The stock price of Twitter Inc (TWTR) has risen by over 2.18% today. This rise was a good news for them after the stock fell by over 8% last Friday. The stock closed at $16.83 on Tuesday.
The San Francisco based company is an online social networking service that enables users to send and read short 140-character messages called “tweets”. Registered users can read and post tweets, but those who are unregistered can only read them. Users access Twitter through the website interface, SMS or mobile device app. Twitter Inc. and has more than 25 offices around the world.
Twitter is scheduled to report results for its third quarter on Thursday, Oct. 27, after market close. The quarterly update notably follows recent wild swings in the company’s stock price as buyout rumors sent shares up and down. When the company reports results, investors will look for more clarity on Twitter’s plan to address rapidly decelerating revenue growth.
Meanwhile, Twitter’s poor image led it to lose the deal it had with The Walt Disney Company. The micro-blogging network is often used for bullying and abusive behavior, and this reputation might harm the media giant’s wholesome image if case it pursued a deal with it. For this reason, the deal did not go through.
Twitter has a hands-off approach to abuse and harassment, which has attracted a lot of criticism. The social network does not require users to reveal their real names, and this encourages them to engage into sexist, racist and anti-Semitic internet trolling.
Twitter has increased scrutiny of harassing and abusive tweets on the platform in recent years, though the problem has plagued it since the beginning. The company has worked on some solutions such as letting people block keywords, but it needs to do more; otherwise it will continue losing important users such as actress Leslie Jones, who temporarily departed the network due to verbal attacks on her.
Also some users sent vicious messages to Robin Williams’ daughter after his death in August 2014, after which she abandoned the app. Also writer Lindy West revealed in February 2015 that some users were making crude comments about her through an account created in the name of her deceased father.
All of these factors contributed to the fall of Twitter’s stock price. Our analysts however do back Twitter Inc and have indicated that Twitter would recover from the terrible fall it has been facing in the past few weeks.
Our analysts have given a “BUY” rating to Twitter’s stock. The stock has been going down for the past few weeks but has started to rise now. The company has set goals and is currently a good investment. The stock is expected to recover that fall this entire week.