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GuruFocus Financial Strength Rank measures how strong a company’s financial situation is. It is based on these factors

1. The debt burden that the company has as measured by its Interest coverage (current year).
2. Debt to revenue ratio. The lower, the better
3. Altman Z-score.

A company ranks high with financial strength is likely to withstand any business slowdowns and recessions.

Financial Strength : 5/10

vs
industry
vs
history
Cash to Debt 11.30
TWTR's Cash to Debt is ranked lower than
100% of the Companies
in the Global industry.

( Industry Median: vs. TWTR: 11.30 )
TWTR' s 10-Year Cash to Debt Range
Min: 3.71   Max: No Debt
Current: 11.3

Equity to Asset 0.88
TWTR's Equity to Asset is ranked lower than
100% of the Companies
in the Global industry.

( Industry Median: vs. TWTR: 0.88 )
TWTR' s 10-Year Equity to Asset Range
Min: -0.3   Max: 0.88
Current: 0.88

-0.3
0.88
Z-Score: 38.18
GuruFocus Profitability Rank ranks how profitable a company is and how likely the company’s business will stay that way. It is based on these factors:

1. Operating Margin
2. Trend of the Operating Margin (5-year average). The company with an uptrend profit margin has a higher rank.
••3. Consistency of the profitability
4. Piotroski F-Score
5. Predictability Rank•

The maximum rank is 10. A rank of 7 or higher means a higher profitability and may stay that way. A rank of 3 or lower indicates that the company has had trouble to make a profit.

Profitability Rank is not directly related to the Financial Strength Rank. But if a company is consistently profitable, its financial strength will be stronger.

Profitability & Growth : 2/10

vs
industry
vs
history
Operating margin (%) -95.63
TWTR's Operating margin (%) is ranked lower than
100% of the Companies
in the Global industry.

( Industry Median: vs. TWTR: -95.63 )
TWTR' s 10-Year Operating margin (%) Range
Min: -238.63   Max: -24.32
Current: -95.63

-238.63
-24.32
Net-margin (%) -97.06
TWTR's Net-margin (%) is ranked lower than
100% of the Companies
in the Global industry.

( Industry Median: vs. TWTR: -97.06 )
TWTR' s 10-Year Net-margin (%) Range
Min: -238.08   Max: -25.05
Current: -97.06

-238.08
-25.05
ROE (%) -21.88
TWTR's ROE (%) is ranked lower than
100% of the Companies
in the Global industry.

( Industry Median: vs. TWTR: -21.88 )
TWTR' s 10-Year ROE (%) Range
Min: -21.88   Max: -21.88
Current: -21.88

ROA (%) -19.17
TWTR's ROA (%) is ranked lower than
100% of the Companies
in the Global industry.

( Industry Median: vs. TWTR: -19.17 )
TWTR' s 10-Year ROA (%) Range
Min: -19.17   Max: -9.55
Current: -19.17

-19.17
-9.55
ROC (Joel Greenblatt) (%) -118.85
TWTR's ROC (Joel Greenblatt) (%) is ranked lower than
100% of the Companies
in the Global industry.

( Industry Median: vs. TWTR: -118.85 )
TWTR' s 10-Year ROC (Joel Greenblatt) (%) Range
Min: -152.66   Max: -30.33
Current: -118.85

-152.66
-30.33
» TWTR's 10-Y Financials

Financials


Revenue & Net Income
Cash & Debt
Oprt. Cash Flow & Free Cash Flow

» Details

Guru Trades

TWTR Guru Trades in

TWTR Guru Trades in

TWTR Guru Trades in

Q4 2013

TWTR Guru Trades in Q4 2013

PRIMECAP Management 20,000 sh (New)
Paul Tudor Jones 44,407 sh (New)
Ron Baron 149,669 sh (New)
John Burbank 599,175 sh (New)
Chris Davis 2,005,350 sh (New)
Jean-Marie Eveillard 650 sh (New)
Frank Sands 24,250 sh (New)
Steven Cohen 133,661 sh (New)
Chase Coleman 500,000 sh (New)
John Griffin 1,000,000 sh (New)
» More
» Details

Insider Trades

Latest Guru Trades with TWTR

GuruDate Trades Impact to Portfolio Price Range * (?) Current Price Change from Average Current Shares
John Burbank 2013-12-31 New Buy1.2%$39.06 - $73.31 $ 45.01-9%599175
John Griffin 2013-12-31 New Buy0.66%$39.06 - $73.31 $ 45.01-9%1000000
Ron Baron 2013-12-31 New Buy0.04%$39.06 - $73.31 $ 45.01-9%149669
PRIMECAP Management 2013-12-31 New Buy$39.06 - $73.31 $ 45.01-9%20000
Frank Sands 2013-12-31 New Buy$39.06 - $73.31 $ 45.01-9%24250
Jean-Marie Eveillard 2013-12-31 New Buy$39.06 - $73.31 $ 45.01-9%650
Premium More recent guru trades are included for Premium Members only!!
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Guru Investment Theses on Twitter Inc

Prem Watsa Comments on Twitter - Mar 11, 2014

Interestingly, Twitter (TWTR) went public, just after BlackBerry announced its convertible debt issue, at $26 per share, giving it a market value of $18 billion. It had revenues of $665 million and losses of $645 million, and most investors could not get a single share unless they were very good clients of the major houses underwriting the issue. On that day, BlackBerry traded in excess of 100 million shares at $6 per share, giving it a market value of $3 billion. BlackBerry had revenues of approximately $8 billion with cash of $2.6 billion and no debt other than the new convertible debt to be issued. If you thought that Twitter was grossly overvalued at $26 per share, it promptly doubled and currently is selling at $55 per share, with a market value of $39 billion.

Twitter is no exception – please see the recently compiled table below to see the extraordinary speculation in high tech companies. This sort of speculation will end just like the previous tech boom in 1999 – 2000 – very badly!



From Prem Watsa (Trades, Portfolio)'s annual 2013 letter to shareholders.

Check out Prem Watsa latest stock trades

Seth Klarman Comments on Twitter - Mar 11, 2014

Twitter (TWTR), for example, surged from $26 to almost $45 on day one, and closed the year around $64. It was priced, after all, at only twenty times its projected 2015 revenue. One analyst suggests the profitless company might achieve $50 million of “adjusted” cash earnings this year, giving it a P/E of over 500. Some hedge and mutual funds are again investing in late-stage, pre-IPO financing rounds for hot Internet companies at valuations that only seem reasonable if the companies go public, soon, and at astronomical prices.



From Seth Klarman (Trades, Portfolio)'s fourth quarter 2013 letter to shareholders.

Check out Prem Watsa latest stock trades

Martin Whitman Comments on Twitter - Dec 17, 2013

Twitter (TWTR) went public November 7, 2013 at $26 per share. On the first day of trading, Twitter Common closed at $45.90.There are obvious benefits to being an early IPO investor, assuming you can get a position size large enough to make a difference to a portfolio's over all return. Even these investors, however, achieved returns orders of magnitude lower than those obtained by Twitter's early investors and its most senior employees. The prospectus discloses, inter alia that 42,708,824 options on common shares, exercisable at an average price of $1.84 per share, were outstanding on June 30, 2013. On occasion, Third Avenue's funds can attempt to recreate this type of scenario by participating in a capital raise or refinancing (see the Third Avenue Real Estate Fund's investment in Trinity Place Holdings, discussed in that team's fourth quarter 2013 letter) but mostly we seek to create the possibility of achieving outsized returns by purchasing undervalued securities in the open market.

From Martin Whitman's Third Avenue Management fourth quarter 2013 investor letter
Check out Third Avenue Management,Martin Whitman latest stock trades

Top Ranked Articles about Twitter Inc

Seth Klarman Comments on Twitter
Twitter (TWTR), for example, surged from $26 to almost $45 on day one, and closed the year around $64. It was priced, after all, at only twenty times its projected 2015 revenue. One analyst suggests the profitless company might achieve $50 million of “adjusted” cash earnings this year, giving it a P/E of over 500. Some hedge and mutual funds are again investing in late-stage, pre-IPO financing rounds for hot Internet companies at valuations that only seem reasonable if the companies go public, soon, and at astronomical prices. Read more...
Prem Watsa Comments on Twitter
Interestingly, Twitter (TWTR) went public, just after BlackBerry announced its convertible debt issue, at $26 per share, giving it a market value of $18 billion. It had revenues of $665 million and losses of $645 million, and most investors could not get a single share unless they were very good clients of the major houses underwriting the issue. On that day, BlackBerry traded in excess of 100 million shares at $6 per share, giving it a market value of $3 billion. BlackBerry had revenues of approximately $8 billion with cash of $2.6 billion and no debt other than the new convertible debt to be issued. If you thought that Twitter was grossly overvalued at $26 per share, it promptly doubled and currently is selling at $55 per share, with a market value of $39 billion. Read more...
Martin Whitman Comments on Twitter
Twitter (TWTR) went public November 7, 2013 at $26 per share. On the first day of trading, Twitter Common closed at $45.90.There are obvious benefits to being an early IPO investor, assuming you can get a position size large enough to make a difference to a portfolio's over all return. Even these investors, however, achieved returns orders of magnitude lower than those obtained by Twitter's early investors and its most senior employees. The prospectus discloses, inter alia that 42,708,824 options on common shares, exercisable at an average price of $1.84 per share, were outstanding on June 30, 2013. On occasion, Third Avenue's funds can attempt to recreate this type of scenario by participating in a capital raise or refinancing (see the Third Avenue Real Estate Fund's investment in Trinity Place Holdings, discussed in that team's fourth quarter 2013 letter) but mostly we seek to create the possibility of achieving outsized returns by purchasing undervalued securities in the open market. Read more...

Ratios

vs
industry
vs
history
P/B 8.30
TWTR's P/B is ranked lower than
100% of the Companies
in the Global industry.

( Industry Median: vs. TWTR: 8.30 )
TWTR' s 10-Year P/B Range
Min: 7.39   Max: 12.73
Current: 8.3

7.39
12.73
P/S 12.82
TWTR's P/S is ranked lower than
100% of the Companies
in the Global industry.

( Industry Median: vs. TWTR: 12.82 )
TWTR' s 10-Year P/S Range
Min: 11.41   Max: 19.66
Current: 12.82

11.41
19.66
EV-to-EBIT -38.45
TWTR's EV-to-EBIT is ranked lower than
100% of the Companies
in the Global industry.

( Industry Median: vs. TWTR: -38.45 )
TWTR' s 10-Year EV-to-EBIT Range
Min: 0   Max: 0
Current: -38.45

Valuation & Return

vs
industry
vs
history
Price/Net Cash 13.48
TWTR's Price/Net Cash is ranked lower than
100% of the Companies
in the Global industry.

( Industry Median: vs. TWTR: 13.48 )
TWTR' s 10-Year Price/Net Cash Range
Min: 19.06   Max: 19.06
Current: 13.48

Price/Net Current Asset Value 12.23
TWTR's Price/Net Current Asset Value is ranked lower than
100% of the Companies
in the Global industry.

( Industry Median: vs. TWTR: 12.23 )
TWTR' s 10-Year Price/Net Current Asset Value Range
Min: 17.3   Max: 17.3
Current: 12.23

Price/Tangible Book 9.77
TWTR's Price/Tangible Book is ranked lower than
100% of the Companies
in the Global industry.

( Industry Median: vs. TWTR: 9.77 )
TWTR' s 10-Year Price/Tangible Book Range
Min: 13.81   Max: 13.81
Current: 9.77

Price/Median PS Value 0.81
TWTR's Price/Median PS Value is ranked lower than
100% of the Companies
in the Global industry.

( Industry Median: vs. TWTR: 0.81 )
TWTR' s 10-Year Price/Median PS Value Range
Min: 1.14   Max: 1.14
Current: 0.81

Business Description

Industry: »
Compare: » details
Traded in other countries:TWR.Germany

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