Twitter Upgraded by SunTrust to “Buy” (TWTR)
Twitter (NYSE:TWTR) was upgraded by equities research analysts at SunTrust from a “neutral” rating to a “buy” rating in a research note issued to investors on Monday, TheFlyOnTheWall.com reports. The firm currently has a $45.00 price objective on the stock, down from their previous price objective of $50.00. SunTrust’s price objective indicates a potential upside of 39.49% from the company’s current price.
The analysts wrote, “platforms of the internet,” meaning platforms on the size and scale of Amazon, Google, LinkedIn, etc are difficult to build. Speaking to the benefits of owning one of the platforms, Peck stated “The leverage that can be created by these unique assets can be financially powerful and provide interesting optionality over time”. Addressing the decrease in Twitter’s user growth, Peck stresses the importance of Twitter’s capability to rapidly expand revenue growth and expanding profitability by narrowing the 50% monetization gap to Facebook on a per MAU (Monthly Active User) basis. Peck estimates Twitter could “monetize revenues by 9% of the rate of Facebook”
In other Twitter news, VP Christopher Fry sold 40,180 shares of Twitter stock in a transaction dated Thursday, May 15th. The shares were sold at an average price of $32.46, for a total transaction of $1,304,242.80. The transaction was disclosed in a document filed with the SEC, which can be accessed through this link.
Twitter (NYSE:TWTR) opened at 32.26 on Monday. Twitter has a 52 week low of $29.51 and a 52 week high of $74.73. The stock’s 50-day moving average is $40.37 and its 200-day moving average is $50.44. The company’s market cap is $18.395 billion. Twitter also saw a large growth in short interest in the month of April. As of April 30th, there was short interest totalling 50,098,350 shares, a growth of 7.2% from the April 15th total of 46,744,485 shares. Currently, 19.5% of the company’s shares are sold short. Based on an average trading volume of 15,312,281 shares, the days-to-cover ratio is currently 3.3 days.
Twitter (NYSE:TWTR) last issued its quarterly earnings data on Tuesday, April 29th. The company reported ($0.22) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.03) by $0.19. The company had revenue of $250.00 million for the quarter, compared to the consensus estimate of $240.90 million. During the same quarter in the previous year, the company posted ($0.08) earnings per share. The company’s revenue for the quarter was up 119.7% on a year-over-year basis. On average, analysts predict that Twitter will post $0.04 earnings per share for the current fiscal year.
Other equities research analysts have also recently issued reports about the stock. Analysts at Bank of America upgraded shares of Twitter from an “underperform” rating to a “neutral” rating in a research note on Friday, May 9th. They now have a $36.00 price target on the stock. Separately, analysts at Morgan Stanley upgraded shares of Twitter from an “underweight” rating to an “equal weight” rating in a research note on Thursday, May 8th. They now have a $36.00 price target on the stock. Finally, analysts at Topeka Capital Markets reiterated a “buy” rating on shares of Twitter in a research note on Wednesday, April 30th. They now have a $60.00 price target on the stock. Five research analysts have rated the stock with a sell rating, eighteen have given a hold rating and ten have issued a buy rating to the company’s stock. The stock has an average rating of “Hold” and an average target price of $45.67.
Twitter, Inc (NYSE:TWTR), is a global platform for public self-expression and conversation in real time.
Get Analysts' Upgrades and Downgrades via Email - Stay on top of analysts' coverage with Analyst Ratings Network's FREE daily email newsletter that provides a concise list of analysts' upgrades and downgrades. Click here to register now.