Twitter Inc. (NYSE:TWTR) stock surged more than 2.50% during
the mid-day trading session today. The stock continues to soar after the latest
takeover rumors. Recently, New York Times columnist Nick Bilton said on CNBC
that Twitter's potential acquirers find the current price too high. The stock
is down 23% year-to-date (YTD), which has lowered its market capitalization to
almost $12 billion. The potential acquirers of the micro-blogging service
prefer a lower price tag, in case a price war ensues.
Mr. Bilton stated that Facebook Inc. (NASDAQ:FB) will not be
interested in acquiring Twitter as the social network has not figured out
real-time news. On the other hand, if Alphabet Inc.’s (NASDAQ:GOOG) Google sees
Facebook speculating a bid on Twitter, this may pique its interest.
Previously, The Wall Street Journal reported that due to
Twitter’s large user base of more than 300 million monthly active users and
mobile-focused revenue growth, it can be an attractive takeover target
following its recent decline in the last few months. The report names Google,
Facebook as well as Time Warner Inc. (NYSE:TWX) and Twenty-First Century Fox
Inc. (NASDAQ:FOX) as potential buyers.
Twitter stock rebounded as much as 12% to $18.82 in
yesterday’s trading session from an all-time low of more than 4% at $16.80. The
stock surged on a rumor that News Corp. is in talks to acquire the social
network. However, News Corp. reaffirmed that it has no such intentions, causing
the micro-blogger's stock to dip slightly and close up almost 4%. At present,
Twitter stock is up 2.13% trading at $17.75 as of 1:38 PM EST.By: BIDNESSETC
Here's Why Twitter Inc Stock Surged Today
Twitter Inc. ( NYSE:TWTR) stock surged more than 2.50% during the mid-day trading session today. The stock continues to soar after the latest takeover rumors. Recently, New York Times columnist Nick Bilton said on CNBC that Twitter's potential acquirers find the current price too high.
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