Rahul Shah, chief executive officer at Ideal Asset Management in NY, a Facebook shareholder, said executives were trying to reset expectations about growth but the outlook caught Wall Street by surprise.
Facebook reported a 42 percent increase in revenue and a 31 percent jump in profits for its second quarter, compared with a year earlier.
Nasdaq futures dropped 0.85 per cent late on Wednesday, suggesting the technology-heavy Nasdaq Composite index would fall when trading opens on Thursday morning. Although Facebook was trading a shade over $150 after the Cambridge Analytica Scandal, it now sits just over $175.
Facebook's daily active users for the second quarter of 2018 were effectively flat in the USA sequentially, and even declined in Europe compared with Q1 - marking the first time the company has seen such a decline in recent quarters.
Of 47 analysts covering Facebook, 43 still rate the stock as "buy", two rate it "hold" and only two rate it "sell". It reported revenue of $13.2 billion for the quarter, missing Wall Street estimates and rattling investors. "We run the company for the long term, not just for this quarter", he said.
The change was due to the European Union implementing the General Data Protection Regulations, which imposed new rules on how internet companies store customer data.
Trump delays proposed Putin meeting until 2019
Putin has said the Russian state did not interfere, and Trump appeared at the news conference to accept Putin's fresh denials. Mr Trump's handling of North Atlantic Treaty Organisation relations also was judged.
Roseanne apologizes for Valerie Jarrett tweet in free-wheeling Hannity interview
Just two, she corrected again, plus blood pressure medication. "It cost me everything-my life's work, everything". She said on Wednesday she did not intend to watch Barr's interview.
China's Xi opens BRICS summit in South Africa
Analysts say U.S. trade policy could give the group renewed unity. "They come with the national interests of their countries". Recently, the world witnessed an ugly tit-for-tat tariff trade war between the United States and China.
The key metric of monthly active users rose 11 percent to 2.23 billion, below most estimates of 2.25 billion, while daily active users grew a weaker-than-expected 11 percent to 1.47 billion.
Many are pointing the blame at founder and CEO Mark Zuckerberg. "Facebook's algorithm has been destroying media companies lately, especially the smaller ones - and even more so - those that lean conservative". Amazon Web Services sales hit $6 billion, marking a yearly growth rate of nearly 50 percent, while the segment's profit was $1.64 billion.
And for those hoping for a swift bounce back, the company told Wall Street the numbers won't get any better this year.
On Thursday afternoon, Facebook watched its capitalization drop by $119 billion, lowering its valuation to $510 billion, which represents a 19 percent drop, according to CNBC. They believe users have woken up to Facebook's growing list of controversies and chose to vote with their "Log Out" buttons.
Wehner gave three different reasons why the company's revenue growth would decline: currency headwinds, greater investments in new kinds of content-sharing, like disappearing videos, and greater user control over privacy - a direct response to criticism the company has fielded.