In an article on Investor Place, it was reported that Twitter Inc (NYSE:TWTR) is facing some massive challenges. The company is losing its talent. It is confused about its strategies and product placement. As a result, the stock has gone down no less than 40% this year. The problem is insider sellings for Twitter Inc (NYSE:TWTR). In order to balance the equity share and get cash, company executives keep selling stock but Twitter Inc (NYSE:TWTR)’s CEO Dick Costolo is rigorously selling the stock of the company which is raising many questions.
Twitter Inc (NYSE:TWTR) has experienced around $50 million of insider sellings on November. Dick Costolo has now only 141,730 shares of the company which is flummoxing for the investors. The source also mentioned a recent meeting in which, Costolo tried to calm down angry investors who are worried about Twitter Inc (NYSE:TWTR) future. Costolo promised that the company’s user base could hit 2 billion and the revenues will go up to $11 billion in the coming year. But the insider sellings from Costolo does not depict his trust in the company. If there is a growth potential then why is he selling the stock in such big numbers, asked the source.
The article recommends investors to sell Twitter Inc (NYSE:TWTR) stock. Costolo is the main culprit behind the plummeting of Twitter Inc (NYSE:TWTR). He is opting for a scattershot strategy. He is not focused and jumps from one idea to another. The company needs to make its product easy to use and more focused. The article said that Twitter Inc (NYSE:TWTR) must follow the model of Mark Zuckerberg, who decides and stick to the product curve instead of making haphazard changes.