Shares of Twitter TWTR are getting a boost Tuesday following an upgrade by Macquarie on limited downside risk. The research house changed its rating from underperform to neutral.
“While we remain concerned about user growth trajectory and valuation, we see limited downside given investor focus on strong financial fundamentals and the potential turnaround in user growth,” starts analyst Ben Schachter.
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Schacter further comments that user growth is the concern keeping the stock from deserving an outperform rating. However, the note states that, “We view the recent executive changes, including, Anthony Noto’s decision to join TWTR as CFO as meaningful positives for the company. In our view, they indicate that TWTR is working to address key problems.”
Shares of Twitter have picked up 0.84 percent to $38.63 in Tuesday’s pre-market trading.
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