Shares of Twitter Inc (NYSE:TWTR) are bucking the market trend today as rumors have persisted this afternoon that the founder of New Corp., and Fox News, Ruport Murdock, may be considering taking a sizable stake in the social media platform. Although the rumors have yet to be substantiated, such a move on the part of one of the most powerful men in the media space could have staggering implications on shares of Twitter Inc (NYSE:TWTR).
The stock has plunged close to 50% over the last few months, and the market cap of the company is now close to $10 billion. While the company is not turning a profit quite yet and member growth has slowed, there is no doubt that Twitter Inc (NYSE:TWTR) is an incredibly powerful tool within media circles. It will be interesting to see if these rumors turn out to be true, and what such a move by Murdock could ultimately mean for both the company and the share price.
The stock is currently trading higher by 0.66% or $0.11 following the positive news, hitting $16.8 per share at the time of us publishing this article. About 25.63 million shares traded hands or up 29.44% from the average. TWTR has declined 51.86% since June 15, 2015 and is currently downtrending. It has underperformed the S&P500 by 42.99%.
From a total of 29 analysts covering Twitter (NYSE:TWTR) stock, 12 rate it a “Buy”, 2 a “Sell”, and 15 a “Hold”. This means that 41% of the ratings are positive. The highest target price is $56 while the lowest target price is $21.0. The mean of all analyst targets is $33.79 which is 101.13% above today’s ($16.8) stock price. Twitter was the topic of 47 analyst reports since July 23, 2015 according to the firm StockzIntelligence Inc. Mizuho initiated shares on January 13 with a “Neutral” rating. Morgan Stanley maintained shares with a”Underweight” rating and a $22 target share price in their report from an October 28. M Partners maintained TWTR stock in a recent report from November 16 with a “Neutral” rating. Barclays Capital maintained the rating on October 28. Barclays Capital has a “Equal-Weight” rating and a $33 price target on shares. Finally, RBC Capital Markets maintained the stock with a “Sector Perform” rating in a report they issued on an October 28.
The institutional sentiment decreased to 1.07 in Q2 2015. It’s down 0.19, from 1.26 in 2015Q2. The ratio turned negative, as 102 funds sold all their Twitter Inc shares they owned while 129 reduced their positions. 56 funds bought stakes while 191 increased their total positions. Institutions now own 269.03 million shares which is 10.40% less than the previous share count of 300.24 million in 2015Q2.
Institutional Venture Management Xii Llc holds 100% of its total portfolio in Twitter Inc, equating to 418,115 shares. Rizvi Traverse Management Llc owns 2.80 million shares representing 100% of their total US portfolio. Moreover, Ah Equity Partners Iii L.L.C. has 69.57% of their total portfolio invested in the company, equating to 1,202 shares. The California-based Kpcb Dgf Associates Llc has a total of 28.35% of their portfolio invested in the stock. Bain Capital Venture Investors Llc, a Massachusetts-based fund reported 817,155 shares owned.
Twitter, Inc. is a global platform for public self-expression and conversation in real time. The company has a market cap of $11.84 billion. The Firm offers services and products for users, advertisers, developers and platform and data partners. It currently has negative earnings. Products and services for users enables a way for people to create, distribute and discover content, which enables a user on Twitter to create a tweet and a user to follow other users.