Twitter: We Would Use Weakness To Add To Positions, Says Deutsche Bank
In a research report issued to investors today, Deutsche Bank analyst Ross Sandler maintained a Buy rating on Twitter Inc (NYSE:TWTR) with a $60 price target, as the company reported a beat/raise for 3Q14, and guided 4Q above consensus but also below heightened expectations.
Sandler said, “At 8.4x 2016 consensus revenue (vs. FB at 9x) and 29x EBITDA (vs. FB at 14x), with limited upward estimate revision, we are not surprised shares are taking a hit. We would use weakness to add to positions as we see nothing in 3Q that steers us away from the long-term bull camp, which should become more apparent at the upcoming analyst day.”
According to TipRanks.com, which measures analysts’ and bloggers’ success rate based on how their calls perform, analyst Ross Sandler has a total average return of 10.4% and a 56.2% success rate. Sandler has a 7.2% average return when recommending TWTR, and is ranked #260 out of 3349 analysts.