Expect Positive Data Flow from Twitter

In a note published Sunday, analyst Robert Peck of SunTrust Robinson Humphrey commented on his expectation of

positive data flow following the end of the quiet period. Peck wrote, "we expect positive information flow driven by a series of positive data points, such as: 1) Research from underwriters is likely to be unveiled Dec 2 - we would expect the research will be positive and contain data that only the underwriters analysts had access to, 2) The company will be able to speak publicly, addressing any concerns investors have surfaced during the quiet period and adding any new positive data points, and 3) Typically after a quiet period, a company can meet with large institutional clients as well as other broker's analysts which we think will provide more insight into current business trends." SunTrust added that Twitter's new products will continue to develop TAM. Twitter recently announced that the self-serve ad product for SMBs is now live in the UK, Ireland, and Canada and that the Vine increased support to 19 languages. The analyst further noted that the company has made ad targeting by specific mobile OS and type of data connection possible, enable custom timelines, and rolled out TV ad targeting in Brazil, France, Spain, and Canada. Robert Peck emphasized Twitter's "natural fit" for ad products and expects the company to see optionality upside from new ad units. Nielsen Marketing Analytics and Twitter's recent data study showed that "placing a Twitter ad shortly after a TV ad led to 8% to 16% more sales, and a 36% lower customer acquisition cost." On Friday, Twitter announced a new ad format in a Comcast deal called SeeIt!. SeeIt! will integrate video ads and the TV remote control. SuntTrust reiterated their Buy rating with a $50 price target. Twitter shares closed at $41.00 on Friday.