Records fell again today with Twitter (NYSE: TWTR), recording an all-time low for the second day in succession. The stock price hit a new low at $15.48 per share in Wednesday morning trading. The new record price gives investors a good opportunity for bargain-hunting, and the stock performs a steady upward move after hitting the bottom price.
Twitter is down about 30% in the new year so far and about 50% in the past 6 months. Most investors believe that Twitter faces a product crisis. The microblogging site has experienced three outages within five days that hold back its 320 million users from staying connected or from logging on to the social network in the first place. The company declared that the problems are caused by a recent code change.
Jack Dorsey, the cofounder of Twitter and Square (NYSE: SQ), down 11% this morning has fallen out of the three-comma club with a net worth of $944m due to the crushing market. Analysts also viewed twitter as a high-beta stock that suffer in market turmoil, which is really a risky holding for investors in current bear market.
But there is no necessary to concern about twitter`s stock decline. Dorsey has been continuing to power toward profitability. Twitter`s position as an important source of real-time news and analysis makes it hard for other social medias to compete.
Besides, the company`s new profit driver, periscope, shows huge potential with live video-streaming features. The most recent news reported that Periscope no longer requires users to download the app. Anyone that uses Twitter can view Periscope live streams and replays directly from their timeline. The new combination of Apple`s FaceTime technology with a social network may bring a new opportunity for Twitter`s future development.