Shares of Twitter Inc TWTR have lost more than 67 percent of value over the past 12 months, driven by concerns about the company’s ability to grow its revenue and profits.
Even after this week’s NFL deal, some analysts remain bearish on the social media giant. On Thursday, Morgan Stanley reiterated an Underweight rating on the stock, while lowering the price target from $18.00 to $16.00, citing declining user engagement trends and flattish user growth.
Related Link: Morgan Stanley Not Encouraged By Twitter's Growth, Lowers Target To $16
Statista’s Felix Richter looked into Twitter’s mobile engagement. Per comScore data, average users in the United States spent less than three minutes per day using Twitter on mobile devices during the fourth quarter 2015, versus 30.3 minutes on Facebook Inc FB.
"To make things worse, Twitter’s mobile engagement has been declining for seven straight quarters until the end of 2015 and supposedly continued doing so in the first three months of 2016,” Richter added.
The chart below compares a few social media platforms in terms of mobile user engagement.
Source: Statista
Disclosure: Javier Hasse holds no positions in any of the securities mentioned above.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
