TWTR - Embedded Expectations Analysis - 2018 02 23
ï€ Twitter, Inc. (TWTR:USA) currently trades above corporate averages relative to UAFRS-based (Uniform) Earnings, with a 26.3x Uniform P/E, implying bullish expectations for the firm. However, management has concerns about advertising, growth, and new productsï€ Specifically, management may be concerned about the sustainability of drivers related to their improving ad relevance, and may lack confidence in the sustainability of double-digit DAU growth. Additionally, they may have concerns about average tweet size not going up as a result of their increased character limit, and may lack confidence in the value proposition of their live video offering. Furthermore, they may lack confidence in their ability to successfully monetize TweetDeck, and may be overstating the improved ROI for advertisers as a result of improved click-through rates and falling cost per engagement
Twitter provides products and services for people, organizations, advertisers, developers and platform and data partners. The company's product, Twitter, is a global platform for public self-expression and conversation in real time. The company's mobile application, Periscope, lets anyone broadcast and watch video live with others. The company's products and services for advertisers include Promoted Products such as Promoted Tweets, Promoted Accounts, and Promoted Trends. The company's products for developers and data partners provide tools and public application programming interfaces to build applications and other products that utilize Twitter data and syndicate and distribute Twitter content across their properties.
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