Wunderlich starts Twitter with Sell, shares -1.1% premarket

Wunderlich, which has given Twitter (TWTR) a $34 PT, is the third firm to give the microblogging leader a bearish rating (either through a coverage launch or downgrade) since shares ripped higher on IPO day (Nov. 7). Five others have assigned Neutral ratings, as the sell-side tries to weigh Twitter's still-massive growth and long-term ad/data monetization potential with a valuation of nearly 40x 2013E sales.

Short-sellers have begun aggressively betting against Twitter, leading to a sharp increase in borrowing costs. Likewise, Twitter's first day of options trading (Friday) ended with a put/call ratio of 2.02:1.

Shares are still up 67% from their $26 IPO price, but down 4% from an opening trade of $45.10.

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Comments (2)
  • Minibike
    , contributor
    Comment (1) | Send Message
    I am just an ordinary investor desiring to make money in this uncertain financial environment and economy. I greatly appreciate the wonderful and timely services and consideration from Seeking Alpha and your associates.
    18 Nov 2013, 04:53 PM Reply Like
  • stoj
    , contributor
    Comments (788) | Send Message
    I ( also ) wish Twitter would trade at 34$. Low thirties, is my initial buying level. ( I wonder how many owners want to sell there ? )
    18 Nov 2013, 07:17 PM Reply Like
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