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Should You Buy the Dip in Twitter?

Published 11/02/2021, 08:36 AM
Updated 11/02/2021, 09:30 AM
© Reuters.  Should You Buy the Dip in Twitter?
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Twitter’s (TWTR) shares have plunged in price over the past few months despite the company’s introduction of new features, such as its Super Follows. So, can the company overcome the impact of Apple’s (AAPL) privacy changes and by doing so foster a rebound in its stock price? Let’s find out.Social networking service provider Twitter, Inc.’s (NYSE:TWTR) platform has been buzzing with ‘tweets’ thanks to global conversations around current events such as COP26 and Squid Game. Its shares have gained 33.2% in price over the past year to close yesterday’s trading session at $55.11. However, the stock has declined by 11.1% over the past month and nearly 21% over the past three months.

Even though it is still unclear to what extent Apple Inc.’s (NASDAQ:AAPL) privacy changes have impacted TWTR’s business, the company’s third-quarter earnings disappointed investors. Moreover, hedge funds’ interest in the stock has declined lately.

Last month, the company’s Customers Lead, Sarah Personette, sold 15,485 shares. Furthermore, in October 2021, TWTR agreed to sell MoPub, a mobile-focused advertising exchange, to AppLovin Corporation (APP). So, the stock’s near-term prospects look uncertain.

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