×
You will be redirected back to your article in seconds

Twitter Now Worth More Than Sony, Dish, Discovery and Netflix

Social company ends first day as public company with market cap of $31.6 billion

With shares shooting up 73% on its first day of trading as a public company, Twitter has a market capitalization making it more valuable than media and tech companies including Sony, Discovery Communications, Dish Network and Netflix.

Twitter shares closed Thursday at $44.90, with 117.7 million shares changing hands on the New York Stock Exchange by the end of the day. That gives the social company — which remains unprofitable — a market value of $31.6 billion on a diluted basis factoring in options, warrants and restricted stock.

That said, after the frothy IPO, Twitter’s stock could retreat in the days or weeks ahead as investors reassess their positions.

Twitter priced the IPO at $26 per share, and the stock opened at $45.10. It climbed as high as $50.09 per share shortly after trading commenced at 10:50 a.m. Eastern before settling back to the mid-$40s. Twitter’s IPO soared as the broader market declined, with the Dow Jones Industrial Average closing down 0.97% and Nasdaq falling 1.9%.

Facebook, which has more than four times as many users as Twitter, has a market cap of $115 billion.

At least one Wall Street analyst believes Twitter is overvalued at the current share price. Pivotal Research Group analyst Brian Wieser downgraded the stock to “sell” rating after shares opened Thursday at $45.10, given his previous price target of $30.

“(W)ith a price that pushes into the high 30s and beyond, Twitter is simply too expensive,” Wieser wrote. A $45 per share price assumes Twitter could generate more than $6 billion in annual revenue by 2018, which is “overly optimistic to us given our best assessment of the industry and the business at this point in time.”

Twitter reported $168.6 million in revenue for the third quarter of 2013, more than double the year-earlier period, but also disclosed its biggest net loss to date, of $64.6 million.

Twitter raised $1.8 billion through the IPO, which is the biggest in the tech sector since Facebook’s 18 months ago.

More Digital

  • Netflix - The Witcher

    'The Witcher' on Track to Be Netflix's Biggest TV Show Premiere Ever, Company Claims

    Netflix said “The Witcher,” the fantasy series starring Henry Cavill, is pacing to be its biggest first-season original TV series ever. “The Witcher,” which debuted Dec. 20 on Netflix, was chosen to be watched by 76 million customer households in the first four weeks of release, according to the company. That would appear to mean [...]

  • The Irishman

    Netflix Adds 8.8 Million Subscribers in Q4, Cites Competition for Lower U.S. Gains

    Netflix beat its forecast for overall subscriber additions for the fourth quarter of 2019, while it brought in fewer than expected U.S. streaming customers. The company added a net 420,000 streaming customers in the U.S. and 8.33 million overseas in the year-end 2019 quarter, for a total of 8.76 million net adds. Netflix had previously [...]

  • Tubi

    Free Streaming Service Tubi to Launch in Mexico in Pact With TV Azteca

    Tubi is heading to Mexico: The free, ad-supported streaming service announced plans to launch in the country later this year as well as a pact with TV Azteca, one of the largest producers of Spanish-language television programming. Under the terms of their deal, TV Azteca will sell advertising and promote Tubi across broadcast and digital [...]

  • CAA's Eric Wattenberg Joins Wheelhouse Group

    CAA's Eric Wattenberg Joins Wheelhouse Group as Chief Content Officer

    Eric Wattenberg, longtime CAA agent and co-head of its alternative television department, has joined producer Brent Montgomery’s Wheelhouse Group as chief content officer. Wattenberg will spearhead content development across Wheelhouse’s TV, film and digital operations, as well as its Wheelhouse Labs branded entertainment wing. The deal is a coup for the company, launched by “Pawn [...]

  • The Simpsons - Disney parodies -

    Disney Mashes Up 'The Simpsons' Parodies of Disney Films, Theme Parks

    Disney has embraced some of the gentle ribbing dished out by “The Simpsons” over the years — hoping to convince more people to sign up for Disney Plus. The media conglomerate released a compilation of what it calls “the best Disney references in ‘The Simpsons,'” which is now part of the Disney empire, with past [...]

  • NATPE 2020 Miami Fontainebleau Hotel

    NATPE 2020: Bumpy Start But Business Is Humming as Conference Begins

    MIAMI — A technology meltdown at Fontainebleau Miami Beach made for a bumpy start to getting settled at NATPE for numerous executives and producers who arrived here over the weekend. Nonetheless, the core business of the content-sales gathering was humming as numerous distributors reported new deals and renewal pacts inked over the past few days. [...]

  • Baby Yoda The Mandalorian

    Disney Plus Set for Earlier Launch in U.K. & Western Europe

    The Walt Disney Co. has set March 24 as the new launch date for Disney Plus in the U.K. and other key markets across Western Europe. With the roll-out previously set for March 31, the streaming service will now be available a week earlier in the U.K., Ireland, France, Germany, Italy, Spain, Austria and Switzerland. Pricing [...]

More From Our Brands

Access exclusive content