For now, Facebook is dealing with the fallout from its lackluster IPO.

When asked if the slumping stock price was affecting employee retention and morale, Zuckerberg, who was wearing his typical T-shirt, jeans and sneakers, responded, "Well, it doesn't help."

However, he also went on to say that this isn't the first time people have bet against the company and it probably won't be the last.

"This isn't the first up and down that Facebook has ever had," Zuckerberng added. "We go in waves. At times people think every thing we're doing is awesome and there are times when people are really pessimistic. I'd rather be in this cycle where people underestimate us. It gives us latitude to go out and make some big bets."

However, Zuckerberg was very clear that one of those big bets will not be to build a smartphone.