Twitter (TWTR) Upgraded to “Buy” by Zacks Investment Research
Twitter (NYSE:TWTR) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a note issued to investors on Thursday, Zacks.com reports. The firm currently has a $39.00 price objective on the social networking company’s stock. Zacks Investment Research‘s target price points to a potential upside of 12.72% from the stock’s current price.
According to Zacks, “Twitter continues to add features and ramp up its security measures to boost engagement levels. The company’s new in-app camera feature strengthens its competitive position against the likes of Snapchat and Facebook’s Instagram. Twitter is also benefiting from strong growth in international markets and video advertisements. Growing adoption of video ad products like Video Website Cards & Video App Cards will drive the top line. Moreover, Twitter remains focused on live and is now exploring beyond just news. The series of live streaming deals are a step in that direction. However, its shares have underperformed the industry in the past year. Lack of revenue diversification is a major concern as the company is dependent on advertising.”
A number of other brokerages also recently weighed in on TWTR. Vertical Group raised shares of Twitter from a “hold” rating to a “buy” rating in a research note on Monday, January 28th. Wedbush restated a “neutral” rating on shares of Twitter in a report on Monday, February 11th. Guggenheim raised their price target on shares of Twitter from $33.00 to $41.00 and gave the stock a “buy” rating in a report on Thursday, April 4th. Goldman Sachs Group restated a “buy” rating and issued a $36.00 price target on shares of Twitter in a report on Friday, February 8th. Finally, Bank of America upgraded shares of Twitter from an “underperform” rating to a “buy” rating and set a $39.00 price target for the company in a report on Thursday, January 10th. Two investment analysts have rated the stock with a sell rating, nineteen have assigned a hold rating and seventeen have assigned a buy rating to the company’s stock. The stock has an average rating of “Hold” and a consensus target price of $35.79.
Twitter (NYSE:TWTR) last announced its earnings results on Thursday, February 7th. The social networking company reported $0.31 earnings per share for the quarter, topping analysts’ consensus estimates of $0.16 by $0.15. Twitter had a net margin of 39.63% and a return on equity of 8.08%. The business had revenue of $908.84 million during the quarter, compared to the consensus estimate of $864.87 million. During the same quarter last year, the firm earned $0.19 earnings per share. Twitter’s quarterly revenue was up 24.2% on a year-over-year basis. As a group, equities analysts expect that Twitter will post 0.46 earnings per share for the current fiscal year.
In related news, CAO Robert Kaiden sold 4,676 shares of the firm’s stock in a transaction dated Friday, February 1st. The shares were sold at an average price of $33.88, for a total transaction of $158,422.88. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CFO Ned D. Segal sold 6,000 shares of the firm’s stock in a transaction dated Tuesday, February 12th. The shares were sold at an average price of $30.38, for a total transaction of $182,280.00. The disclosure for this sale can be found here. Insiders have sold 1,464,431 shares of company stock valued at $46,652,981 over the last quarter. Corporate insiders own 6.62% of the company’s stock.
Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Financial Gravity Companies Inc. bought a new stake in shares of Twitter in the fourth quarter valued at approximately $27,000. JOYN Advisors Inc. raised its position in shares of Twitter by 258.5% in the fourth quarter. JOYN Advisors Inc. now owns 1,018 shares of the social networking company’s stock valued at $29,000 after purchasing an additional 734 shares during the period. Mosaic Family Wealth LLC raised its position in shares of Twitter by 47.3% in the fourth quarter. Mosaic Family Wealth LLC now owns 1,106 shares of the social networking company’s stock valued at $32,000 after purchasing an additional 355 shares during the period. Moody National Bank Trust Division raised its position in shares of Twitter by 92.6% in the first quarter. Moody National Bank Trust Division now owns 994 shares of the social networking company’s stock valued at $33,000 after purchasing an additional 478 shares during the period. Finally, Legacy Financial Advisors Inc. raised its position in shares of Twitter by 5,495.2% in the fourth quarter. Legacy Financial Advisors Inc. now owns 1,175 shares of the social networking company’s stock valued at $34,000 after purchasing an additional 1,154 shares during the period. 68.37% of the stock is currently owned by institutional investors.
Twitter, Inc operates as a platform for public self-expression and conversation in real time. The company offers various products and services, including Twitter, a platform that allows users to consume, create, distribute, and discover content; and Periscope, a mobile application that enables user to broadcast and watch video live with others.
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