The Worst Tech Stock To Own? Calacanis Says It's Twitter

Notable angel investor Jason Calacanis thinks Twitter Inc TWTR is "the worst" tech stock to own.

Speaking as a guest on CNBC, Calacanis said Twitter's business has gone down-hill ever since Jack Dorsey took over as CEO. For instance, Instagram's business grew roughly 50 percent since Dorsey was named as CEO, while over the same time period Facebook Inc FB's core platform grew 20 percent. Meanwhile, the overall internet sector grew 7 percent.

Calacanis pointed out that Dorsey is a "half-time CEO" as he splits his time running Square Inc SQ and Twitter's co-founder Evan Williams should play a much bigger key leadership role.

All The Elements Are There

Calacanis argued that all of the elements Twitter needs for success has been put in place. For example, people are flocking towards social media during a time of "political upheaval," not to mention President Trump's frequent Tweets.

"The user cap may be propped up by Trump right now and everyone wanting to check in on his insanity at 5 a.m.," Calacanis said.

Calacanis even suggested that without Trump's Tweets, the growth of Twitter's platform would actually be down rather than flat.

So the question remains: how should investors invest in the social media space? Calacanis said investors should allocate 70 percent of their funds to Facebook and the remainder in Snap Inc SNAP, which is "slightly overpriced" but a more worthwhile trade compared to Twitter.

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