Thursday, March 30, 2023
  • About Us
  • Contact Us
Parliamentobserver
  • Ecology
  • Economy
  • Healthcare
  • Politics
  • Education
  • Business
  • Login
No Result
View All Result
Parliamentobserver
Home Economy

Twitter: The Tale of the Tape

Dennis Rogers by Dennis Rogers
September 29, 2022
in Economy
0
Twitter: The Tale of the Tape
0
SHARES
11
VIEWS
Share on FacebookShare on Twitter

When Elon Musk offered $54.20 per share to buy Twitter on April 13th, it was near a bottom, having fallen from an intra-day high of $72.20 on 13 July 2021, to an intra-day low of $32.40 on 7 March 2022.

Related posts

Biden could reduce inflation, mitigate a recession, and strengthen democracy with a new EU-US trade agreement

Biden could reduce inflation, mitigate a recession, and strengthen democracy with a new EU-US trade agreement

September 29, 2022
Recent trends in global value chains and beyond

Recent trends in global value chains and beyond

September 29, 2022

Chart created with Yahoo Finance, annotations added

To some extent, the fall in Twitter might have been due to the softening of the stock market. But, as you can see in the above chart, Twitter’s fall preceded that of the S&P 500 index. Plus, Twitter stock has a relatively modest five-year beta of 0.8, so that its tendency to rise or fall with the S&P 500 index is only by that fraction.

No, the fall of Twitter was not much due to the stock market, but was due to company-specific events. In particular, while revenue has been growing strongly, earnings have not. The company’s operating profit margin has been narrow, and its net income negative. While the company formerly enjoyed a high valuation based on potential, its valuation fell as the company failed to turn that potential into a profit.

A seemingly similar problem has impacted Disney, except that nobody has made, or maybe could make a play on that company because of its tremendous size. Disney, a mature media conglomerate, has suffered a similar downturn in its fortunes during the past year.

Chart created with Yahoo Finance, annotations added

Mass marketing companies such as Twitter and Disney offend the sensibilities of the mass market at their own peril. It is different, of course, for niche marketers. Niche marketers specifically want to connect their image as well as their product to their target customers. Mass marketers must, on the other hand, seek to be non-offensive, something that is difficult in the best of times, and maybe impossible at others.

These being times of polarization pose real challenges to mass marketers. The above charts suggest that certain mass marketers could do better.

Previous Post

This Tweet Contains Speech. Click Here to Learn More.

Next Post

Food Prices Send AIER’s Everyday Price Index Up 0.5 Percent in April

Next Post
Food Prices Send AIER’s Everyday Price Index Up 0.5 Percent in April

Food Prices Send AIER’s Everyday Price Index Up 0.5 Percent in April

RECOMMENDED NEWS

How to rein in partisan Supreme Court justices

How to rein in partisan Supreme Court justices

1 year ago
Priorities for advancing women’s equal political leadership in the coming year

Priorities for advancing women’s equal political leadership in the coming year

1 year ago
The state of international cooperation and multilateralism: A conversation with Ambassador Linda Thomas-Greenfield, representative of the United States to the United Nations

The state of international cooperation and multilateralism: A conversation with Ambassador Linda Thomas-Greenfield, representative of the United States to the United Nations

12 months ago
Has Biden Unknowingly Begun World War III in Financial Markets?

Has Biden Unknowingly Begun World War III in Financial Markets?

1 year ago

BROWSE BY CATEGORIES

  • Business
  • Ecology
  • Economy
  • Education
  • Healthcare
  • Politics

POPULAR NEWS

  • Klaus Schwab – The Most Dangerous Man in the World

    0 shares
    Share 0 Tweet 0
  • Dr. Robert Malone v WEF

    0 shares
    Share 0 Tweet 0
  • Ukraine Adopts WEF Proposals

    0 shares
    Share 0 Tweet 0
  • Trudeau’s Approval Rating Hits 12-Month Low

    0 shares
    Share 0 Tweet 0
  • Trudeau Backs Down After Banks Scream about Massive Withdrawals

    0 shares
    Share 0 Tweet 0
Parliamentobserver

We bring you latest news about ecology, economy, healthcare, politics, education, business.

Recent News

  • Supporting Ukrainian Economy: #SpendWithUkraine Initiative Launched by Ukrainian Brands
  • Starting Up: A Look at the Most Interesting Websites for Entrepreneurs and Startups
  • The Role of Healthcare Advertising in Shaping Economic and Political Decisions

Category

  • Business
  • Ecology
  • Economy
  • Education
  • Healthcare
  • Politics

Recent News

Supporting Ukrainian Economy: #SpendWithUkraine Initiative Launched by Ukrainian Brands

Supporting Ukrainian Economy: #SpendWithUkraine Initiative Launched by Ukrainian Brands

February 6, 2023
Starting Up: A Look at the Most Interesting Websites for Entrepreneurs and Startups

Starting Up: A Look at the Most Interesting Websites for Entrepreneurs and Startups

January 18, 2023
  • About Us
  • Contact Us

© 2022 parliamentobserver.com Submit news release

No Result
View All Result
  • Ecology
  • Economy
  • Healthcare
  • Politics
  • Education
  • Business

© 2022 parliamentobserver.com Submit news release

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In