Twitter's (TWTR +4%) U.S. user base might be up 20% Y/Y in Q2, an improvement from Q1's 19%, writes Evercore's Ken Sena, reiterating an Overweight and $48 PT. That, in turn, makes a Street forecast for 21% global growth quite achievable.
Twitter, of course, has been battling with user growth and engagement concerns for months.The company fell well short of a target of 400M MAUs by the end of 2013 (it finished Q1 2014 with 255M, +25% Y/Y), and its Q4 numbers amplified investor investor worries. Twitter is rolling out/testing a slew of changes to deal with the issue.
Shares now +39% from their May low of $29.51, but still -45% from a December high of $74.73. They go for 10x 2015E sales exc. net cash/investments.