"The snap disaster may push Musk one step closer to the door or lower Street price," said Wedbush analyst.
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Twitter (TWTR) - Shares down Tuesday, offers Tesla (TSLA) - Chief executive Elon Musk has another chance to step out of his staggering $ 44 billion bid as social media stocks plummet due to Snap Inc's (SNAP) - Warning of amazing profit. Snap, which runs the Snapchat messaging app, warned late Monday The Securities and Exchange Commission states that the group may report sales and profits "below the Q2 2022 minimum limit" thanks in part to the global 'collapse'. an economy that will improve the use of ads.
Social media groups have also warned that Apple's privacy changes (AAPL) - Identifier for Advertisers (IDFA), which make it more difficult to track and target users through certain ads, have contributed to both user growth and higher revenue.
Shares on Snap dropped by almost 40% at the start of trading on Tuesday, pulling social media stocks of all information, including Twitter - using a revenue model that almost incorporates ad sales - very low.
Wedbush analyst Dan Ives said Snap's "disaster" not only reminds investors of "intruders and technicians", but may also cause Musk, who has already said he puts his desire to take Twitter "over" controversy over the size and scope of fake accounts on the website for micro-blogging.
"The snap disaster may have pushed Musk one step closer to the door or to a lower Street price," Ives aid said Tuesday. "The shareholders' meeting on Twitter tomorrow will be fun as the series progresses."
KeyBanc Capital Markets analyst Justin Patterson said the current issue of "they-or-they-can't '" could serve as a distraction and exacerbate the money spent on product advertising. "
Twitter shares marked 3% lower in early trading on Tuesday to change hands at $ 36.72 each, a move that will put the market value estimated at $ 28 billion, about 36% south of Musk's 'leading and final' offer. Tesla shares marked 5.6% lower at $ 636.95 each, considering their market value of approximately $ 660 billion.
Twitter reaffirmed its commitment to the proposed takeover - $ 54.20 per share - in completing the Securities and Exchange Commission last week, while Musk told a conference in Miami that he would still be interested in buying the club at a lower price, despite his . concerned about the number of so-called bot accounts on the platform.
Earlier this month, analysts Research, a well-known retailer, warned that the deal could be "reduced" if Musk threatened to leave.
Analysts said Musk could pay $ 1 billion in dividends with the acquisition and would still come up with a better deal if he could negotiate again, citing his "huge profits" on the blogging website and the lack of competition. contribution.
