3 Stocks (And 4 Trades) Blowing Up On Twitter
Social media is becoming increasingly important in the investment arena, as its impact on the wisdom of the crowd continues to grow.
Market Prophit compiles and analyzes the social media commentary that's related to investing, and develops statistics that can tell users both crowd and expert sentiment. According to Market Prophit's Igor Gonta, a few of the stocks buzzing in the past few trading days include:
Gonta told Benzinga that, even with Twitter’s bond downgrade last week, "Market Prophits [are] bullish on the stock.” The company gives this designation to social media's most skilled traders, he said.
— Barron's (@barronsonline) November 17, 2014
— Nicole Sherrod (@TDANSherrod) November 17, 2014
Allergan and Actavis, meanwhile, were subject to much discussion, as the former announced it had accepted a $66 billion takeover bid from Actavis.
While the sale put an end to hostile offers from both activist investor Bill Ackman (of Pershing Square) and Valeant Pharmaceuticals Intl Inc, the crowd still appears to be bearish on Allergan and Actavis, Gonta said. Social media's higher-tier users, though, remain bullish.
— The Skeptic (@TheSkeptic21) November 17, 2014
— Nicole Sinclair (@nicoleusinclair) November 17, 2014
Top Performing Users
Market Prophit also analyzes users' performance to identify the top calls based on the “returns” of stocks they've recently tweeted about. Gonta shared four of the best calls:
UBS AG (NYSE: UBS):
— Paul VanHouten (@turtletrader59) November 11, 2014
China Hgs Real Estate Inc (NASDAQ: HGSH):
— stt2318 (@stt2318) November 12, 2014
Cliffs Natural Resources Inc (NYSE: CLF):
— Ophir Gottlieb (@OphirGottlieb) November 10, 2014
Market Vectors-Coal ETF (NYSEARCA: KOL):
— Chess (@chessNwine) November 10, 2014
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