Why Twitter Stock Is Soaring Today
Shares of social media company Twitter (NYSE: TWTR) surged on Thursday following a third-quarter report that beat analyst expectations. While revenue declined during the quarter, Twitter produced a positive GAAP (generally accepted accounting principles) operating profit for the first time in its history, and it sees the possibility of GAAP net profitability in the fourth quarter. At noon EDT, the stock was up about 17%.
Twitter reported third-quarter revenue of $590 million, down 4% year over year but about $3 million higher than the average analyst estimate. Total ad engagements nearly doubled, rising by 99% year over year, but that figure was offset by a 54% decline in cost per engagement.
Image source: Twitter.
Source: Fool.com
