Twitter (TWTR) Shares Down 8.5% After Insider Selling

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Twitter Inc (NYSE:TWTR) shares fell 8.5% during mid-day trading on Wednesday after an insider sold shares in the company. The company traded as low as $26.76 and last traded at $26.79. 40,322,820 shares traded hands during mid-day trading, an increase of 37% from the average session volume of 29,347,539 shares. The stock had previously closed at $29.27.

Specifically, insider Robert Kaiden sold 2,315 shares of the firm’s stock in a transaction dated Wednesday, August 1st. The shares were sold at an average price of $32.26, for a total transaction of $74,681.90. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Evan Clark Williams sold 682,242 shares of the firm’s stock in a transaction dated Tuesday, July 24th. The stock was sold at an average price of $42.75, for a total transaction of $29,165,845.50. Following the sale, the director now owns 1,733,290 shares of the company’s stock, valued at $74,098,147.50. The disclosure for this sale can be found here. Over the last 90 days, insiders have sold 3,461,509 shares of company stock valued at $117,295,574. 6.62% of the stock is owned by company insiders.

Several research analysts have weighed in on TWTR shares. Macquarie lowered shares of Twitter from an “outperform” rating to a “neutral” rating and increased their target price for the stock from $36.00 to $42.00 in a research note on Wednesday, July 18th. They noted that the move was a valuation call. Wedbush reaffirmed a “hold” rating and set a $37.00 target price (up previously from $29.00) on shares of Twitter in a research note on Friday, July 27th. Morgan Stanley increased their target price on shares of Twitter from $31.00 to $34.00 and gave the stock an “equal weight” rating in a research note on Wednesday, July 11th. Zacks Investment Research lowered shares of Twitter from a “strong-buy” rating to a “hold” rating in a research note on Saturday, June 30th. Finally, UBS Group increased their target price on shares of Twitter from $36.00 to $52.00 and gave the stock a “buy” rating in a research note on Friday, June 15th. Four investment analysts have rated the stock with a sell rating, twenty-two have assigned a hold rating, eleven have assigned a buy rating and one has given a strong buy rating to the company. Twitter has a consensus rating of “Hold” and a consensus price target of $32.77.

The company has a debt-to-equity ratio of 0.47, a quick ratio of 11.00 and a current ratio of 11.00. The company has a market cap of $21.57 billion, a P/E ratio of 446.50, a P/E/G ratio of 3.66 and a beta of 0.75.

Twitter (NYSE:TWTR) last posted its quarterly earnings data on Friday, July 27th. The social networking company reported $0.17 EPS for the quarter, beating the Thomson Reuters’ consensus estimate of $0.16 by $0.01. Twitter had a net margin of 8.57% and a return on equity of 4.37%. The business had revenue of $710.54 million during the quarter, compared to analyst estimates of $697.35 million. During the same quarter last year, the firm posted $0.08 earnings per share. The business’s revenue for the quarter was up 23.8% compared to the same quarter last year. Analysts anticipate that Twitter Inc will post 0.35 earnings per share for the current fiscal year.

Hedge funds and other institutional investors have recently bought and sold shares of the company. Tyers Asset Management LLC purchased a new position in shares of Twitter in the second quarter valued at approximately $326,000. CIBC World Markets Inc. lifted its stake in Twitter by 73.7% in the second quarter. CIBC World Markets Inc. now owns 23,406 shares of the social networking company’s stock worth $1,022,000 after acquiring an additional 9,933 shares during the last quarter. American Century Companies Inc. purchased a new position in Twitter in the second quarter worth approximately $118,445,000. Amalgamated Bank lifted its stake in Twitter by 45.6% in the second quarter. Amalgamated Bank now owns 108,946 shares of the social networking company’s stock worth $4,758,000 after acquiring an additional 34,099 shares during the last quarter. Finally, Northern Trust Corp lifted its stake in Twitter by 42.8% in the second quarter. Northern Trust Corp now owns 10,289,349 shares of the social networking company’s stock worth $449,336,000 after acquiring an additional 3,084,415 shares during the last quarter. 64.53% of the stock is owned by institutional investors and hedge funds.

Twitter Company Profile (NYSE:TWTR)

Twitter, Inc operates as a platform for public self-expression and conversation in real time. The company offers various products and services, including Twitter that allows users to consume, create, distribute, and discover content; and Periscope, a mobile application that enables user to broadcast and watch video live with others.

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