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Tag: twitter stock

  • Twitter Announces Date For First Earnings Release

    Twitter has announced a date for its first official financial results release as a public company, and a time for the corresponding conference call. This will mark the beginning of a new quarterly saga for the company in answering to investors and the media about its financial performance.

    Twitter’s Q4 and fiscal year 2013 results will be released in less than a month on February 5th after market close. The call will take place at 2PM Pacific.

    Twitter will be accepting questions submitted via Twitter, directed to @TwitterIR, using the hashtag #TWTRearnings. Questions will be considered for the Q&A portion of the call, in addition to those submitted by people on the call.

    There will be a live webcast of the call with supplemental slides looking at the results, which you’ll be able to find on Twitter’s Investor Relations site.

    The world got its first look at Twitter’s financials when it filed to go public in September. The IPO came in November, and in February, we’ll get a good look at how the company has fared in its first publicly traded months.

    There has certainly been a focus on monetization with Twitter launching all kinds of advertising enhancements over the past year.

    Image via Dick Costolo (Twitter)

  • Twitter IPO Flies High At $26 Per Share

    Twitter IPO Flies High At $26 Per Share

    Twitter’s stock price has now been priced at $26 and will start trading from Thursday on the New York Stock Exchange (NYSE) under the symbol “TWTR”. The company is now valued at $18 billion, and it is expected that the IPO will raise about $1.8 billion to fund future expansion and About 70 million shares will be sold.

    Earlier in the week, its IPO price had ranged between $23 and $25, but some analysts now say that the price may leap to as much as $50 once the trading starts, and it is widely expected that this IPO might be the second largest after Google’s 2004 that raised about $1.92 billion.

    Twitter has been trying to avoid the trouble that marred Facebook’s IPO where its IPO offering was tarnished by a $10 million fine imposed by Nasdaq as a result of technical glitches and its Wall Street underwriters are doing everything they can to ensure that the process is a smoother one.

    Barclays Capital will be the company’s designated market maker. The Role of the designated market maker is to allow human beings to trade stock, unlike what happens with all-electronics stock exchanges like Nasqaq.

    It is interesting to note that Twitter has not made any profit since 2006; therefore, it goes public a much smaller company compared to others like Facebook, Google, and Linkedln. However, there is no doubting the fact that Twitter holds an important share in social media.

    Perhaps Twitter has chosen to go public at the time when it’s registering massive growth in its users. It should be remembered that Twitter’s active users rose by 25% in its first 9 months compared to 45% growth in the same period last year.

    By the time Twitter goes public, Twitter Co-founder Evan Williams will own about 10.4% of the company’s share. The largest shareholder is Rizvi Traverse, who holds about 16% stake valued at $2.2 Billion. Others with a considerable stake in the company include Jack Dorsey ($609 Million), Peter Fenton ($820 Million) and CEO Dick Costolo (199 Million).

    (image via twitter.com)

  • Twitter Will Officially Trade As ‘TWTR’ On NYSE

    Well, it’s official. Twitter will be traded on the New York Stock Exchange under the ticker symbol “TWTR”.

    Twitter expressed its intent to list under TWTR, but on Tuesday, the company filed new SEC documentation affirming it.

    Twitter says in the filing:

    Oxley Act, and the listing standards of the New York Stock Exchange. We expect that the requirements of these rules and regulations will continue to increase our legal, accounting and financial compliance costs, make some activities more difficult, time consuming and costly, and place significant strain on our personnel, systems and resources.

    The Sarbanes-Oxley Act requires, among other things, that we maintain effective disclosure controls and procedures and internal control over financial reporting. We are continuing to develop and refine our disclosure controls and other procedures that are designed to ensure that information required to be disclosed by us in the reports that we will file with the SEC is recorded, processed, summarized and reported within the time periods specified in SEC rules and forms, and that information required to be disclosed in reports under the Exchange Act is accumulated and communicated to our principal executive and financial officers. We are also continuing to improve our internal control over financial reporting. In order to maintain and improve the effectiveness of our disclosure controls and procedures and internal control over financial reporting, we have expended, and anticipate that we will continue to expend, significant resources, including accounting-related costs and significant management oversight.

    Our current controls and any new controls that we develop may become inadequate because of changes in conditions in our business. Further, weaknesses in our disclosure controls or our internal control over financial reporting may be discovered in the future. Any failure to develop or maintain effective controls, or any difficulties encountered in their implementation or improvement, could harm our operating results or cause us to fail to meet our reporting obligations and may result in a restatement of our financial statements for prior periods. Any failure to implement and maintain effective internal control over financial reporting also could adversely affect the results of management evaluations and independent registered public accounting firm audits of our internal control over financial reporting that we will eventually be required to include in our periodic reports that will be filed with the SEC. Ineffective disclosure controls and procedures and internal control over financial reporting could also cause investors to lose confidence in our reported financial and other information, which would likely have a negative effect on the trading price of our common stock. In addition, if we are unable to continue to meet these requirements, we may not be able to remain listed on the New York Stock Exchange.

    In a different section, Twitter says:

    We intend to apply for the listing of our common stock on the New York Stock Exchange under the symbol “TWTR”. However, we cannot assure you that an active trading market for our common stock will develop on that exchange or elsewhere or, if developed, that any market will be sustained. Accordingly, we cannot assure you of the likelihood that an active trading market for our common stock will develop or be maintained, the liquidity of any trading market, your ability to sell your shares of our common stock when desired or the prices that you may obtain for your shares.

    After Twitter first revealed its intent to list under TWTR, some were confused by the ticker symbol of bankrupt Tweeter Home Entertainment, which saw it stock soar suddenly.

    Image: Twitter

  • Twitter Valued at $11 Billion, IPO Coming in 2014 Says Analyst

    Soon after Facebook filed its documents and made its intentions to go public known, people started speculating about when Twitter would take the plunge with their own offering. In a leaked email, Twitter CEO Dick Costolo said that his company didn’t want to be public until they “have very predictable quarterly earnings growth,” and added that Twitter wasn’t “ready to be a public company for a couple years.” These private comments echoed public comments Costolo has made about being patient in the way they build the business.

    But is the time nearing for an IPO? One firm believes so. According to a report from Greencrest Capital, they believe that Twitter may being preparations to go public sometime in 2013 and the offering would come in 2014.

    Greencrest uses recent managerial shifts to back up their claim, pointing to Ali Rowghani’s move from CFO to COO, and the addition of ex-Zynga guy Mike Gupta as CFO. Also, Newsvine’s Mike Davidson is now on board as VP of design.

    Also, Twitter is undoubtedly better positioned to generate revenue than ever before as their promoted products offerings continue to expand.

    Max Wolff, and analyst with Greencrest, now puts Twitter’s projected valuation at $11 billion. He says that Twitter’s valuation is up since the Facebook IPO.

    He makes this valuation based on secondary market trading, but makes this caveat:

    “Using the secondary market for shares to mark enterprise value is a very difficult and opaque process. It is a rumor rich and special share class soup.”

    That being said, an $11 billion valuation is up a few billion from the last time we heard a valuation based on secondary markets back in July of 2011. And although $11 billion is barely 10% of the astronomical $100 billion figure we heard for Facebook when the IPO rumors began, Wolff says that Twitter’s valuation “looks better” than Facebook’s.

    A few weeks ago, Twitter announced 200 million MAUs.

    [via Forbes]