Twitter Tanks

Discussion in 'Penny Stocks' started by JadeDoo, May 6, 2014.

  1. Strykstar

    Strykstar Well-Known Member

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    I'm with Gelsemium here, Twitter isn't as powerful as Facebook, not even close.
    I did a quick search and found this comparison:
    [​IMG]
     
  2. JR Ewing

    JR Ewing Super Moderator Staff Member

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    A history of strong revenue growth to me shows that a company knows how to find ways to increase top line growth over time. Of course it doesn't mean they will absolutely continue doing so, and it doesn't guarantee a big jump in the stock price even longterm. But it is often one common theme among many high flyers that often have poor margins, little or no actual profits, etc. Amazon, Netflix, and many others have done this over time. But it is a riskier proposition, and best done with a smaller amount of capital.
     
  3. Thejamal

    Thejamal Guest

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    Ah, makes sense. Because nobody can predict Twitters membership growth, that leaves valuing the stock as a guessing game basically?

    Would Facebook be the exception to this rule as it's already far more established and has much bigger capital?
     
  4. Rosyrain

    Rosyrain Senior Investor

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    I would not invest in social media either. It seems too risky as you never know what the climate of the sites are going to be from one day to the next. It would be too easy for a brilliant person to come along and create something new that will wipe the site off the map.
     
  5. Gelsemium

    Gelsemium Senior Investor

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    Wow, really cool information and I think it shows well the difference between the two, it's impossible to compare, like David and Goliath.
     
  6. JR Ewing

    JR Ewing Super Moderator Staff Member

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    No matter how popular a site is or becomes, they will eventually run out of new users. Preferably there won't be a whole lot of turnover for a social networking company - hopefully they retain most members, and hopefully many are active members. It's got to be about more than just signing up new members - it will only survive and thrive by figuring out how to make more and more money from those members and perhaps through other ways such as acquisitions, diversification, etc.
     
  7. JaydonTyler

    JaydonTyler Well-Known Member

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    The most popular Twitter user is Justin Bieber. Now I know your chart is a joke. Get your facts right. Haha Yeah I agree, twitter is trying but it's not going to work. they are a different type of social network then facebook but they are trying to copy them with their new profiles that look horrible.

    Twitter needs to do their own thing and expand in a unique way different the facebook. After all, they are different then facebook.
     
  8. SteakTartare

    SteakTartare Senior Investor

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    (shudder) Another reason not to invest in Twitter. ;)

    In all seriousness, Twitter has few of the fundamentals that make it a good investment. That and the web audience is notoriously fickle, always swarming to the new cool thing. No thanks.
     
  9. JaydonTyler

    JaydonTyler Well-Known Member

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    You said it. Haha Although I like using twitter. Its good to use for information, but not something to invest in. Gotta wonder where all of their money comes from considering their losses. They are expanding twitter and look to progress in the future. So there is money being worked around. Weird.
     
  10. Gelsemium

    Gelsemium Senior Investor

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    I think that will be not Facebook's case, I see from my kid's example, he's 7 and he's asking to take a picture to put on FB because that's the place where people put what they do.
     

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