How Can Investors Have Confidence In Twitter When It Doesn't Have Confidence In Itself?

Kevin Kelly is the Chief Investment Officer of Recon Capital and was a guest on Thursday's edition of Benzinga's #PreMarket Prep to discuss several hot topics, including

's potential turnaround. Kelly commented that Twitter's management have "sort of laid out a path" towards a turnaround with its Project Lightning that could curate stories around live events. With the new project, Twitter is attempting to revamp itself as more than just a "real time news" source. On the other hand, Kelly noted that Twitter's CEO search hasn't progressed and as such there is a reduced level of confidence that acts as an overhang. "How can an investor have confidence in a company when the company doesn't have confidence in itself," Kelly hypothetically asked. He continued that management hasn't communicated a "clear path" in its CEO search even though it had a "great opportunity" to do so in its most recent quarterly print to disclose a path, target, or even a timeline towards finding a permanent CEO. Kelly added that that investors don't have "conviction" in the stock, especially at such a critical point. He also suggested that without proper leadership, the investment community won't get to see Project Lightning which may even need to be "refreshed." The investment pro suggested that Twitter's current situation would make a great "case study" as there is actually a lot of talented executives at the company such as its CFO Anthony Noto who joined the company from Goldman Sachs. Bottom line, "there's no direction over there."