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Twitter

NYSE:TWTR
Snowflake Description

Excellent balance sheet with acceptable track record.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
TWTR
NYSE
$25B
Market Cap
  1. Home
  2. US
  3. Media
Company description

Twitter, Inc. operates as a platform for public self-expression and conversation in real time. The last earnings update was 32 days ago. More info.


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TWTR Share Price and Events
7 Day Returns
6.2%
NYSE:TWTR
0.2%
US Interactive Media and Services
-1.1%
US Market
1 Year Returns
3.5%
NYSE:TWTR
6.3%
US Interactive Media and Services
6.4%
US Market
TWTR Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Twitter (TWTR) 6.2% 4.1% 24.8% 3.5% 111.7% -29.2%
US Interactive Media and Services 0.2% 4.9% 24.4% 6.3% 53.7% 104%
US Market -1.1% 0.3% 17.2% 6.4% 37.9% 42.1%
1 Year Return vs Industry and Market
  • TWTR underperformed the Interactive Media and Services industry which returned 6.3% over the past year.
  • TWTR underperformed the Market in United States of America which returned 6.4% over the past year.
Price Volatility
TWTR
Industry
5yr Volatility vs Market
Related Companies

TWTR Value

 Is Twitter undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Twitter to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Twitter.

NYSE:TWTR Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model 2 Stage Free Cash Flow to Equity
Levered Free Cash Flow Average of 36 Analyst Estimates (S&P Global) See below
Discount Rate (Cost of Equity) See below 9.2%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NYSE:TWTR
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Interactive Media and Services Unlevered Beta Simply Wall St/ S&P Global 1.03
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 1.029 (1 + (1- 21%) (10.78%))
1.078
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
1.08
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (1.078 * 5.96%)
9.16%

Discounted Cash Flow Calculation for NYSE:TWTR using 2 Stage Free Cash Flow to Equity Model

The calculations below outline how an intrinsic value for Twitter is arrived at by discounting future cash flows to their present value using the 2 stage method. We try to start with analysts estimates of free cash flow, however if these are not available we use the most recent financial results. In the 1st stage we continue to grow the free cash flow over a 10 year period, with the growth rate trending towards the perpetual growth rate used in the 2nd stage. The 2nd stage assumes the company grows at a stable rate into perpetuity.

NYSE:TWTR DCF 1st Stage: Next 10 year cash flow forecast
Levered FCF (USD, Millions) Source Present Value
Discounted (@ 9.16%)
2019 627.64 Analyst x8 575.00
2020 855.52 Analyst x11 718.01
2021 1,026.58 Analyst x4 789.31
2022 1,014.09 Analyst x2 714.30
2023 1,112.60 Analyst x1 717.95
2024 1,180.71 Est @ 6.12% 698.00
2025 1,240.98 Est @ 5.1% 672.09
2026 1,295.49 Est @ 4.39% 642.76
2027 1,345.93 Est @ 3.89% 611.77
2028 1,393.64 Est @ 3.54% 580.31
Present value of next 10 years cash flows $6,719.50
NYSE:TWTR DCF 2nd Stage: Terminal Value
Calculation Result
Terminal Value = FCF2028 × (1 + g) ÷ (Discount Rate – g)
= $1,393.64 × (1 + 2.73%) ÷ (9.16% – 2.73%)
$22,278.69
Present Value of Terminal Value = Terminal Value ÷ (1 + r)10
= $22,278.69 ÷ (1 + 9.16%)10
$9,276.92
NYSE:TWTR Total Equity Value
Calculation Result
Total Equity Value = Present value of next 10 years cash flows + Terminal Value
= $6,719.50 + $9,276.92
$15,996.42
Equity Value per Share
(USD)
= Total value / Shares Outstanding
= $15,996.42 / 764.59
$20.92
NYSE:TWTR Discount to Share Price
Calculation Result
Value per share (USD) From above. $20.92
Current discount Discount to share price of $33.02
= -1 x ($33.02 - $20.92) / $20.92
-57.8%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

  • The current share price of Twitter is above its future cash flow value.
Often investors are willing to pay a premium for a company that has a high dividend or the potential for future growth.
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Twitter's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Twitter's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NYSE:TWTR PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2018-12-31) in USD $1.60
NYSE:TWTR Share Price ** NYSE (2019-03-22) in USD $33.02
United States of America Interactive Media and Services Industry PE Ratio Median Figure of 25 Publicly-Listed Interactive Media and Services Companies 24.86x
United States of America Market PE Ratio Median Figure of 3,062 Publicly-Listed Companies 17.16x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Twitter.

NYSE:TWTR PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NYSE:TWTR Share Price ÷ EPS (both in USD)

= 33.02 ÷ 1.60

20.66x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Twitter is good value based on earnings compared to the US Interactive Media and Services industry average.
  • Twitter is overvalued based on earnings compared to the United States of America market.
Price based on expected Growth
Does Twitter's expected growth come at a high price?
Raw Data
NYSE:TWTR PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 20.66x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 36 Analysts
-11.3%per year
United States of America Interactive Media and Services Industry PEG Ratio Median Figure of 24 Publicly-Listed Interactive Media and Services Companies 1.57x
United States of America Market PEG Ratio Median Figure of 2,105 Publicly-Listed Companies 1.44x

*Line of best fit is calculated by linear regression .

NYSE:TWTR PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 20.66x ÷ -11.3%

-1.83x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Twitter earnings are not expected to grow next year, we can't assess if its growth is good value.
Price based on value of assets
What value do investors place on Twitter's assets?
Raw Data
NYSE:TWTR PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2018-12-31) in USD $8.93
NYSE:TWTR Share Price * NYSE (2019-03-22) in USD $33.02
United States of America Interactive Media and Services Industry PB Ratio Median Figure of 55 Publicly-Listed Interactive Media and Services Companies 3.34x
United States of America Market PB Ratio Median Figure of 5,165 Publicly-Listed Companies 1.85x
NYSE:TWTR PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NYSE:TWTR Share Price ÷ Book Value per Share (both in USD)

= 33.02 ÷ 8.93

3.7x

* Primary Listing of Twitter.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Twitter is overvalued based on assets compared to the US Interactive Media and Services industry average.
X
Value checks
We assess Twitter's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Interactive Media and Services industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Interactive Media and Services industry average (and greater than 0)? (1 check)
  5. Twitter has a total score of 1/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

TWTR Future Performance

 How is Twitter expected to perform in the next 1 to 3 years based on estimates from 36 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
-11.3%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Twitter expected to grow at an attractive rate?
  • Twitter's earnings are expected to decrease over the next 1-3 years, this is below the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Twitter's earnings are expected to decrease over the next 1-3 years, this is below the United States of America market average.
  • Twitter's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NYSE:TWTR Future Growth Rates Data Sources
Data Point Source Value (per year)
NYSE:TWTR Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 36 Analysts -11.3%
NYSE:TWTR Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 36 Analysts 10.9%
United States of America Interactive Media and Services Industry Earnings Growth Rate Market Cap Weighted Average 12.4%
United States of America Interactive Media and Services Industry Revenue Growth Rate Market Cap Weighted Average 14.7%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.2%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.1%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NYSE:TWTR Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 36 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NYSE:TWTR Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2023-12-31 5,302 2,286 1,310 5
2022-12-31 4,814 1,893 678 6
2021-12-31 4,418 1,698 786 16
2020-12-31 3,976 1,440 522 32
2019-12-31 3,480 1,256 373 36
NYSE:TWTR Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2018-12-31 3,042 1,340 1,206
2018-09-30 2,865 1,206 1,041
2018-06-30 2,697 1,002 231
2018-03-31 2,560 870 14
2017-12-31 2,443 831 -108
2017-09-30 2,429 830 -366
2017-06-30 2,455 779 -448
2017-03-31 2,483 804 -439
2016-12-31 2,530 763 -457
2016-09-30 2,523 666 -380
2016-06-30 2,476 578 -409
2016-03-31 2,377 454 -438

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Twitter's earnings are expected to decrease over the next 1-3 years, this is not considered high growth.
  • Twitter's revenue is expected to grow by 10.9% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NYSE:TWTR Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (2 months ago) See Below
Future Estimates Average of up to 36 Analyst Estimates (S&P Global) See Below

All data from Twitter Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:TWTR Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2023-12-31 1.57 2.15 0.98 2.00
2022-12-31 1.09 1.69 0.72 3.00
2021-12-31 0.90 1.29 0.39 8.00
2020-12-31 0.60 0.94 0.21 21.00
2019-12-31 0.48 0.67 0.34 20.00
NYSE:TWTR Past Financials Data
Date (Data in USD Millions) EPS *
2018-12-31 1.60
2018-09-30 1.39
2018-06-30 0.31
2018-03-31 0.02
2017-12-31 -0.15
2017-09-30 -0.50
2017-06-30 -0.62
2017-03-31 -0.62
2016-12-31 -0.65
2016-09-30 -0.55
2016-06-30 -0.60
2016-03-31 -0.65

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Twitter is not expected to efficiently use shareholders’ funds in the future (Return on Equity less than 20%).
X
Future performance checks
We assess Twitter's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Twitter has a total score of 1/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

TWTR Past Performance

  How has Twitter performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Twitter's growth in the last year to its industry (Interactive Media and Services).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Twitter has delivered over 20% year on year earnings growth in the past 5 years.
  • Twitter has become profitable in the last year making the earnings growth rate difficult to compare to the 5-year average.
  • Twitter has become profitable in the last year making it difficult to compare the US Interactive Media and Services industry average.
Earnings and Revenue History
Twitter's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Twitter Company Filings, last reported 2 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NYSE:TWTR Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2018-12-31 3,042.36 1,205.60 1,067.58 552.46
2018-09-30 2,865.08 1,041.37 1,043.06 544.58
2018-06-30 2,696.61 231.10 1,007.45 529.93
2018-03-31 2,559.92 14.49 1,002.02 523.63
2017-12-31 2,443.30 -108.06 997.11 539.91
2017-09-30 2,428.95 -366.20 1,048.42 594.24
2017-06-30 2,455.25 -447.97 1,104.01 635.18
2017-03-31 2,483.35 -438.70 1,154.73 681.72
2016-12-31 2,529.62 -456.87 1,214.71 697.58
2016-09-30 2,522.89 -380.06 1,247.74 721.41
2016-06-30 2,476.19 -408.87 1,222.27 752.30
2016-03-31 2,376.61 -438.32 1,182.27 772.70
2015-12-31 2,218.03 -521.03 1,132.16 806.65
2015-09-30 1,986.64 -556.15 1,041.44 778.31
2015-06-30 1,778.67 -599.92 990.28 753.71
2015-03-31 1,588.45 -607.90 908.38 731.90
2014-12-31 1,403.00 -577.82 804.02 691.54
2014-09-30 1,166.60 -963.94 789.97 904.68
2014-06-30 973.91 -853.08 657.14 808.64
2014-03-31 801.04 -750.66 535.56 695.81
2013-12-31 664.89 -645.32 440.01 593.99
2013-09-30 534.46 -142.56 238.92 239.48
2013-06-30 448.21 -99.55 194.17 184.50
2013-03-31 376.96 -84.90 167.83 147.60
2012-12-31 316.93 -79.40 146.24 119.00

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Twitter has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Twitter used its assets more efficiently than the US Interactive Media and Services industry average last year based on Return on Assets.
  • Twitter has become profitable over the past 3 years. This is considered to be a significant improvement in its use of capital (Return on Capital Employed).
X
Past performance checks
We assess Twitter's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Interactive Media and Services industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Twitter has a total score of 3/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

TWTR Health

 How is Twitter's financial health and their level of debt?

A company's financial position is much like your own financial position, it includes everything you own (assets) and owe (liabilities).

The boxes below represent the relative size of what makes up Twitter's finances.

The net worth of a company is the difference between its assets and liabilities.
Net Worth
  • Twitter is able to meet its short term (1 year) commitments with its holdings of cash and other short term assets.
  • Twitter's cash and other short term assets cover its long term commitments.
Balance sheet
This treemap shows a more detailed breakdown of Twitter's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
  • Low level of unsold assets.
  • Debt is covered by short term assets, assets are 2.6x debt.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Twitter Company Filings, last reported 2 months ago.

NYSE:TWTR Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2018-12-31 6,805.59 2,720.69 6,209.40
2018-09-30 6,452.57 2,707.83 5,956.54
2018-06-30 5,570.90 2,696.19 5,661.12
2018-03-31 5,210.44 1,808.61 4,528.83
2017-12-31 5,047.22 1,793.74 4,403.10
2017-09-30 4,829.41 1,772.49 4,258.10
2017-06-30 4,728.90 1,746.01 4,079.91
2017-03-31 4,690.38 1,718.36 3,943.68
2016-12-31 4,604.94 1,686.65 3,774.58
2016-09-30 4,629.33 1,654.22 3,664.18
2016-06-30 4,556.85 1,620.73 3,588.16
2016-03-31 4,477.49 1,602.68 3,576.41
2015-12-31 4,368.05 1,602.96 3,495.35
2015-09-30 4,274.16 1,602.11 3,489.19
2015-06-30 4,231.18 1,596.88 3,560.57
2015-03-31 3,687.10 1,600.75 3,557.21
2014-12-31 3,626.40 1,607.29 3,621.88
2014-09-30 3,525.04 1,525.75 3,647.68
2014-06-30 3,046.59 201.67 2,097.03
2014-03-31 2,936.85 193.50 2,176.60
2013-12-31 2,950.01 197.65 2,234.05
2013-09-30 707.41 185.04 321.08
2013-06-30 710.15 168.84 375.06
2013-03-31 722.97 155.21 403.47
2012-12-31 626.31 136.76 424.86
  • Twitter's level of debt (40%) compared to net worth is satisfactory (less than 40%).
  • The level of debt compared to net worth has increased over the past 5 years (6.7% vs 40% today).
  • Debt is well covered by operating cash flow (49.2%, greater than 20% of total debt).
  • Interest payments on debt are well covered by earnings (EBIT is 21.4x coverage).
X
Financial health checks
We assess Twitter's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Twitter has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

TWTR Dividends

 What is Twitter's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
0%
Current annual income from Twitter dividends. Estimated to be 0% next year.
If you bought $2,000 of Twitter shares you are expected to receive $0 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Unable to evaluate Twitter's dividend yield against the bottom 25% of dividend payers as the company has not reported any payouts.
  • Unable to evaluate Twitter's dividend against the top 25% market benchmark as the company has not reported any payouts.
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NYSE:TWTR Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 36 Analyst Estimates (S&P Global) See Below
Global Interactive Media and Services Industry Average Dividend Yield Market Cap Weighted Average of 19 Stocks 0.3%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2003 Stocks 2.5%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.9%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.5%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NYSE:TWTR Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2023-12-31
2022-12-31
2021-12-31 0.00 3.00
2020-12-31 0.00 5.00
2019-12-31 0.00 5.00

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Unable to perform a dividend volatility check as Twitter has not reported any payouts.
  • Unable to verify if Twitter's dividend has been increasing as the company has not reported any payouts.
Current Payout to shareholders
What portion of Twitter's earnings are paid to the shareholders as a dividend.
  • Unable to calculate sustainability of dividends as Twitter has not reported any payouts.
Future Payout to shareholders
  • No need to calculate the sustainability of Twitter's dividends in 3 years as they are not expected to pay a notable one for United States of America.
X
Income/ dividend checks
We assess Twitter's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.9%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Twitter afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Twitter has a total score of 0/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

TWTR Management

 What is the CEO of Twitter's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Jack Dorsey
COMPENSATION $0
AGE 41
TENURE AS CEO 3.7 years
CEO Bio

Mr. Jack Dorsey Co-founded Square, Inc. in February 2009 and has been its Chief Executive Officer and President since July 2009. Mr. Dorsey Co-founded Twitter, Inc. in 2006 and has been its Chief Executive Officer since September 30, 2015. He serves as an Adviser of Thrive Capital. He has extensive experience with technology companies. He also served as an Interim Chief Executive Officer of Twitter, Inc. from July 2015 to September 30, 2015. He served as Chief Executive Officer and President of Twitter, Inc. from May 2007 to October 2008. He served as an Advisor of Open Places (AKA Trazzler, Inc.). He serves as the Chairman of Square, Inc. He served as the Chairman of the Board of Twitter, Inc. from October 2008 to September 30, 2015. He has been a Director of Twitter, Inc. since May 2007. He served as an Independent Director of The Walt Disney Company from December 20, 2013 to March 8, 2018. He has been a Director of Square, Inc. since July 2009. Mr. Dorsey serves as a Member of Advisory Board of Techonomy Media Inc. Mr. Dorsey attended New York University and Missouri University of Science and Technology.

CEO Compensation
  • Jack's compensation has been consistent with company performance over the past year.
  • Jack's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Twitter management team in years:

3.7
Average Tenure
44
Average Age
  • The tenure for the Twitter management team is about average.
Management Team

Omid Kordestani

TITLE
Executive Chairman
COMPENSATION
$2M
AGE
54

Jack Dorsey

TITLE
Co-Founder
AGE
41
TENURE
3.7 yrs

Ned Segal

TITLE
Chief Financial Officer
COMPENSATION
$15M
AGE
44
TENURE
1.6 yrs

Vijaya Gadde

TITLE
Chief Legal Officer & Secretary
COMPENSATION
$908K
AGE
43
TENURE
5.6 yrs

Biz Stone

TITLE
Co-Founder
TENURE
13.2 yrs

Noah Glass

TITLE
Co-Founder
TENURE
13.2 yrs

Robert Kaiden

TITLE
Chief Accounting Officer
AGE
51
TENURE
3.8 yrs

Parag Agrawal

TITLE
Technology Lead
TENURE
1.4 yrs

Krista Bessinger

TITLE
Senior Director of Investor Relations

Leslie Berland

TITLE
People & Marketing Lead
TENURE
3.2 yrs
Board of Directors Tenure

Average tenure and age of the Twitter board of directors in years:

2.8
Average Tenure
54
Average Age
  • The average tenure for the Twitter board of directors is less than 3 years, this suggests a new board.
Board of Directors

Omid Kordestani

TITLE
Executive Chairman
COMPENSATION
$2M
AGE
54
TENURE
3.4 yrs

Jack Dorsey

TITLE
Co-Founder
AGE
41
TENURE
11.8 yrs

David Rosenblatt

TITLE
Director
COMPENSATION
$305K
AGE
50
TENURE
8.3 yrs

Debra Lee

TITLE
Director
COMPENSATION
$290K
AGE
63
TENURE
2.8 yrs

Patrick Pichette

TITLE
Director
AGE
55
TENURE
1.3 yrs

Martha Lane Fox

TITLE
Director
COMPENSATION
$295K
AGE
45
TENURE
2.9 yrs

Bret Taylor

TITLE
Director
COMPENSATION
$285K
AGE
38
TENURE
2.7 yrs

Ngozi Okonjo-Iweala

TITLE
Independent Director
AGE
64
TENURE
0.7 yrs

Robert Zoellick

TITLE
Independent Director
AGE
64
TENURE
0.7 yrs
Who owns this company?
Recent Insider Trading
  • Twitter insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
22. Mar 19 Sell Michael Montano Individual 20. Mar 19 20. Mar 19 -1,250 $31.24 $-39,050
08. Mar 19 Sell Michael Montano Individual 05. Mar 19 05. Mar 19 -1,250 $30.50 $-38,125
06. Mar 19 Sell Robert Kaiden Individual 01. Mar 19 01. Mar 19 -2,603 $30.67 $-79,844
06. Feb 19 Sell Robert Kaiden Individual 01. Feb 19 01. Feb 19 -4,676 $33.88 $-158,436
05. Jan 19 Sell Robert Kaiden Individual 03. Jan 19 03. Jan 19 -417 $28.25 $-11,780
06. Dec 18 Sell Robert Kaiden Individual 03. Dec 18 03. Dec 18 -3,538 $33.06 $-116,964
16. Nov 18 Sell Ned Segal Individual 13. Nov 18 13. Nov 18 -6,000 $32.57 $-192,959
03. Nov 18 Sell Robert Kaiden Individual 01. Nov 18 01. Nov 18 -2,374 $34.03 $-80,798
03. Oct 18 Sell Robert Kaiden Individual 01. Oct 18 01. Oct 18 -1,362 $28.62 $-38,976
08. Sep 18 Sell Robert Kaiden Individual 06. Sep 18 06. Sep 18 -3,718 $32.24 $-117,015
06. Sep 18 Sell Robert Kaiden Individual 04. Sep 18 04. Sep 18 -3,782 $35.00 $-132,382
04. Aug 18 Sell Robert Kaiden Individual 01. Aug 18 01. Aug 18 -2,315 $32.26 $-74,690
04. Jul 18 Sell Robert Kaiden Individual 02. Jul 18 02. Jul 18 -1,355 $44.21 $-59,910
02. Jun 18 Sell Robert Kaiden Individual 01. Jun 18 01. Jun 18 -3,641 $35.52 $-129,337
04. May 18 Sell Robert Kaiden Individual 01. May 18 01. May 18 -2,341 $30.67 $-71,804
03. Apr 18 Sell Robert Kaiden Individual 02. Apr 18 02. Apr 18 -1,421 $28.12 $-39,958
X
Management checks
We assess Twitter's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Twitter has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

TWTR News

Simply Wall St News

If You Had Bought Twitter (NYSE:TWTR) Stock Three Years Ago, You Could Pocket A 95% Gain Today

(NYSE:TWTR), which is up 95%, over three years, soundly beating the market return of 39% (not including dividends). … One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement. … During three years of share price growth, Twitter moved from a loss to profitability.

Simply Wall St -

Twitter, Inc. (NYSE:TWTR) Has A ROE Of 18%

With that in mind, this article will work through how we can use Return On Equity (ROE) to better understand a business. … Our data shows Twitter has a return on equity of 18% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

What Investors Should Know About Twitter, Inc.'s (NYSE:TWTR) Financial Strength

(NYSE:TWTR), a large-cap worth US$25b, comes to mind for investors seeking a strong and reliable stock investment. … This article will examine Twitter’s financial liquidity and debt levels to get an idea of whether the company can deal with cyclical downturns and maintain funds to accommodate strategic spending for future growth. … Note that this information is centred entirely on financial health and is a high-level overview, so I encourage you to look further

Simply Wall St -

What Kind Of Investor Owns Most Of Twitter, Inc. (NYSE:TWTR)?

The big shareholder groups in Twitter, Inc. … Institutions often own shares in more established companies, while it's not unusual to see insiders own a fair bit of smaller companies. … Taking a look at the our data on the ownership groups (below), it's seems that.

Simply Wall St -

A Note On Twitter Inc's (NYSE:TWTR) ROE and Debt To Equity

While some investors are already well versed in financial metrics (hat tip), this article is for those who would like to learn about Return On Equity (ROE) and why it is important. … Our data shows Twitter has a return on equity of 16% for the last year. … Return on Equity = Net Profit ÷ Shareholders' Equity

Simply Wall St -

Does The Hype Around Twitter Inc's (NYSE:TWTR) Growth Justify Its October Share Price?

Twitter Inc (NYSE:TWTR) closed yesterday at $29.18, which left some investors asking whether the high earnings potential can still be justified at this price. … Let’s look into this by assessing TWTR's expected growth over the next few years. … Twitter's extremely high growth potential in the near future is attracting investors

Simply Wall St -

Twitter Inc's (NYSE:TWTR) Insiders Have Sold Shares - Should You?

some insider selling over the past three months, with insiders divesting from. … A well-known argument is that insiders divesting from their own companies’ shares sends a pessimistic signal. … A two-decade research published in The MIT Press (1998) showed that stocks following insider selling declined 2.7% relative to the market

Simply Wall St -

Is Twitter Inc (NYSE:TWTR) A Sell At Its Current PE Ratio?

Yes, this excessive multiple can initially be deterring, but there are many company-specific elements which are not captured in such a static ratio – such as its growth outlook and debt obligations … This article will cover some key aspects we should consider in order to determine the best multiple to be used for

Simply Wall St -

With An ROE Of 0.28%, Can Twitter Inc (NYSE:TWTR) Catch Up To The Industry?

and looking to gauge the potential return on investment in Twitter Inc (NYSE:TWTR). … Twitter Inc’s (NYSE:TWTR) most recent return on equity was a substandard 0.28% relative to its industry performance of 12.67% over the past year. … Knowing these components could change your view on TWTR’s performance

Simply Wall St -

Is It Time To Buy Twitter Inc (NYSE:TWTR)?

As a large-cap stock with high coverage by analysts, you could assume any recent changes in the company’s outlook is already priced into the stock? … Today I will analyse the most recent data on Twitter’s outlook and valuation to see if the opportunity still exists … What's the opportunity in Twitter?

Simply Wall St -

TWTR Company Info

Description

Twitter, Inc. operates as a platform for public self-expression and conversation in real time. The company offers various products and services, including Twitter, a platform that allows users to consume, create, distribute, and discover content; and Periscope, a mobile application that enables user to broadcast and watch video live with others. It also provides promoted products and services, such as promoted tweets, promoted accounts, and promoted trends, which enable its advertisers to promote their brands, products, and services. In addition, the company offers a set of tools, public APIs, and embeddable widgets for developers to contribute their content to its platform, syndicate and distribute Twitter content across their properties, and enhance their Websites and applications with Twitter content. Further, it provides subscription access to its public data feed for data partners. The company operates in the United States and internationally. Twitter, Inc. was founded in 2006 and is headquartered in San Francisco, California.

Details
Name: Twitter, Inc.
TWTR
Exchange: NYSE
Founded: 2006
$25,246,647,881
764,586,550
Website: http://www.twitter.com
Address: Twitter, Inc.
1355 Market Street,
Suite 900,
San Francisco,
California, 94103,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NYSE TWTR Common Stock New York Stock Exchange US USD 07. Nov 2013
DB TWR Common Stock Deutsche Boerse AG DE EUR 07. Nov 2013
XTRA TWR Common Stock XETRA Trading Platform DE EUR 07. Nov 2013
LSE 0QZB Common Stock London Stock Exchange GB USD 07. Nov 2013
SWX TWTR Common Stock SIX Swiss Exchange CH CHF 07. Nov 2013
WBAG TWTR Common Stock Wiener Boerse AG AT EUR 07. Nov 2013
BMV TWTR * Common Stock Bolsa Mexicana de Valores MX MXN 07. Nov 2013
BOVESPA TWTR34 BRD EA REPR 1/2 COM USD0.000005 STK Bolsa de Valores de Sao Paulo BR BRL 11. Aug 2014
Number of employees
Current staff
Staff numbers
3,920
Twitter employees.
Industry
Interactive Media and Services
Media
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/03/25 00:32
End of day share price update: 2019/03/22 00:00
Last estimates confirmation: 2019/03/22
Last earnings filing: 2019/02/21
Last earnings reported: 2018/12/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.