Antisocial: Twitter Undercuts IPO, Facebook Sells Off TWTR FB LNKD

Twitter shares have extended losses by almost 17 percent in the last three weeks since posting second-quarter results on July 29. On Thursday, Twitter expanded its mobile advertising network, part of a push that has succeeded in pushing revenues higher at a rapid rate. The company, which has 57 million customers and is headquartered in Los Gatos, Calif., lost another $1.08 in after-hours trading, or 0.9%. In comparison to other social networking sites, they pale in comparison.


At the close, Twitter ended at US$26 (RM109.16) exactly, a drop of 5.8%, amid a broad selloff in the overall US stock market. Jack Dorsey, a Twitter co-founder and chief executive of Square, has taken on the role on an interim basis.

Yale University, which has a $23.9bn endowment fund, sold all of its 34,345 shares in Twitter – worth just under $1m at Monday’s stock price – over the last quarter.

Twitter’s board also is planning a shakeup that involves the departure of former CEO Dick Costolo, people with knowledge of the matter have said.

Analysts remain concerned because the company is having difficulty adding users, according to the Associated Press.

The social media company warned investors would not see “sustained, meaningful” user growth for a “considerable period of time”, overshadowing better than expected earnings and solid full-year revenue guidance.


Shares had previously touched an all-time low of $27.04 on 7 August and taken the company within cents of its $26 IPO price. But Piper Jaffray on Thursday raised its price target on NetApp to $31 from $30. Finance. It reported non-GAAP earnings of 29 cents a share, Yahoo!

Twitter shares fall below IPO price on user growth worries