Twitter is ‘toast’ and the stock is not even worth $10: Analyst
Twitter is “toast” as a company and the stock is not even worth $10, according to a research note published Tuesday, following the departure of another top executive at the social media service.
The microblogging platform’s chief technology officer, Adam Messinger, tweeted that he would leave the company and “take some time off”, while Josh McFarland, vice president of product at Twitter, also said he was exiting the company. Both executives announced their departure on Tuesday.
Meanwhile, last month, Adam Bain stepped down as chief operating officer last month to be replaced by chief financial officer Anthony Noto, who has yet to be replaced. Twitter has also lost leaders from business development, media and commerce, media partnerships, human resources, and engineering this year.
The departures prompted Trip Chowdhry, the managing director of equity research at Global Equities Research, and a noted “uber-bear” on tech stocks, to issue a note on Tuesday claiming Twitter is “toast” and “not even a $10 stock”.
Source: Twitter is ‘toast’ and the stock is not even worth $10: Analyst
I found this part interesting:
Chowdhry said that many pollsters used Twitter data to predict a Hillary Clinton win in the U.S. election but the fact that Donald Trump won shows that data quality is poor. One reason for this is too many fake users on the platform, Chowdhry claims.
This manages to be dumb about how polling works, how people use Twitter, and the meaning of “data quality” all at once.Report
You’d think they’d be better about bots, given they massively screw with the whole point of Twitter.
On the other hand, bots massively inflate their user figures and thus their stock price.Report
morat20,
The better pollster looking at Facebook and twitter had 70/30 on Trump winning, a full month out from election day, and got more insistent (and smug) as the election approached.
Wouldn’t be at all surprised if he was pulling IP addresses and aggregating tweets though.Report
The world might be a better place if Twitter goes under.Report
At least Americans won’t be roused from sleep by the wit and witticism of their leader’s random thoughts.Report
Amen brother!Report
My thoughts exactly.Report
The departures prompted Trip Chowdhry, the managing director of equity research at Global Equities Research, and a noted “uber-bear” on tech stocks, to issue a note on Tuesday claiming Twitter is “toast” and “not even a $10 stock”.
How is this a story, that an “uber-bear on tech stocks” says a particular tech stock is overvalued?
Up next: An unnamed source in the Vatican claims that the Pope is Catholic.Report
And an expert in ursinology, just back from a trip to Sequoia National Forest, has a fascinating piece of research to share.Report
No shit?Report
Goddamn it Kolohe! My keyboard!Report
Well, if your COO, CTO and VP of Product for your one (1) product leave… in the tech world, you pretty much are toast. Not necessarily because your technology is bad, but more likely because your technology isn’t all that difficult and nobody wants to buy it. Your network effect might look good, but without some sort of technology moat, that’s a little bit like buying a flock of birds. One moment you have them, the next moment they are off to the next shiny.
Everyone and their brother has a version of twitter… My takeaway is that when the top execs abandon their future RSU’s is that the future RSU’s can’t be sold. Silicon Valley execs are the most fickle of canaries; but canaries they are.
Silicon Valley execs follow the easy money – mostly because they are awash in opportunities -but brave fighters for technology they believe in they are not. Business is business and there’s always a chance for a turn around, but this reeks of insiders having their business examined and found wanting.Report
Last night, I was talking to a friend who is an editor for markets coverage at one of the bigger financial news sites. He said that the reporters basically sit around reading analyst notes. And when they find one that they think is interesting (i.e. will drive clicks), hey type up a summary and publish it as a story.
The writers don’t really have the skills to evaluate the research or go so far as to vet the analyst or see what their track record is. So this stuff leans towards the contrarian and the hot take.Report
ps – I’ve never gotten he Twitter hate. I have Twitter and I follow people who I know, people who I find interesting, and publications whose articles I might like to read.
Unless you’re one of the small number of people to run afoul of a Twitter mob, your experience is completely customizable. So, if your Twitter feed is garbage it may be because you’re interested in garbage.Report