What do you call a “growth” stock that has stopped growing?
TWTR!
While earnings (top and bottom line were ok):
- *TWITTER 4Q ADJ. EPS 16C, EST. 12C
- *TWITTER 4Q REV. $710M, EST. $709.9M
Not only did they reduce guidance:
- *TWITTER SEES 1Q REV $595M-$610M, EST. $627.6M; SHARES FALL 11%
And miss expectations on usewr growth overall…
- TWITTER 4Q TOTAL MONTHLY ACTIVE USERS 320M, EST. 324M
But the “growth” in users has ceased… with US monthly active users declining by 1 million to 65mm in Q4:
Don’t worry they note however:
- *TWITTER SEEN JAN MONTHLY ACTIVES BOUNCE BACK TO 3Q LEVELS
Must have been a weather thing?
And this the reaction in the stock – an 11% crash after hours to new record lows…
Time for some buybacks?
via Zero Hedge http://ift.tt/1TTc5n5 Tyler Durden