Twitter Will Be A Billionaire, AOL’s Stock Soars

March 28, 2013  |  

A revised revenue prediction from eMarketer says that Twitter is expected to make $950 million in 2014 and then break a billion bucks ($133 billion, to be exact) the following year on advertising. This is the second upward revision from eMarketer in six months. Some people say it could be even more as Twitter is expected to go public in the next year.

“One question is how high Twitter can push its numbers without watering down its commitment to selling only ad units that feel native to its ecosystem. Facebook has been drifting farther and farther from its mission of using the social graph to revolutionize advertising,” writes Forbes.

So quick question for you: Have you ever paid attention to the advertising on Twitter? I know I haven’t, even if I’ve noticed a promoted company among the trending list here and there. Moreover, it seems that companies, like Oreo, that manage to use Twitter as it was intended (with a tweet) in a clever way get way more out of the social network than advertisers. But maybe that’s just me.

In other “tech companies making money” news: AOLs stock is up 100 percent year-over-year. Last year, the stock price was $19.19. Yesterday it was trading at $38.90, reports Fishbowl NY. Seeking Alpha says that the company has made strides, including sales of some patents to Microsoft, but it’s overvalued given the competitive tech marketplace in the US.

“We have already accounted for display ad growth in our AOL valuation and think the turnaround the market expects will be difficult to execute in the coming years,” writes the site. “Our current price estimate stands at $25, which is approximately 30% below the current market price.”

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