Shares in Facebook fell by more than 2 per cent on Wednesday at the US stock market open, taking losses so far this week to more than 11 per cent, amid the erupting scandal around Cambridge Analytica.

Wednesday is the third consecutive day that Facebook’s share price has fallen and follows several brokers and investment banks cutting their share price targets for the group.

The latest losses mean that more than $57bn has now been wiped off the market value of Facebook over the last week – a sharp turnaround for the company that has enjoyed a share price surge of over 500 per cent in the last five years.

Rival tech company Twitter’s share price rose by more than 3 per cent on Wednesday.

DZ Bank, a brokerage, said that it had slashed its Facebook share price target for investors by $20 to $210, which is still significantly above the $163 where stock is currently trading, but shows that the analysts are conscious of the risks.

Credit Suisse analyst Stephen Ju wrote in a note that he thinks the stock will be “subject to further headline risk in the coming weeks as senior management is summoned to DC for hearings with lawmakers”.

Other analysts have noted that the developments could start eating into user figures amid a high-profile social media campaign calling for people to delete their accounts.