Earnings Outlook: Facebook earnings: As Facebook is called ‘digital tobacco,’ advertisers’ loyalty is biggest question

After the largest stock drop in its history and weeks of negative news, Facebook Inc. will have to reveal if it has faced recriminations from its most important customers: Advertisers.

The months following a July earnings report that was devastating to FacebookFB, -3.70% stock have not been kinder to the social-media giant. The company disclosed another hack involving millions of people, has detailed efforts to halt the spread of misinformation on the platform, and has been faced with allegations it sought access to financial firms’ customer data, among other issues.

As the company prepares to report third-quarter earnings Tuesday after the market closes, most of that decline remains.

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