I will admit that the main reason I bought Twitter (and rightfully took the profit on this non-investment) as one of my post-crash holdings last year was the Trump effect. Love him or hate him, his robo-tweeting was legendary, epic and must see reality TeeVee.
The Reformed Broker, Josh Brown has a writeup about Twitter from the perspective of a dissatisfied long-term shareholder.
He talks about how well Twitter management and employees have done at the expense of share HOLDERS as market cap grew but right along with it, so did shares outstanding.
And of course, the humor…
This is the guy who now decides who is able to say what to the rest of the world:
Bay Area Moses, freshly arrived from the summit of Mount Sinai with a new set of directives for the rest of us.
He also quotes Wall Street analysts with both bearish and bullish outlooks for Twitter in the post-Trump era. I was tempted to buy the drop to a thus far higher low. But then I thought about other companies that sell products much more real than Twitter’s massive collection of short opinions (being generous here), expressions of ego and goofy GIFs.
With my original reason for buying (along with the chart) on his way back to Mar-a-Lago I say no thank you, Moses. There are better companies out there. Twitter had its Reality TeeVee moment. The chart is fine, but the company is not an investment-worthy vehicle in my opinion. Not until it consolidates the post-Trump landscape and proves it can grow with what’s left (no pun intended).
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