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Facebook Stock Tumbles Despite Solid Q4 Earnings, DAUs

Facebook, Inc. (NASDAQ: FB) shares dropped in after-hours trading Wednesday despite a fourth-quarter earnings report in which EPS and revenue both bested Street expectations.

Benzinga · 01/29/2020 21:28

Facebook, Inc. (NASDAQ: FB) shares dropped in after-hours trading Wednesday despite a fourth-quarter earnings report in which EPS and revenue both bested Street expectations.

Facebook posted quarterly EPS of $2.56 per share, beating analysts' estimate $2.53, on sales of $21.08 billion, which topped the consensus expectation of $20.88 billion.

Earnings per share in the same quarter last year had been $2.38 on revenue of $16.9 billion.

The company also added $10 billion to its buyback.

Daily, Monthly Active Users Up

The social media network company said it had 1.66 billion daily active users during the quarter, up 9% year over year. Monthly active users were 2.5 billion, up 8% year over year.

"We had a good quarter and a strong end to the year as our community and business continue to grow," said Mark Zuckerberg, Facebook founder and CEO. "We remain focused on building services that help people stay connected to those they care about."

Investors appeared to disagree, selling the stock off after the market close. Facebook had closed up more than 2% on the day, but the stock was down more than 7% in after-hours trading to $206.76 at time of publication.

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