Confidence in Mark Zuckerberg's ability to navigate his social networking ship through rough financial waters is beginning to waver. Investors reacted negatively to Facebook's second quarter financial report, sending shares of the social network down almost 15 percent in after market trading, after it had already dipped 8 percent during regular trading hours on Thursday.
Facebook, which debuted at $38 per share when it went public, is down to just over $23. This is despite the fact that Facebook's revenue grew 32 percent in Q2, according to a report in The Washington Post . Facebook's revenue was higher than expected, but the devil is in the details.
Profits weren't all that great, and Facebook's membership hasn't grown as quickly as investors would like, which is worrisome in terms of long-term growth potential. Investors were also concerned that revenue growth has slowed overall, at least compared to a few quarters ago when revenue more than doubled, the LA Times reports .