Social media giant Twitter, Inc. (NYSE:TWTR) is scheduled to announce second quarter 2015 earnings on Tuesday, July 28, after market close. Analysts are eager for Twitter to announce a replacement for outgoing CEO Dick Costolo and implement new initiatives to make their platform more user-friendly. While they await these changes, Wall Street analysts have been weighing in on Twitter ahead of the company’s earnings with their latest predictions and forecasts. Here are the top 5 analysts who cover Twitter to listen to ahead of earnings:
1. Robert Peck of SunTrust last rated Twitter on June 23, maintaining a Neutral rating on the stock. While Peck acknowledged the company will be on a much more solid footing once a new CEO has been hired, he highlighted a potential declining user base as an issue for Twitter moving forward and potentially harming their Q2 earnings. “The problem is [Twitter] talked about revenues, they talked about EBITDA, but what they didn’t talk about were the user metrics, which we have said publicly, we think actually could decline for the first time ever from Q1 to Q2,” Peck explained. “So, their user base could actually decline.”
Robert Peck has rated Twitter a total of 32 times since 2013, earning a 94% success rate recommending the stock and a +40.8% average return per recommendation when measured over a one-year horizon and no benchmark.
2. Peter Stabler of Wells Fargo last rated Twitter on June 12, maintaining a Market Perform rating on the stock but decreasing his valuation range from between $42 and $44 per share to between $36 and $38. Stabler cited “continued uncertainty on user growth and increased risk of disappointing on third quarter guidance” as the reasons behind his rating.
Peter Stabler has rated Twitter a total of four times since 2010, earning an 100% success rate recommending the stock and an +37.5% average return per recommendation when measured over a one-year horizon and no benchmark.
