Wall Street Rejoices as Twitter Shares Surge

 


Twitter has given Wall Street what it wanted: a surge in users, and for Wall Street, a surge in shares. Twitter shares grew nearly 40%, surpassing Wall Streets expectations.
The sites second quarter grew by 124%, to $312 million, from last year's quarter around this same time.
"Surprise surprise, Twitter had a great quarter," said Debra Aho Williamson, an analyst with market research firm eMarketer. "Nobody was expecting it. They really outperformed in just about every metric that we can see," she said. "They've answered a lot of questions."
Twitter said that its earning grew to two cents per share. Previous estimate were that Twitter would lose a penny per share.
This spike sent Twitter shares up 38% to a nice $52.28 per share.
"Our strong financial and operating results from for the second quarter show the continued momentum of our business," Twitter CEO Dick Costolo said. "We remain focused on driving increased user growth and engagement."
So what was this great increase in users for Twitter? Twitter gained 16 million users in the second quarter, ascending from their December number of 255 million active users. Those users averaged 500 million tweets everyday.
Twitter's population of over 255 million monthly users represents a real business for Twitter. Some wonder if Twitter has the capability to grow to Facebook numbers.
"Twitter is not for everybody, at least in my option," he said. "Twitter is to Facebook what radio is to television. They're different media. It's a different way to receive information and that's okay."
Doesn't seem like Twitter plans to change anything about their designs.
"If you had fallen asleep six years ago and logged back into your Twitter account today you'd be pretty comfortable," he said. "There are a few design tweaks, but the reality is the service, the features and the functionally are the same."
But they do plan to change internally, with new Twitter-related products on their way.