Twitter (TWTR) Gets No Love on Wall Street
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Price: $53.70 --0%
Rating Summary:
10 Buy, 47 Hold, 5 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 17 | Down: 25 | New: 21
Rating Summary:
10 Buy, 47 Hold, 5 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 17 | Down: 25 | New: 21
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Just a few short weeks ago Twitter (NYSE: TWTR) was the hottest stock on Wall Street, with everyone begging for a date. Now she can't even give away her phone number.
Since hitting the Street on November 7 at $45.10, or 73% above its $26 IPO pricing, it has been all downhill since for the social media juggernaut. Partly to blame is the lack of enthusiasm among the Wall Street analyst community. Since coming public, there have been 3 'Sell' ratings (including one downgrade to Sell) - a rarity on Wall Street. In addition, 5 analysts have given shares a lackluster 'Neutral' rating. It was a different story prior to the IPO. 7 firm launched pre-IPO coverage - all with 'Buy' ratings (one has since downgraded). The current tally of ratings, according to StreetInsider.com's Rating Insider, now stands at 6 Buys, 5 Neutrals and 3 Sells. The overall rating is 'Neutral', the rating trends is 'Down' and the average price target on the Street is $38.92, or 6.3% below current levels.
Today, Wunderlich Securities was the latest firm to rate shares at 'Sell'. Wunderlich's Blake Harper set a $34 price target on the stock, calling it a 'great' company but an 'overvalued' stock. "Our price target of $34 is based on our DCF analysis and implies a $22 billion EV based on a fully diluted share count of 705 million shares," Harper said. "The $34 target implies 10x and 43x multiples on our FY16 estimated revenues and adjusted EBITDA of $2.1 billion and $509 million (growing 37% and 87% Y/Y), respectively. We acknowledge the stock may be influenced by investor sentiment and a limited float that may push the stock higher in the near term."
While the Street is currently being littered with 'Neutral' and 'Sell' ratings, the tide could turn come December 17th when the IPO quiet period ends. At that time, underwriters including Goldman Sachs, Morgan Stanley, JPMorgan, BofA and Deutsche Bank will be able to launch coverage on the name and will likely take a more positive tone.
At the current time sentiment on Twitter is neutral-to-negative. The stock lacks a short-term catalyst for a least 30-days, or until the quite period ends. Unless something significant changes it could be much of the same over the next few weeks.
Shares of Twitter are down 5.9% today to $41.38.
Since hitting the Street on November 7 at $45.10, or 73% above its $26 IPO pricing, it has been all downhill since for the social media juggernaut. Partly to blame is the lack of enthusiasm among the Wall Street analyst community. Since coming public, there have been 3 'Sell' ratings (including one downgrade to Sell) - a rarity on Wall Street. In addition, 5 analysts have given shares a lackluster 'Neutral' rating. It was a different story prior to the IPO. 7 firm launched pre-IPO coverage - all with 'Buy' ratings (one has since downgraded). The current tally of ratings, according to StreetInsider.com's Rating Insider, now stands at 6 Buys, 5 Neutrals and 3 Sells. The overall rating is 'Neutral', the rating trends is 'Down' and the average price target on the Street is $38.92, or 6.3% below current levels.
Today, Wunderlich Securities was the latest firm to rate shares at 'Sell'. Wunderlich's Blake Harper set a $34 price target on the stock, calling it a 'great' company but an 'overvalued' stock. "Our price target of $34 is based on our DCF analysis and implies a $22 billion EV based on a fully diluted share count of 705 million shares," Harper said. "The $34 target implies 10x and 43x multiples on our FY16 estimated revenues and adjusted EBITDA of $2.1 billion and $509 million (growing 37% and 87% Y/Y), respectively. We acknowledge the stock may be influenced by investor sentiment and a limited float that may push the stock higher in the near term."
While the Street is currently being littered with 'Neutral' and 'Sell' ratings, the tide could turn come December 17th when the IPO quiet period ends. At that time, underwriters including Goldman Sachs, Morgan Stanley, JPMorgan, BofA and Deutsche Bank will be able to launch coverage on the name and will likely take a more positive tone.
At the current time sentiment on Twitter is neutral-to-negative. The stock lacks a short-term catalyst for a least 30-days, or until the quite period ends. Unless something significant changes it could be much of the same over the next few weeks.
Shares of Twitter are down 5.9% today to $41.38.
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