Why BuzzFeed Stock Plunged 33% Last Month
Shares of BuzzFeed (NASDAQ: BZFD) plunged 32.6% in February, according to data provided by S&P Global Market Intelligence. There is some news that might somewhat explain the drop during the month. However, I think February's decline should be kept in context: BuzzFeed stock was up over 200% in January, and it seems some of the buzz has worn off.
In January, BuzzFeed reportedly landed a new partnership with Meta Platforms. And it also announced that it was going to lean on OpenAI's artificial-intelligence tools for content generation, which could make its operations more efficient in theory. The market loved these developments and sent the stock soaring.
In February, Comcast cashed in on January's gains. On Feb. 1, Comcast owned over 25.1 million shares of BuzzFeed -- nearly 20% of the company. However, regulatory filings on Feb. 6 revealed that Comcast had sold over 5 million shares of BuzzFeed.
Source Fool.com
