Tech

What data scandal? Facebook's stock notches an all time high, shrugging off user privacy woes

Key Points
  • Facebook gained 5 percent in Friday trade, notching a fresh all-time high.
  • The move pushed Facebook's market value past $588 billion and buoyed CEO Mark Zuckerberg's net worth.
  • The gains mark a complete recovery from March, when Facebook shares hit a 52-week low in the wake of a data scandal.
Facebook CEO Mark Zuckerberg arrives at the European Parliament on May 22, 2018.
John Thys | AFP | Getty Images

Facebook's stock closed at a record on Friday, gaining nearly 5 percent as the company shook off the effects of a privacy scandal that engulfed it earlier this year.

The social network's shares soared to an all-time intraday high of $203.64 a share, before closing at a new record just below that price. That translated Facebook's market value to nearly $590 billion.

Facebook's move pushed CEO Mark Zuckerberg’s net worth closer to the top of the list in rankings of the world’s wealthiest, and he now sits in third place on the Bloomberg Billionaires Index, just ahead of Warren Buffett. Around market close, the tech executive briefly passed the Berkshire Hathaway billionaire. Bloomberg estimates the Zuckerberg is now worth $79.7 billion. He is ranked as the fifth wealthiest person in the world on Forbes' list, just behind LVMH CEO Bernard Arnault. Forbes estimates that Zuckerberg is worth about $77.1 billion.

When will the tech rally end?
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When will the tech rally end?

Friday’s gains mark a complete recovery from March, when Facebook shares hit a 52-week intraday low of $149.02 per share, following reports the company mishandled data from about 87 million users.

Facebook's data woes are far from over, although investors no longer seem concerned. On Monday, the social media company confirmed that the FBI, SEC, and FTC have all joined the Justice Department in asking questions about user data being improperly shared with political consulting firm Cambridge Analytica.

Facebook shares dipped after the reports, but made a strong comeback later in the week. The stock has gained about 15 percent so far in 2018.