Last Friday, Facebook shares slid down more than 4% as CEO Mark Zuckerberg announced changes to the platform that may translate to a negative impact on user engagement.

Zuckerberg said that they will be adjusting the News Feed to display more from the user’s family and friends while reducing non-ad posts from businesses and brands.

In a research note, Stifel analyst Scott Devitt said that he is changing his recommendation from “buy” to “hold” since there’s too much uncertainty surrounding the economic impact of Facebook’s recent decision. However, some hedge funds took advantage of the price drop to add to their positions, according to senior Wedbush trader Joel Kulina.

Source: Reuters

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