Twitter, Inc (TWTR)

(A Top Pick Oct 12/16. Down 0.99%.) Had felt this had to be worth more to somebody such as Disney, Alphabet, Facebook, etc. Some of the players were looking at this, but ended up doing other things. User growth has stalled out a little. As an asset play it has value. It generates cash flow.

Social Media is a force that is going to continue for some time. This has been a really volatile stock because they’ve had a hard time finding the right mix of business to deliver earnings to investors. Years ago it was a momentum stock, but today it is more of a value stock. It has a tremendous number of people that use the service, and you are not paying much for that. They haven’t got the service right yet, but it is a really dominant platform. Technically it made a low in April/16, then rallied and pulled back. It made a higher low in April of this year of around $14. It has pulled back again. There are 2 things that can go right. 1.) They ultimately get the business model right and take advantage of all those users. 2.) Somebody decides to buy the assets and make it more usable. Doesn’t think there is a lot of room to get hurt. Would prefer to focus on Facebook (FB-Q).

(Top Pick May 12/17, Down 1.55%) He believes they have the franchise that Linked-In has. He is waiting before buying. It is a 2-3 year hold.

This has been a bit of a flash in the pan. They have a number of challenges and he would rather have a Facebook (FB-Q) or a Google (GOOGL-Q) where you are getting phenomenal growth on a much broader platform. He would avoid this one.

He does not like it. He uses it, but does not like it. He is moving to Instagram. TWTR-Q is not that hip anymore. They cannot figure out how to use all the data to monetize it.

Earnings were surprisingly good, and all of the metrics underneath the earnings were also good. It is a little bit of a victim of its own success, example, fake news.

His firm does not buy turnaround situations, but he personally owns some that he paid about $12 for. To him, this would be a trade, but the stock has been behaving extremely well ever since. Social media is a sector that has been behaving well. This would be a higher risk trade.

Despite having a fairly prominent name and a place in the media, they really haven’t learned to make money yet. He has never owned this stock. He continues to watch it with interest, but at these levels he wouldn’t touch it.

This has some bad actors on it, but everybody knows it. They only charge $20 a year for a premium service that generates $3.6 billion in revenues. (Analysts’ price target is $15.)

It is a frustrating stock. She has traded it around a bit. The asset has value. It is the very first news outlet and there should be value there. It depends how long you are willing to wait for them to turn over the company. It depends on your patience.

(Market Call Minute) Everybody tweets, but no one makes any money. They have not been able to monetize its social media presence and may never be able to.

This is more of a value play. The stock has some interesting value, in that it has a tremendous number of eyes. There is a population that uses this extensively. It tends to be one of the first places we go when we are looking for global news these days. Operationally they are struggling. As a public company they are having trouble figuring out how to find profitability. This puts it as a very speculative stock to own. She thinks this will have value someday, but it might be under a different owner, or under different leadership. You don’t buy this for a short-term trade, you buy it for a little bit of a longer-term hold.

At these prices it is a gamble. They have not done a good job of monetizing this company. There is going to be someone who wants this platform and can monetize it. You could own it for the next 10-12 days then be ready to hold it for the fundamental story if no acquisition takes place.

She thinks this will find a buyer. At $16 a share, it could make sense for a company to step in and buy them. Twitter is the standard by which information flows about stocks, companies, opinions, etc. At $16, this is okay to step in and Buy. Investment bankers are not going to let this one go down. There is too much money to be made.

He just bought it. Their average monthly users slowed down, but it is like Linked In. It will be worth so much more to someone else in the future. The numbers next quarter should look better. It is a named property.