Is Twitter Inc (TWTR) a Buyout Target Like Yahoo?
#Twitter Inc (TWTR) shares edged higher amid speculation by an analyst who thinks the company may make an attractive buyout target following its disappointing earnings report. This isn’t the first time Twitter has been floated as a good target. Certainly there’s no denying that the micro-blogging platform is being left in the dust.
Twitter, #Yahoo Left Out in the Cold
Investing.com shared their weekly comic with ValueWalk last week, and it certainly is timing. It shows #Apple Inc (AAPL), #Google (GOOG) and #Facebook Inc’s (FB) management toasting their success with Yahoo! Inc. (YHOO) and Twitter left out in the cold. Yahoo figuratively shows its age with CEO Marissa Mayer hobbling away from the party using a cane, and Twitter… Well, Twitter was never even invited to the party as its bird hovers outside the window, peaking in to see what’s going on.
Will #Google or #Microsoft come to Twitter’s rescue?
In a report dated July 27, FBN Securities analyst Shebly Seyrafi reiterated his “outperform” rating on Twitter but trimmed his price target from $20 to $19 per share. He’s one of a very few analysts who have the equivalent of a “buy” rating on the struggling social media network. He sees the potential for a buyout as growing and notes that as Twitter’s share price declines, its buyout value becomes more and more compelling.
Further, he said a greater and greater portion of the company’s value is coming from its take-out value.