"I think people are exhausted by Facebook, they are exhausted by having to deal with a company that doesn't seem to recognize that they don't have a lot of friends," TheStreet's founder Jim Cramer said on his 'Cramer Live' podcast (below). "I think they feel as though they are liked so to speak, and they're not."
For Cramer and his Action Alerts Plus research team, it saw the writing on the wall months ago for long-time holding Facebook.
"Taking a step back, we identified Facebook as a position that we needed to right-size early on in 2018, trimming shares at higher prices at the end of January, and also in late February," the Action Alerts Plus team told club members Monday. "We acted on the stock out of our disciplined portfolio management style as the position represented over 6% of the portfolio, thus carrying too much single stock risk -- simultaneously, we locked in terrific triple-digit gains and raised funds during a critical time of market volatility."
To be sure, the Facebook short-sellers are anything but tired out. In fact, they are hoping the selling continues.
Facebook short-sellers have netted $326 million in paper profits from Mar. 12 to Mar. 19, according to S3 Analytics. More broadly, those shorting FAANG (Facebook, Amazon (AMZN) , Apple (AAPL) , Netflix (NFLX) and Alphabet (GOOGL) ) have made in $1.59 billion in paper profits since Mar. 12.