The markets can be quite jittery at times and with the way that the economy is going, everyone is even more on guard regarding their financial investments. Today, we saw Facebook share prices drop due to a new report that was put out be Capstone Investments.
Reported through the Bloomberg news organization, Capstone Investments has gone on the record to state that user interaction with the social networking side has now plateaued and in some cases, is dwindling. This problem is not limited to just one global region, but based upon an analysis over the last quarter, the company saw this trend in 14 different nations. This information is not new but rather reinforces earlier reports that seem to show that although the site continues to see growth, interest is starting to fade. Based upon this negative news, Facebook share prices declined by 0.6%, ending the day just over $28, $28.09 to be exact. This news just compounds the struggles that Facebook has seen lately with the stock prices going down 8.1% yesterday.
What has to concern Facebook even more is that in their home country of the United States, the Facebook user base has gone down by 1.1% in the last 180 days. In addition to this, another survey has shown that only a small portion of their user base actually interacts with the online advertising that is presented on the site, meaning that Facebook’s bottom line is also impacted.