Twitter Isn’t Growing Anymore, And Neither Is The Stock

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What's going on?

Twitter stock sold off more than 10% as it reported only 1% user growth, meaning its ability to attract new users has virtually come to a standstill.

What does this mean?

Twitter appeals to a certain cadre of hardcore users (often journalists and celebrities), but it has failed to gain mass traction. For example, it has only 20% the amount of users as Facebook. Twitters stock price will likely languish until the company is able to start growing its user base again. The company does, however, have a plan: it is changing its feed to make it more appealing to users and less chronological (like Facebooks newsfeed) and it is creating a new feature that highlights tweets, photos and video of a specific live event you could, for example, view a Twitter summary of the Super Bowl.

Why should I care?

1.If Twitter can implement its plans and grow its number of users, the stock will likely react very positively. However, if it doesnt figure out how to do this, it risks losing out to rival social media platforms, and its stock could decline even further.
Originally posted as part of the Finimize daily email.

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