facebook stock, wall street journal, mark zuckerberg
Facebook stock plunged mid-day after the Wall Street Journal published a bombshell report connecting Mark Zuckerberg with questionable privacy practices. | Source: AFP PHOTO / JOSH EDELSON

By CCN Markets: Facebook stock plunged during mid-day trading on Wednesday after the Wall Street Journal published a bombshell report connecting CEO Mark Zuckerberg with questionable privacy practices at the social media behemoth.

Facebook Stock Drops Nearly 3% in Minutes After WSJ Publishes Report

FB shares dropped as low as $172.88 in the immediate aftermath of the report’s publication, knocking the stock nearly 3% off its previous close at $178.10.

facebook stock
A bombshell Wall Street Journal report sent Facebook stock into a tailspin. | Source: Yahoo Finance

According to the Wall Street Journal, an FTC investigation had spurred the discovery of a trove of potentially-damning emails linking Mark Zuckerberg to controversial privacy scandals that have roiled Facebook in recent years.

Per the report, Facebook itself unearthed those emails and turned them over to the FTC, and anonymous sources familiar with the matter say they could slap the company with a public relations nightmare if they ever become public.

Report: Emails Show Mark Zuckerberg Flaunting Facebook User Privacy

Wall Street Journal reporters did not have access to the email transcripts, but sources told the publication that the emails show that Mark Zuckerberg and other Facebook employees were aware – and alarmingly cavalier – about third-party developers having the ability to engage in mass data collection of Facebook users.

It’s not clear whether the email exchange would violate an FTC consent decree that has been in place since 2012. Facebook denies any wrongdoing.

“We have fully cooperated with the FTC’s investigation to date and provided tens of thousands of documents, emails and files. We are continuing to work with them and hope to bring this matter to an appropriate resolution,” a Facebook spokesperson said. “Facebook and its executives, including Mark, at all times strive to comply with all applicable law, and at no point did Mark or any other Facebook employee knowingly violate the company’s obligations under the FTC consent order.”

Zuckerberg: ‘The Future is Private’ – And Facebook Will Be Too

Facebook, Mark Zuckerberg
Mark Zuckerberg claims that Facebook will be a champion for privacy – moving forward, anyway. | Source: AP Photo/Marcio Jose Sanchez, File

While privacy scandals have hounded Facebook in the past, Zuckerberg claims that the company has turned a corner.

Earlier this year, he claimed that the social media company would become a “privacy-focused communications” platform. “The future is private,” he said.

Facebook stock last traded at $174.12 for a decline of 2.23%.

Read the full Wall Street Journal report here.

This is breaking news. Check back for updates.

This article was edited by Josiah Wilmoth.

You May Also Like

Spend Your $1,000 Wisely on Cyber Monday. Consider These 4 Stocks

The average consumer will spend $1,000 this holiday season. Don’t be average, consider making your money work for you with these stocks.

Deutsche Bank Reveals the Real Reason Stock Market Is at All-Time Highs (& Why It Can’t Continue)

The US stock market is at all-time highs, but what’s driving this ten-year bull market? It’s stock buybacks, according to Deutsche Bank.

Dow Futures Rocket but Warren Buffett’s $128 Billion Skips Overpriced Market

Dow Jones Industrial Average (DJIA) futures point to new stock market highs, so why is Warren Buffett reluctant to invest?

US Steel (NYSE:X) Needs More Than Trump Tariffs to End 2019 in the Green

US Steel (NYSE:X) rose swiftly after President Donald Trump announced the reimposition of tariffs on imports from Brazil and Argentina.

Elon Musk’s Inspiration for the Lame Cybertruck Was a James Bond Movie

The Tesla Cybertruck may have been inspired by some cool vehicles, but that doesn’t mean truck-owners will get on board with the design.

Dow Pops While Trump Trade War Hits Unsettling Milestone

The Dow kicked off December with a recovery, but stock market bulls must wrestle with an unsettling trade war milestone.