7th November 2013
How did they spread the word? Perhaps in 140 characters or less but it seems to have worked. Shares in Twitter ended their first day of trading in New York at $44.90 up from an initial price of $26.
At one stage the shares reached more than $50. Shares were nearly 30 times oversubscribed. The share price is around 20 times forecast 2014 earnings and double some of the firm’s peers notably Facebook and LinkedIn. It values the firm at $31bn. This clearly puts a lot of pressure on the firm to deliver.
Those who scooped up a holding in the IPO will be very happy. The first day price surge came despite concerns from some investors about the long term business strategy and whether it justified the perceived high valuation of even $26 a share.
For those who didn’t get a piece of the action, this is a brilliant list of those who did from the Telegraph which you can read enviously.
The next few days will see if the shares lose significant ground or not, but one thing the microblogging site will have is a ready amount of cash to invest.
It has put most other technology debuts in the shade – now it needs to start making some money.