SunTrust Grades Twitter's Analyst Day With An 'A Minus'

Robert Peck of SunTrust Robinson Humphrey graded Twitter Inc's TWTR analyst day presentation with a respectable "A-" rating.

"We think management delivered in a watershed moment for the company," Peck wrote in a note to clients on Thursday. "CEO Dick Costolo did a great job in providing more access to its executive bench."

Peck notes that Twitter provided sufficient commentary on user products and developments, advertising products, user metrics and engagement, consumer marketing, data and analytics, advertiser relationships, and financials.

Twitter is on a path to achieve more than $11 billion in revenue driven by an increase in ad load to 5 percent ($5 billion), monthly average user growth to 560 million ($4.6 billion), a 3 percent increase in daily usage ($500 million), and Logged Out user monetization ($1.3 billion).

Peck still has some question marks that need to be addressed by the company. Specifically, the reason for a soft fourth quarter monthly average user guidance, the appropriate metric for engagement, the timing of new products, the monetization ramp timing and the time frame of the company's long-term financial scenarios.

Shares were reaffirmed with a Buy rating with an unchanged $58 price target.