Dow Jones industrial average fell below 17,000 today as investors wait for the quarterly reports which will help them determine the future moves. Twitter Inc (NYSE:TWTR) came down by 7%. Discussing the reasons behind Twitter’s sell off in a program at CNBC, experts shared different thoughts on Twitter market future.
Robert Peck, analyst at SunTrust Robinson Humphrey, said that Twitter Inc (NYSE:TWTR) came down but there are great chances that it will go high in the coming days. According to Peck, Twitter is still a buy stock.
Peck said that Twitter Inc (NYSE:TWTR) recently fired the COO and hired a new CFO to get things back in business. He that the investors can now expect something good from Twitter after the first quarterly report and detailed analysis.
“When we upgraded the stock at $32, our call was that this doesn’t need to be Facebook Inc (NASDAQ:FB), this doesn’t need to be 1.2 billion users. It can be a small user base, and their monetization levels are so much lower than Facebook Inc (NASDAQ:FB),” said Peck.
He said that MoPub, a startup that helps mobile publishers manage their ad inventory is a great asset for Twitter Inc (NYSE:TWTR) which can be making several million dollars for the company. He said that MoPub is one of the rare mobile networks we have these days that can actually deliver and Twitter made a great decision by acquiring it.
Another expert said that $35 was a good milestone to be achieved by Twitter, but still it doesn’t make it a ‘Buy’ stock because as soon as the stocks break, people pull off and everyone tries to get out of the weak stocks. He said the Twitter will go down in the coming days and this is the reason it’s not from the buy category.
Third expert said that Twitter Inc (NYSE:TWTR) has 255 million active users last quarter according to the company but in the last quarter, the users were more active because of the sports tournaments that took place one after the other and everyone was using Twitter for game updates and real-time search.