In just one day, Mark Zuckerberg’s wealth grew by $11 billion when shares of Meta, Facebook and Instagram’s parent company, grew by more than 17% on Tuesday.
Earlier in the day, the stock was up by 19%. Although this was only for a brief moment, it meant Zuckerberg’s wealth went up by $11.5 billion.
The 37-year-old recently missed out on his usual spot among the world’s 10 richest people, but it seems as if he may just be making his way back soon.
CNN reports that as of Wednesday’s close, Zuckerberg ranked at No. 18 with a net worth of $65 billion. Thursday’s rally should catapult him up a few spots and increase his net worth to roughly $76 billion.
This was good news for Meta since the company missed the revenue forecasts made by Wall Street for the first quarter of the year. The company posted its slowest revenue growth in years, but user numbers had a massive turnaround. Advertisers often look at the number of users when they determine where they will be advertising.
So, why is the company not hitting the mark with investors? Apparently, it's struggling to monetise popular video content while going up against video king TikTok.
Apple’s privacy practices have also thrown a curveball for Meta as it faces disruption of its core advertising business.
Meta also noted that its business was hurt by Russia’s war in Ukraine – Facebook and Instagram were blocked in Russia last month - and it expects those challenges to continue in the current quarter, reports CNN.
Image credit: Encyclopedia Britannica