Meta Platforms (META) Stock Plunges 8% Following Dual Child Safety Lawsuit Defeats

Key Takeaways Meta’s stock declined approximately 8%, eliminating $119 billion in market value within one trading day California jurors determined Meta’s social platforms were intentionally built to create addictive patterns in minors without adequate warnings New Mexico jurors awarded $375 million in damages against Meta for insufficient protection of children from predatory behavior CEO Mark Zuckerberg testified he rejected internal proposals to remove Instagram’s beauty filter features The company confronts thousands of comparable legal actions across the United States, United Kingdom, and Canada Meta Platforms experienced a devastating Thursday trading session, plummeting approximately 8% following two separate jury decisions related to child protection failures on its social media platforms. The massive selloff wiped out $119 billion in market capitalization during a single day of trading, dragging META shares down to a 52-week low of $547.75. Meta Platforms, Inc., META The significant decline pushed Meta below Tesla in total market capitalization, relegating the social media giant to the tenth-largest position among US corporations — a ranking it last occupied in September 2023. BREAKING: Jury finds Meta, Google liable in landmark social media addition trial, awards $3M in damages — Fox News (@FoxNews) March 25, 2026 In California, a Los Angeles jury spent nine days deliberating before concluding that Meta’s Instagram platform and Google’s YouTube were intentionally engineered to create addictive behaviors in children. Both technology companies were determined to have neglected proper warning disclosures about potential risks. The jury assigned Meta responsibility for 70% of the liability, amounting to $4.2 million in compensatory damages, while Google received 30% of the blame. A second devastating verdict emerged from New Mexico, where another jury ruled that Meta failed in its duty to safeguard children using its applications from predatory adults. This ...