What happened
The share price of Meta Platforms (META 0.03%) was sinking lower today, seemingly on no company-specific news. Instead, investors may be digesting several notes published by analysts yesterday and reacting to the Nasdaq Composite's broader drop today.
The tech stock was down by 5.6% at 10:37 a.m. ET.
So what
Several analysts issued investor reports on Meta yesterday, with mixed opinions. While some of the analysts had positive things to say about the company, one analyst lowered his firm's price target for Meta's stock.
Image source: Getty Images.
JMP Securities analyst Ronald Josey kept an outperform rating on Meta's stock but cut his price target from $350 to $265.
Josey highlighted two things that concerned him about Meta, including privacy concerns with Meta's Facebook platform and the fact that the fast-growing social media app TikTok is proving to be a formidable competitor.
In addition to processing Josey's comments, some Meta investors may have been selling their shares in sympathy with the Nasdaq Composite falling today. Investors are still digesting lots of information about rising inflation, Federal Reserve interest rate hikes, and the war in Ukraine.
All of those issues, along with huge subscriber losses in Netflix's recent quarter, helped push the Nasdaq down by 0.8% this morning.
Now what
Including today's drop, Meta's stock has fallen 39% over the past six months. Investors will get a clearer picture of how Meta is doing when the company reports its first-quarter results on April 27.
But with the broader market experiencing significant volatility right now, long-term Meta investors may want to prepare for some more share price swings in the near term.
