Tatler Cox: Investors holding stock in social media company, Twitter, should be taking advantage of recent takeover speculation to sell their shares says investment house, Tatler-Cox.
The troubled micro-blogging site has seen its stock surge by nearly 25% in recent days amid rumors that it has received takeover overtures from several larger technology companies including Google, salesforce.com and media giant, Disney.
Up until last Friday, Twitter’s stock had been one of the worst performers on the NYSE plunging 50% on the year and only marginally off lows around $13.75. Friday’s pop saw it close up 21% on the day while Monday’s session saw it continue to gain to close at $23.37. The company has grappled with headwinds including disappointing earnings, forward guidance and operational issues related to its inability to increase the number of monthly active users of its platform.
“Twitter is thought to be looking at selling itself for $30 billion, a wildly optimistic figure,” said Miles Ward, chief technology analyst at Tatler-Cox.
“The company will be lucky to achieve half of that; it simply doesn’t have the market share to justify that kind of money and we think stockholders should be taking advantage of the hyperbole surrounding a potential deal.”
The firm says that despite Twitter’s fall from favor, it has a loyal hardcore following of around 300 million users which could prove valuable to any company looking to target advertising and content delivery to captive, tech-savvy users
Nevertheless, Tatler-Cox says it believes a figure closer $10 billion is far more likely than the lofty numbers being thrown around the market.

About Tatler Cox
Tatler Cox is a full service privately owned brokerage firm based in Tokyo.
Tatler-Cox is an independent wealth advisory practice focused on catering to the investment and wealth preservation needs of expatriates in Tokyo and the Asia Pacific region. They work with Individuals, families and institutions who need prudent and shrewd guidance when putting money to work. They provide a service dispensed by eminently qualified, highly professional individuals with far-reaching experience in the global financial markets.

Their purview includes equities, fixed income, structured investments and commodities and their track record speaks for itself.




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