Market Overview

Who (If Anybody) Is Still Looking To Purchase Twitter?

Share:
Who If Anybody Is Still Looking To Purchase Twitter?

Twitter Inc (NYSE: TWTR) is seeking to address fundamental weakness with some drastic measures. If a report that appeared in Bloomberg is to be believed, the company may soon announce plans to eliminate 8 percent (about 300 individuals) of its workforce.

 

SunTrust, in a research note released on Tuesday, explored job cuts as one of the options the company may mull to right-size cost structure in a bid to counter slowing sales growth.

Analyst Robert Peck of SunTrust estimates that an 8 percent reduction, if implemented, would align the company more with the other internet properties, providing leeway for savings of $50 million to $100 million per year.

Given its recent travails and the consequent drop in stock price, the Street is awash with speculation that a knight in shining armor may emerge to pull it out of the doldrums.

Related Link: Why Traders Keep Their Eyes Peeled For Quiet-Period Expirations

The kind of companies supposedly interested in Twitter have ranged from Google parent Alphabet Inc (NASDAQ: GOOG) (NASDAQ: GOOGL) to Microsoft Corporation (NASDAQ: MSFT) to Verizon Communications Inc. (NYSE: VZ) to Walt Disney Co (NYSE: DIS) to salesforce.com, inc. (NYSE: CRM) to Japanese telecom and internet giant SoftBank Group Corp (OTC: SFTBF), with even a going private deal considered a possibility. The battered stock found occasional reprieves on these fleeting M&A rumors, although it is still down roughly 18 percent in the year-to-date period.

Now with the company looking to clean up, is it tidying up to make itself a more attractive target, or has it reconciled to the idea of surviving as a stand-alone company by setting its house its order?

In pre-market trading, Twitter shares were down 0.39 percent at $17.96. At last check, the stock was down 3 percent at $17.48.

Full ratings data available on Benzinga Pro.

Do you have ideas for articles/interviews you'd like to see more of on Benzinga? Please email feedback@benzinga.com with your best article ideas. One person will be randomly selected to win a $20 Amazon gift card!

Latest Ratings for TWTR

DateFirmActionFromTo
Nov 2019DowngradesIn-LineUnderperform
Oct 2019MaintainsHold
Oct 2019MaintainsNeutral

View More Analyst Ratings for TWTR
View the Latest Analyst Ratings

Posted-In: Bob Peck Robert PeckAnalyst Color News Analyst Ratings Movers Tech Media Best of Benzinga

 

Related Articles (CRM + DIS)

View Comments and Join the Discussion!

Latest Ratings

StockFirmActionPT
TORCCantor FitzgeraldDowngrades3.0
CIDMCanaccord GenuityMaintains1.5
TDGCanaccord GenuityMaintains620.0
DLPNCanaccord GenuityMaintains1.6
WBCLSADowngrades
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Trading Daily
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Daily Analyst Rating
A summary of each day’s top rating changes from sell-side analysts on the street.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com

Why Under Armour Stock Is Tumbling

Here's Why You're Seeing Movement In Second Sight Medical