It was the best of times, it was the worst of times. For social media stocks, that pretty much sums up today’s market action.
Twitter’s (NYSE:TWTR) stock is plunging more than 21% to around a two-month low after worries about a slowdown in active user growth and valuation concerns overshadowed an earnings beat and better-than-expected advertising revenue. Shares of the micro-messaging service are having their worst day since they started trading in November.
Pandora Media (NYSE:P) is another big loser. Shares are tumbling more than 12%, the steepest loss since August, after the Internet radio company forecast FY earnings that were below expectations, mostly due to rising content costs.
On the plus side, Yelp (NYSE:YELP) shares are surging 19% to a record high after the consumer ratings website beat on the top and bottom lines, and forecast current-quarter and full-year profit and revenue that topped Street estimates.
Social Media Stocks