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Yellen Capital Humiliated After First Facebook And Now Twitter Surge Higher: TWTR's Quarter In Charts
Moments ago TWTR reported Q2 earnings which beat EPS expectations of a 1 cent loss, posting non-GAAP EPS of $0.02 (let's ignore that the GAAP EPS was actually -$0.24 and that GAAP Net Loss was $144.6 million, much worse than the $42.2 million a year ago, all driven by stock-based compensation expense, because clearly retaining employees is never a factor when calculating earnings).
And yet, the stock has exploded by 30% after hours on what appears to be a super squeeze after hours, as the company also reported revenue of $312 million up from $139.3 million a year ago and some $54MM in EBITDA, up 461% Y/Y. This is just a little awkward for the Federal Reserve which some 2 weeks ago was warning about a bubble in social networking stocks, just before first Facebook and now Twitter have exploded higher on what can best be described as yet another massive short squeeze of those who decided to not fight the Fed on this one.
Anyway, what everyone is looking for was the user metrics so here they are.
Monthly Active Users: 271 million, up 24% Y/Y, vs expectations of 267MM. Recall that this is where TWTR had a big miss last quarter.At the same time, US growth was +3 million users to 60 million, the same as in Q1, and a modest improvement from previous quarters.
Twitter's preferred non-GAAP metric, Timeline views, was 173 million, up 15% from a year ago, even if the US number of 47 million was only a 1 million sequential increase from Q1, less than the 5 million increase from Q4, if certainly an improvement from that big drop between Q3 and Q4.
The one place where Twitter stumbled was in Timeline Views per MAU because while the first rose, the second rose faster, leading to a decline in the overall metric on a Y/Y basis, and Y/Y and sequential for the US.
Still, far more important were revenue and EBITDA.This is how they did in Q2:
And EBITDA:
And finally, revenue per 100 timeline views saw a solid 100% increase Y/Y from $0.80 to $1.60, the closest comparable metric to the trusty old CPM. However, at $3.87 for the US, we doubt there will be much upside opportunity going forward.
Finally, and perhaps most importantly, Twitter announced that less than 5% of all accounts are fake: a claim most will certainly take with a huge grain of salt.
For now, however, the momentum chasing algos are loving the stock which is up 30% after hours. So will Yellen Capital upgrade the social networking space after these two embarrassments, or will she keep her "Strong Sell" rating" Stay tuned for the FOMC announcement tomorrow afternoon...
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So much for the warning shot. The gnomes will be busy the next few weeks.
Just when they get us used to 'not fighting the Fed', they go and change the rules. Anarchy I tell ya.
The insiders are having a field day with this shit ... it just goes on and on and on ... for years!
Regards,
Cooter
...in hindsight, not entirely surprised at the user stats given the geopolitical situation(s) that have erupted this year.
Well, at least we can now calculate a p/e ratio...let's see here...$51.85/(0.02*4) = 644.75
Buy, Mortimer, buy!!
OK, if social media stocks ain't your bag, you could have a gander at the after-hours chart for US Steel (Symbol: X).
How about a STEEL COMPANY posting an 8% gain on a narrower than expected LOSS. A fucking STEEL COMPANY moves up 8% on a loss.
I'm putting up locust netting around the house tonight. They gotta be coming soon.
Will be interesting to look at what will happen to Kraft Foods tomorrow to get a feeling of how far down the road we are already.
Can't believe this is all happening right in front of our eyes.
Slow motion CRASH!!
Welcome to Bizarro-world; where DOWN is really UP. Black is White, Good is Bad.
Seems like a Twilight Zone episode.
Does this mean my CNYK will start ralling again?
Does this mean my CNYK will start ralling again?
When the pigs in your circus sprout wings and start to fly!
I'm Flying!!!!
This is great, it seems that Marketwatch has a different perspective that apparently includes unicorns that shit out rainbows with Pots O' Gold at their end.
Cheers,
P.S. How do you tell an Irishman spilled his Drink?
He's got splinters in his tongue.
http://blogs.marketwatch.com/thetell/2014/07/29/twitter-shares-soaring-2...
(also, fuck you if your going to bitch about title case, if you're Irish your Drink is a proper noun)
Very bullish on next quarter for the revolution will be Tweeted!
22bil market cap.... this is OBSCENE
That is what the shorts thought!
Regards,
Cooter
Im waiting for Tyler to make a chart comparing QE with the market cap of a basket of momo stocks
I'd like a line for Income Tax Receipts.
30 billion now
it all will come back where it belong soon...
How the F does Twitter make money? It's FREE.
Not to sound cynical, but they make money selling ... ahem ... stock.
Regards,
Cooter
Well ya! That's the best part being free, just think of all that money!
Or something.
Just like network television is "free." Obviously those guys don't make any money...
Another example of how you can be totally correct shorting, but get the bulls horns up your ass anyway....insane market right now play at your own risk.
Yellen
Bernanke
I have been wondering why pennies are still in circulation. The Fed devalues our currency by an order of magnitude every 10-20 years, so they're worth about as much as a gnat's fart at this point. Well, after reading this, now I know. Its for measuring EPS of companies that have literally never made a dime or even nickel of profits. 2 cents a share EPS non-GAAP bitchez!
Skimming money has never been easier for the criminally at large.
If you pay attention, some of them are still made of copper.
I know it is a rounding error at this point, but I like trading my zinc ones for the copper ones when check out stands have the take-a-penny-leave-a-penny dish.
Also, being pedantic, coins are issued by the Treasury, not the Fed. So, if the Fed ends up being the bad bank for all the TBTF, it is possible that FRN's go *poof* but we keep the coinage. Of particular note, coinage stock didn't inflate because they are physical, not electronic. This means it is possible for value to persist at close to par when the "post-FRN" notes start to ciruclate.
I think this is Kyle Bass' play when he bought the nickles (which were par in terms of metal value at the time he took the position).
So, keep those pennies!
Regards,
Cooter
sub-penny is where the big money is skimmed
Yellen gnashing his dentures.
This should just about do it for Mr. Yellen. He done told them last week to watch out, social media and biotech in a bubble. Now this.
One thing you do not do to the mafia, is make a laughinstock out of.
Punishment swift and severe for all associated like thugs in these areas. Just like a drive-by, by standers will be slaughtered as well.
No one makes an ass of Sir Yellen. No one.
Watch and learn.
FUCK TWITTER.
fucking bullshit man...
Twatter is using AI, another Enron accounting scam in the works. Facebook is no different.
Sit back and watch.
futures are already slowly marching back upward...low volume levitation can't even wait for the evening or overnight to get to work.
Another platform to tell CIA/NSA what you're thinking.
Stupid humans never learn.
My user metric is getting frustrated due to lack of use.
This is excellent. At some point shareholders will realize that letting management loot the company of all earnings in order to enrich employees is not a sustainable strategy. This scheme will continue until the employees and shareholders all want to cash out at the same time.
And non-GAAP...haha...I've always wanted a CFO to be forced to explain which part of "generally accepted accounting" that they ignored or abused in order to whitewash the numbers: "well, we switched the signs on some numbers from negative to positive...and we added a few zeros to more fully reflect what we think we should earn." I'll take some "unexpected facts" over non-GAAP any day.
Could be the next Poliroid. Oh wait
Just mind boggling how so many still short these markets. I learned my lesson 4 years ago after losing time and time again shorting stocks. And still they believe these are real natural markets.
We never learn do we.
Don’t short anything…ever, it’s not investing its gambling. If you want to gamble go to the Borgata. If you have to much of something and want to hedge, don’t, just sell some.
It's a big club, and you ain't in it! Don't play the game!
That's what I like best about Yellen Capital - underpromise and overdeliver. I'm so glad I switched.
When E. F. Yellen talkes, people don't listen!
Regards,
Cooter
Yellen and the FED, who cause stock bubbles - try to contain them with words.
FAIL.
I'll just note that this doesn't prove anything about whether valuations are stretched or not. Twitter is still pretty outrageous on its valuation metrics. Yellen is obviously an astute investor who is simply thinking on a different time frame than the short term traders. Or...possibly...not.
Option abuse 101: unload and then get short via the upper deck (putting calls into the money) and reverse after majority of OI had expired. Collect rents from killing puts. In the process, stuff more of this crap into market cap weighted indexes.
Options manipulation broke the market. When retail exits scams like TWTR to raise cash and buy gold, those running these predatory trading scams will fully be exposed.
Shit your shorts twatter shorts...
twitter twitter clitty litter
All I see is a healthy and rational investment but I'm an old fashioned, 1999-style investor.