Analysts Remain Divided Over Twitter's Management Succession

Analysts shared different views after Twitter Inc TWTR announced that co-founder and CEO Jack Dorsey would resign effective immediately and appointed CTO Parag Agrawal as the CEO and Bret Taylor as the Chairman of the board.
Wedbush analyst Ygal Arounian lowered the price target to $52 from $69, implying 20% upside, and reiterated a Neutral.
Dorsey's contributions to Twitter are undeniable. As a founder and CEO, he continued to play a critical role, so he's stepping down is "no minor point" in the analyst's view.
Jefferies analyst Brent Thill said he views Jack Dorsey's resignation and the appointments of CTO Parag Agrawal as CEO and Bret Taylor as Chairman of the Board as positives for the stock and a "step in the right direction."
While he believes the new leadership could reinvigorate growth and help deliver on management's initial FY23 goals, he still sees "plenty of hurdles to clear" for Twitter to improve its sluggish pace of ad product innovation and reverse its stock underperformance relative to peers.
Thill has a Hold rating and a $70 price target, implying a 62% upside.
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Price Action: TWTR shares traded lower by 5.72% at $43.16 on the last check Tuesday.