Twitter Inc (NYSE:TWTR) was a forgotten stock among the other social media giants, but it is starting to gain some traction on the markets. Year-to-date the share price is up more than 12% and over the past 12 months it has risen more than 80% and outperformed even Amazon.com, Inc. (NASDAQ:AMZN), whose stock has increased just 56%.
Twitter fell into favour with investors when in its most recent quarter the company finally posted a profit. The big question is whether it was an anomaly or whether this is the start of a new trend for the company.
While Twitter may not be the most popular social media site, for what it's worth it has been stable and hasn't been involved in any scandals, which sadly is a big achievement these days.
As users swear off Facebook, Inc. (NASDAQ:FB) for its inability to protect user data, that may mean more activity on other social media sites like Twitter. Although it's not a guarantee that will happen, after all, Twitter's platform is much different than Facebook's, but it does offer users an easy way to communicate with friends and update statuses.
For the time being, it could be a welcome alternative for users that are fed up with Facebook. Investors will want to keep an eye out on Twitter's next earnings report to see whether or not it did in fact get a boost, as that could be a sign of things to come and proof of whether or not users consider the site to be an adequate substitute.
Twitter has quietly been able to stay out of the spotlight and that has worked to its advantage.
