.