On February 02, shares of Twitter Inc. (TWTR) suffered a further blow of 8.03% in the after-hours. Multiple reasons can be deemed responsible for the continued downward drift of the social media stock.
During regular trading, the stock had already suffered from a loss of 4.22% at its closing price of $36.51. TWTR continued its cascade in the after-hours to go down to $33.58 per share. Moreover, the after-market session witnessed a volume of 2.23 million shares on Wednesday.
Currently, Twitter Inc. has a market capitalization of $30.48 billion with its 799.61 million shares outstanding.
What is Happening with TWTR?
After the market closed on Wednesday, the social media giant Facebook’s owner Meta Platforms declared its financial results. Meta not only missed its earnings but provided a poor forecast for the future. The flattened growth in the social media giant along with further drab growth expectations led to the meltdown of social media stocks. Hence, along with Pinterest and Snap, TWTR stock also took a hit in the after-hours on Wednesday.
Additionally, TWTR as well as Facebook have been facing some serious blows from various fronts due to claims of fraud and fake news on the platforms. As per Wednesday’s news on IndiaTimes, the Indian government is seeking explanation and proof from various platforms including Twitter regarding their actions against anti-national and fake news content.
Moreover, the stock currently stands at a year-to-date loss of 15.53% while it went down by 33.11% last year.
MoPub’s Sale
On January 03, the company announced the completion of the sale of MoPub on January 01, 2022. TWTR has sold MoPub to AppLovin Corporation for a cash of $1.05 billion.
Furthermore, the MoPub platform along with network mediation, Advanced Bidding, and Marketplace will go down on March 31. Further, the MoPub Dashboard and Reporting will operate till April 08. A 90-day transition period will be provided to publishers with assistance from AppLovin for migration to the AppLovin MAX platform.
TWTR’s Financials
In the third quarter of 2021, TWTR had total revenue of $1.28 billion, marking an increase of 37% YOY.
The company had a net loss of $537 million in the third quarter of 2021 with earnings of $(0.67) per diluted share.
In addition, the company is set to declare its Q4 and fiscal 2021 results on February 10, 2022, at 7:00 am ET. The company expects total revenue of $1.5-$1.6 billion for Q4 of 2021.
