Twitter shares fell below $31

Shares of the American microblogging service Twitter fell by 20.8% to $30.7 per share, according to data from the New York Stock Exchange. The company's capitalization fell by almost $6 billion.

• The drop in quotations occurred after the publication of Twitter's financial statements for the third quarter. The company reported revenue growth of 8.7% to $823.7 million, but analysts expected revenue at $876 million. Twitter lowered its revenue forecast for the fourth quarter to $940 million, while analysts had predicted $1.06 billion.
• Net profit in the quarter also fell short of expectations. The figure fell 21.6 times - to $36.5 million.
• The company explained the poor performance by the fact that in the third quarter the service encountered problems with the advertising promotion system, and this reduced advertising revenues.
• This is a long-term problem, CNBCemphasizes : the platform has closed some ad targeting capabilities due to possible violations of the transfer of user data to a third party, and this has reduced the attractiveness of Twitter for advertisers.
• “Despite the challenges, the quarter's results confirm the effectiveness of our strategy to invest in long-term growth,” said Twitter Chief Financial Officer Ned Segal.