Facebook's stock falls after Stifel downgrades, citing 'too many adversaries'
Shares of Facebook Inc. dropped 2.6% in premarket trade Thursday, after Stifel Nicolaus analyst Scott Devitt downgraded the social media company, citing concerns that the company's management team has created "too many adversaries," including politicians, consumers and employees, to not experience long-term negative ramifications. Devitt cut his rating to hold, after raising it to buy on April 26. "The political and regulatory blowback seems like it may lead to restrictions on how Facebook operates, over time," Devitt wrote in a note to clients. "Most importantly, consumers and some employees seem to have grown disenchanted with the company."