It’s been a big day for Twitter, with its shares picking up just over 10 percent. What caused the spike? An analyst upgrade from Nomura. The new buy rating came with a reiterated $43 price target.
Twitter closed today at $33.77 per share.
The good news for Twitter comes on the heels of it picking up some momentum yesterday. A report indicated that Twitter would see strong user growth in Asia in the next few years, and the company announced a nine-figure, two-year deal that could help it drive revenue growth. That, along with today’s upgrade and ensuing share price bounce, have put new shine on the social company.
Twitter remains far below its record highs, but has managed to recover from its recent lows. The company’s decline has been in line with the slippage experienced by a number of other public technology companies — the so-called “momentum” tech stocks have led to fretting that valuations for all sorts of tech firms were in for a correction.
That worry has mostly come to pass. However, for Twitter, today is a nice break from the trend.
Twitter’s life as a public company has been interesting, given that the firm has outperformed financial expectations, but seen its shares plummet each time it reported quarterly results. Concerns involving potential growth in its user base have been at the forefront of investor minds, making yesterday’s report on that growth key.
All told, after a prolonged rough patch, Twitter is having a good week.