Twtr stock buy or sell?
Twtr stock buy or sell after earnings? That is the question many are asking.
Twitter stock went up yesterday, even though the overall market was down big. The company earned 19 cents per share, which was 5 cents above analysts expectations. Revenue was above expectations, as Twitter earned $732 million vs. the consensus estimate of $686.1 million. It was their first net profit.
While these news were wonderful to most, I was a bit disturbed at the fact that monthly active users did not meet expectations. The 330 million was under the expected 332.5 million. This news troubled me. As Snapchat raised their monthly users by a big margin, referred by the article “Snap Earnings Surprise“, Twtr added only 4% growth. Twitter said MAUs were lower due mostly because of them deleting fake accounts and other reasons.
Another worry for Twitter will be that their Chief Operating Officer Anthony Noto is leaving the company on March 1st. Twitter shares have doubled since August. Mr. Noto definitely has something to do with this. Analysts, correctly, are concerned with this fact as well.
While the stock has been resurrected, I do not know if they will hit their metrics right off the bat. The stock is above the 30’s, and it might stay here for a little while. Twtr stock buy or sell? If I am forced to make one decision, I choose to sell for a better price later.