Please ensure Javascript is enabled for purposes of website accessibility

Why Twitter Stock Is Surging Tuesday

By Daniel Sparks – Apr 23, 2019 at 12:23PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The social network's first-quarter results are out -- and they're impressive.

What happened

Shares of social network Twitter (TWTR) jumped on Tuesday, rising nearly 18% around noon EDT.

The stock's gain followed Twitter's first-quarter financial results, which included better-than-expected financial results and strong growth in monetizable daily active users.

A businessman looking at his smartphone

Image source: Getty Images.

So what

Twitter reported non-GAAP earnings per share of $0.37 on revenue of $787 million. These figures were up 131% and 18% compared to the year-ago period, respectively. Analysts, on average, expected non-GAAP earnings per share of $0.15 and revenue of $776 million.

Twitter also notably saw its monetizable daily active users increase 11% year over year and 6% sequentially.

Now what

Looking ahead, Twitter said improving the health of conversation on its platform continues to be its most important priority. But management will also focus on features to improve user experience and make advertising on its platform more attractive.

Management guided for second-quarter revenue to be between $770 million and $830 million, up from $711 million in the second quarter of 2018.

Daniel Sparks has no position in any of the stocks mentioned. The Motley Fool owns shares of and recommends Twitter. The Motley Fool has a disclosure policy.

Stocks Mentioned

Twitter Stock Quote

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.