UPDATE: Bank of America Initiates Coverage on Twitter on Valuation
In a report published Monday, Bank of America analyst Justin Post initiated coverage on Twitter (NYSE: TWTR) with an Underperform rating and $36.00 price target.
In the report, Bank of America noted, “Twitter is a top mobile and social play in a thematically focused investment environment, and is still early in its opportunity to capitalize on its interest graph. We are constructive on long-term fundamentals given that US users generate 9 timeline views per day, underscoring high activity, while we believe the revenue potential is spring loaded given limited advertising initiatives to date. However, with the stock discounting outstanding execution and upside potential at 21x 2015 EV/Sales (vs. group at 7.5x), we have lower conviction on near-term stock upside vs. peers.”
Twitter closed on Friday at $41.57.
Latest Ratings for TWTR
|Apr 2016||Argus Research||Downgrades||Buy||Hold|
|Apr 2016||JP Morgan||Downgrades||Overweight||Neutral|
© 2016 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.