Discussion in 'Stocks' started by JefeTrader, Apr 26, 2017.

  1. Shares of Twitter ( TWTR) are up $1.32, or 9%, at $15.92, after the company this morning reported Q1 revenue and earnings per share that comfortably topped analysts' expectations, with revenue declining even as usage grew.

    Revenue in the three months ended in March declined 8%, year over year, to $548 million, yielding EPS of 11 cents.

    Analysts had been modeling $513 million and 11 cents a share.

    Q1 Rev: $548M, -8% Y/Y; GAAP net loss:$62M; GAAP net loss margin:-11%, adj. EBITDA: $170M w/ 31% margin; CF from ops: $203M; adj. FCF: $126M

    -- TwitterIR (@TwitterIR)

    April 26, 2017

    The company's " daily active user" count rose 14% from the prior-year period, it said, while " monthly active usage" rose by 9 million, to 328 million. That was better than Street consensus for a net-add of 4 million, and total of 321 million.

    Daily active usage increased 14% Y/Y, the 4th consecutive quarter of accelerating growth. #TWTR

    -- TwitterIR (@TwitterIR)

    April 26, 2017

    Twitter said it was the fourth quarter in a row "of accelerating growth" in daily usage, and called the MAU growth " strong."

    "We believe our audience growth has been driven by a combination of: organic growth (reflecting some seasonal strength), product improvements (including better relevance in the timeline and notifications), and marketing."

    Twitter's advertising revenue declined by 11%, it said, to $474 million, while "data licensing" revenue was up 17% at $74 million.

    The part of that total that is "owned and operated" by Twitter itself declined 11%, to $415 million. Said Twitter, " After a challenging start to the quarter, the growth trajectory for O&O improved and we saw more stable revenue trends beginning in mid-February."

    Twitter's Ebitda, on an adjusted basis, declined 6% to $170 million, but was "our highest adjusted EBITDA margin to date, despite the year-over-year decline in revenue," the company said, at 31% of revenue.

    It was also much higher than the $98 million the Street had been modeling.

    For the current quarter, the company sees Ebitda, on an adjusted basis, of $95 million to $115 million. For the full year, it expects its expenses, on a non-GAAP basis, to be in a range of flat to down 5% with the prior-year period.

    The company said "continues to expect revenue growth to meaningfully lag audience growth" this year.

    More at Barron's Tech Trader Daily blog,

    (END) Dow Jones Newswires
    04-26-17 0846ET
    Copyright (c) 2017 Dow Jones & Company, Inc.
  2. truetype


    So are you a buyer or a seller?
  3. I'm looking for buying opportunities.
  4. This could be a good turnaround play.
    athlonmank8 likes this.
  5. Potential buyout candidate too. Dogshit SNAP is 2x the market cap. Facebook is almost 40x.
  6. Jamie J.

    Jamie J.

    Despite the decline in revenue, Twitter beats the estimates. TWTR increased by +7%. This stock can make surprises. o_O
    lovethetrade likes this.
  7. toc


    I would touch TWTR only around $5/share.
  8. I take it you haven't been doing this long?
  9. Earnings weren't that good actually.
  10. I hope eventually Google will buy them out.
    #10     Apr 27, 2017
    athlonmank8 likes this.