Is Twitter a Buy After the Post-Earnings Plunge?
Everything seemed in place for Twitter (NYSE: TWTR) to soar on its first-quarter earnings report.
The company delighted investors at its February Investor Day conference, unveiling a suite of new products and potential revenue streams. Digital advertising in general has been booming, as strong reports from Alphabet and Facebook showed last week, and the first quarter included a number of major news events like the Capitol insurrection and President Biden's inauguration, which helped draw people to Twitter. Third-party data even indicated strong traffic among users and advertisers during the quarter.
Despite that momentum, Twitter stock came up short. The stock plunged 15.2% last Friday and continued to drift southward on Monday. Its first-quarter results were slightly ahead of expectations, but second-quarter guidance missed the mark.
Source Fool.com
