How Metaverse Kingpin, Mark Zuckerburg, Turned a $100bln Faceplant into a Massive $201bln Flex...

Well, well, well… looks like lizard Zuck (Mark Zuckerberg) finally found a way to claw back from that $100 billion Metaverse faceplant after all. That’s right, the same guy who once poured billions into a metaverse dream that had everyone rolling their eyes is now laughing all the way to the bank—again. 

(Source: Vanity Fair) 

According to the most recent reports, Zucks net worth has officially ballooned north of $201 billion as the Facebook-turned-Meta founder has now joined the ranks of the world's fourth-richest person behind Elon Musk, Jeff Bezos, and Bernard Arnault. Aka not bad for a guy who was basically meme-fodder a couple of years ago.

(Source: Bloomberg) 

In short, as we all know, Zucks pivot to the metaverse legit had investors in full-on panic mode as Meta’s stock tanked, while Zuck himself lost over $100 billion. Which for one, is still absolutely mind boggling to think about and enough to make anyone reconsider their life choices (LOL). But apparently, Zuck doesn’t do “ragrets” - he does friggin comebacks (in fashion and in business it seems). 

(Source: Giphy) 

Fast-forward to 2024, and Meta’s stock is up 60% this year, surging to new all-time highs. How, you ask? Well, it turns out those goofy-looking augmented reality glasses, Orion, are actually kinda popular. Who knew? Analysts are now calling Orion the “critical validation” of Meta’s pivot to the metaverse. Translation: Zuck’s crazy bet wasn’t so crazy after all.

(Source: Business Insider) 

For more context, Zuck’s personal fortune has ballooned by a mind-blowing $73.4 billion just this year. Now of course, his wealth comes primarily from his 13% stake in Meta (formerly Facebook), the company he co-founded as a Harvard student who just wanted to make stalking classmates a little easier. 

But it’s not just the growing Facebook revenue that has continued to fill Zucks pockets. You see, after facing off with TikTok’s short-video dominance and a massive stock sell-off two years ago, Meta decided to pull out all the stops. A 25% workforce reduction, a $50 billion stock buyback, and—get this—their first-ever dividend. Oh, and they’re throwing billions into AI because why not?

So naturally, this has sparked a newfound sense of investor confidence to fuel the 60% rally so far this year. Especially since the AI craze has been a major value boost for quite a few companies in 2024, with Meta being one to benefit handsomely from it. 

(Source: Forbes) 

Why? Well, because while justification to burn money on AI has propped companies like Nvidia, TSMC, and other chip manufacturers -  It's also done the same for companies like Meta (who are trying to leverage the AI boom within their own Metaverse ambitions). 

For instance, since acquiring Oculus in 2014, Meta has sunk over $65 billion into its VR and AR ambitions. That’s a lot of cash, and so far, with not so stellar returns to write home about (yet). For example, Reality Labs, Meta’s division responsible for all things metaverse, lost $13 billion in 2022.

(Source: Petapixel) 

But still, that’s apparently a blimp on investors' radars now that the Orion glasses have caught eyes while Zucks new Quest 3S (which we dove into here) is shoving “affordability” into Apples friggin face. See: Meta has already sold over 15 million Quest headsets.

(Source: CNBC) 

On the other hand, let’s not dismiss the fact that Zuck’s personal glow-up is almost as impressive as his company’s. Gone are the days of the hoodie-wearing, awkward-geek persona. Now? He’s wakesurfing, training in martial arts, and even commissioned a 7-foot statue of his wife. Look good, play good, amirite?

(Source: Mashable) 

In the end, though… It's definitely clear that Meta is still a force to be reckoned with and Zuck is clearly riding the massive wave it’s surfing on. And while some may say that the Metaverse is wishful thinking, Zucks newfound $201 billion fortune definitely says otherwise. So what’s the takeaway to all of this? Well nothing really, other than Meta’s stock is clearly exploding due to the Zucks Metaverse ambitions somewhat coming to fruition…

(Source: Business Insider) 

But the real moral of the story to ponder on this Sunday is: Never underestimate the Metaverse dreams of a guy who turned your Facebook feed into a data-mining goldmine. 

In the meantime, keep an eye on Meta as we head towards tomorrow's opening bell and as always, stay safe and stay frosty, friends! Until next time… 

PS: We failed. Yep, you read that right. We didn’t hit our usual triple-digit target. Instead, our Wednesday pick only shot up 60%. Is that a letdown? Maybe for perfectionists, but to be honest, we’ll still take it. Want in on our next potential 100%+ winning trade alert? Click here to become a premium member.

Stocks.News holds positions in Meta Platforms as mentioned in the article.