rtmark
LearnBonds.com

Twitter Inc: Should You Read into Insider Selling Ahead of Earnings?

Twitter Inc (NYSE:TWTR) Walt Disney Co (NYSE:DIS)

Twitter Inc (NYSE:TWTR) did not have the best of runs last year, having been under immense pressure on failing to trigger user growth to the Street’s liking while falling prey to Facebook Inc. (NASDAQ:FB)’s dominance of the space. Things could finally be looking up for the embattled social network as a series of new features on the microblogging site continue to show signs of promise.

twitter inc nyse:twtr

A revamped homepage is just an indication of how focused CEO, Dick Costolo, is, on rebooting growth in the company, especially on user growth front. However, the networking platform continues to struggle with its same old problem of being perceived complicated compared to other networking platforms.

The addition of the ability to browse tweets by topic was seen as a major milestone, but not yet there in alleviating the complicated perception of the platform. Costolo has already reiterated that the company needs to accelerate the pace of its product change to make it more exciting, engaging, and less complicated. Ahead of the earnings call it is evidently clear that Twitter Inc (NYSE:TWTR) has a lot to do if it is to attain the mainstream status as Facebook.

The addition of Periscope app that allows people to upload live video streams is just an indication of how the company is trying to make the platform more exciting. Users can now send messages to a group as well as receive messages from strangers as part of the new upgrade.

However, SunTrust Robinson Humphrey analyst, Robert Peck, is raising skepticism on the ability of the new product changes to draw more users. The analysts has consequently downgraded the stock to a neutral having also raised concerns on its advertising business

Twitter only boasts of 288 million active users, a fate that has significantly affected its advertising business as advertisers push for platforms that can guarantee greater reach. Peck is also raising issue with suggestions that Twitter Inc (NYSE:TWTR)’s systems continue to air ads from top brands next to explicit content, something he believes could hurt the company’s prospect on the advertising front

Analysts at Axiom expect Twitter Inc (NYSE:TWTR) to post solid earnings, having reiterated a ‘buy’ rating on the stock with a share price target of $63. The research firm expects the research firm to show user growth in line with guidance.

However, the stocks long term prospect has been thrown into disarray after one of the company’s director offloaded a huge chunk of his holdings ahead of the earnings. Evan Williams is believed to have sold a total of 468,000 shares in a transaction worth $24,047,298.

Trusted & Regulated Stock & CFD Brokers

Rating

What we like

  • 0% Fees on Stocks
  • 5000+ Stocks, ETFs and other Markets
  • Accepts Paypal Deposits

Min Deposit

$200

Charge per Trade

Zero Commission

Rating

64 traders signed up today

Visit Now

75% of investors lose money when trading CFDs.

Available Assets

  • Total Number of Stocks & Shares5000+
  • US Stocks
  • German Stocks
  • UK Stocks
  • European
  • ETF Stocks
  • IPO
  • Funds
  • Bonds
  • Options
  • Futures
  • CFDs
  • Crypto

Charge per Trade

  • FTSE 100 Zero Commission
  • NASDAQ Zero Commission
  • DAX Zero Commission
  • Facebook Zero Commission
  • Alphabet Zero Commission
  • Tesla Zero Commission
  • Apple Zero Commission
  • Microsoft Zero Commission

Deposit Method

  • Wire Transfer
  • Credit Cards
  • Bank Account
  • Paypall
  • Skrill
  • Neteller

Rating

What we like

  • Sign up today and get $5 free
  • Fractals Available
  • Paypal Available

Min Deposit

$0

Charge per Trade

$1 to $9 PCM

Rating

Visit Now

Investing in financial markets carries risk, you have the potential to lose your total investment.

Available Assets

  • Total Number of Shares999
  • US Stocks
  • German Stocks
  • UK Stocks
  • European Stocks
  • EFTs
  • IPOs
  • Funds
  • Bonds
  • Options
  • Futures
  • CFDs
  • Crypto

Charge per Trade

  • FTSE 100 $1 - $9 per month
  • NASDAQ $1 - $9 per month
  • DAX $1 - $9 per month
  • Facebook $1 - $9 per month
  • Alphabet $1 - $9 per month
  • Telsa $1 - $9 per month
  • Apple $1 - $9 per month
  • Microsoft $1 - $9 per month

Deposit Method

  • Wire Transfer
  • Credit Cards
  • Bank Account
All trading carries risk. Views expressed are those of the writers only. Past performance is no guarantee of future results. The opinions expressed in this Site do not constitute investment advice and independent financial advice should be sought where appropriate. This website is free for you to use but we may receive commission from the companies we feature on this site.
Avatar

Viraj loves to write and express his views on anything related to Finance, Crypto, or Fintech. He has been covering Finance & Crypto for more than five years now. He likes Tesla. He also writes on Healthcare, and Technology among other stuff.