Twitter Saw Explosive Sales Last Year, But Is That Enough?

Twitter Inc TWTR has taken a beating this week as its stagnant user base scared investors away from the former social media darling. Twitter shares fell to a weekly low of $16.46 Tuesday morning as news of a new executive appointment made its way through the news cycle.

American Express marketing executive Leslie Berland would take over as chief marketing officer, Twitter announced on Tuesday.

A surprisingly strong number underpins Twitter's public woes, however. In Q3 2015, Twitter saw a 58 percent increase in sales from Q3 2014, according to Bloomberg.

Despite that huge showing, Twitter is still stuck in the mud. It's never had a profitable quarter, and a revolving door of management has had a tough time inspiring investor confidence. However, Twitter might be able to find a way out by focusing on its growing sales engine and existing user base instead of squeezing new blood from a stone.

They might want to follow Netflix, Inc.NFLX's strategy, which shifted to global markets after they saw stagnant growth in the U.S.

The market saw Twitter at $17.38 Wednesday afternoon, up 2 percent from open.

 

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