According to Virtus International, embattled social media company, Twitter is set to announce a cull of its workforce after failing to sell itself to one of a number of potential buyers. With interest from several suitors including internet search giant, Google and media company, Disney, the company is contending with the prospect of continuing its operations alone, at least for the time being.

Initial estimates cite a total of around 300 jobs, roughly 8% of the total workforce and the same percentage it laid off when co-founder, Jack Dorsey reprised his role as CEO after the resignation of former CEO, Dick Costolo.

Twitter is attempting to cut costs as it struggles to increase revenues and eventually make a profit and the layoffs will help it save money.

“Twitter’s scheduled to announce its third quarter earnings this week and the job cuts suggest that those results will make for less than thrilling reading,” said John Chamberlain, a senior technology researcher at Virtus International.

Twitter’s fortunes have changed dramatically since it exploded onto the NYSE in late-2011 and watched as over the next two years, its shares soared to $74 but, since then, the stocks have been in steady decline driven mostly by its inability to grow revenues and, more importantly, grow its user base.

“The stock has traded as low as $13.90 – a little more than 50% of its IPO price – and while the recent hyperbole over a potential sale gave battered investors an opportunity to bail, many who’ve clung to the hope of a turnaround will be particularly disappointed.”

Virtus International has a sell rating on TWTR and advises holders to sell into rallies.

About Virtus International:
Virtus International is an investment management services company that enables ordinary investors to navigate the turbulent waters of the global financial markets with a view to growing and preserving wealth. They provide a highly personalized service that is supported by a highly professional lineup of advisors, analysts and portfolio managers ensuring that everything they do revolves around what’s best for you.