Twitter Inc TWTR shares traded as high as $15.30 on Monday on the heels of Microsoft Corporation MSFT acquiring LinkedIn Corp LNKD for $196 per share in cash. Despite the sympathy surge, some analysts remain skeptical of Twitter's future.
Tigress Financial's Ivan Feinseth reiterated his Neutral rating for Twitter, highlighting competitive forces and deteriorating business performance.
Feinseth believes the likes of Facebook Inc FB, Snapchat and other social media companies continue to exert force on Twitter's ad revenue. This led to a pessimistic Q2 outlook where decelerating revenue should continue to persist after Q1 revenue growth fell from 45 percent to 37 percent. Despite events like the Olympics, Euro 2016, Presidential Election and Thursday Night Football, Feinseth believes it's prudent to remain on the sidelines until MAUs and revenue growth stabilizes.
Shares of Twitter were trading up 4.17 percent at $14.60 on Monday.
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