After a significant decline in the share price of Snap Inc. shares, there was a downward trend in the value of the securities of other technology companies that do advertising online. This is due to the fact that the founder of Snapchat reported a significant drop in spending on advertising projects.
The biggest drop was noticed in Facebook and Twitter, the decline in the value of the securities was 6%, a significant drop occurred with the shares of Google, they have lost less than 3% of their price.
Some advertising promotion difficulties created a lot of problems for Facebook securities
Snap attributed this to difficulties with some problems in the delivery of customers, there have also been some changes in Apple’s data collection method, forecasting revenue has become more difficult. As a result, Snap’s stock price dropped by a third.
This event has led to difficult consequences for Facebook, they also associate it with the fact that against the background of competitors, its securities have not risen so much. As a result, Facebook has lost 11% compared to September.
The report provided by Snap also affected other giants. For example, Track disk, which owned the site for managing advertising lost 5%, and a similar company PubMatic decreased by 4%.
The market is waiting for the report of Facebook, which should take place next Monday. As for Twitter and Alphabet, investors expect their reports a day later.