Tomahawk, WI 09/05/2014 (Basicsmedia) – Twitter Inc. (NYSE:TWTR) stock has come under immense criticism in the recent past on allegation that it might be’ overvalued, sentiments that FMHR trader, Stephanie Link, does not agree with. In an interview on CNBC, Mrs. Link argued that the social network commands sustainable growth potential, going forward, reiterating its stock is also not that cheap as commonly echoed.
Link believes Twitter is currently trading at 22% below its high at the back of investments that are expected to spur growth in the future. The giant social network continues to make a remarkable run in the market seen by improved revenues in the last quarter, as well as growth in engagement levels.
“[…] I Kind of like owning a package of kind of high-tech fast growing companies, clearly this is one of them right. Twitter Inc. (NYSE:TWTR) growing 124% in revenues last quarter, the fourth quarter in a row of acceleration but it was really the engagement numbers. The engagement numbers were better than expected in the quarter,” said Mrs. Link.
Monetization levels at Twitter Inc. (NYSE:TWTR) continue to improve at the back of the launch of new products, as well as the ongoing push for success on the advertisement segment. CNBC’s Jon Najarian maintains that Twitter is on the right spot considering the social media platform is expected to grow rapidly in the future especially heading into the holiday shopping season.
“I think it can maybe taste those upper ends of where it was which is $70 a share it might take a little while it’s a little in front of itself right now,” said CNBC Pete Najarian.
Mrs. Link reiterated that she invests’ in stock based on valuation with her other picks in the tech industry being Facebook Inc. (NASDAQ:FB) and Google Inc. (NASDAQ:GOOG). Twitter according to Link commands solid growth potential going forward as it currently lags other tech companies in terms of monetization.