Facebook Inc (NASDAQ:FB) or Twitter Inc (NYSE:TWTR), which is better? Exactly this was discussed by the Fast Money traders in a recent segment on CNBC.
Guy Adami is optimistic about Facebook Inc (NASDAQ:FB). He said that at this levels and counting that the world’s biggest social networking company has not done anything significant lately, he believes that the company’s stock will reach $75 ahead of earnings. Furthermore, the Fast Money contributor said that analysts have to catch up.
Adami also noted that fellow Fast Money traders Timothy Seymour “did a great job” and Steven Grasso “is well holding on”. He also pointed out that Seymour did a great job buying Twitter Inc (NYSE:TWTR) with a $29 handle in May. He added that Facebook Inc (NASDAQ:FB) is running its course. However, he admitted that the stock had room to $45 while adding that the fundamentals line up for the social media giant ahead of its performance report in July.
Meanwhile, Melissa Lee asked Grasso how long he has been in Twitter Inc (NYSE:TWTR) to which the trader replied “forever”. Lee then asked whether the stock’s rise is a comeback of momentum stocks overall or whether it’s a story that’s specific to the company. Grasso answered by saying that he thinks it is both.
He added that he thinks that everyone who wanted to be out of Twitter Inc (NYSE:TWTR) sold the stock. As a result, what the market gets now is people who either believe in the company’s story or want to catch momentum to outperform the overall market.
He reminded people that resistance is at $42 and 100-day moving average is at $44. He said that if he were a new buyer, he would wait for the stock to breach and surpass those points before buying.
Facebook Inc (NASDAQ:FB) shareholders includes Kenney Y. Oh’s Seastone Capital Management which reported a stake that contained 465,623 shares in the company by the end of March. Another shareholder is Robert Boucai’s Newbrook Capital Advisors which reported 451,176 in the same period.
Twitter Inc (NYSE:TWTR) investors includes the hedge fund Zenit Asset Management Ab managed by Patrik Brummer which reported, by the end of the first quarter of the year, a stake that is comprised of 100,000shares. Van Schreiber’s Bennett Lawrence Management also said by the end of March, that it had 69,200 shares in the company.