Twitter Inc. (NYSE:TWTR) stock has jumped 14% week over week as of late morning trading on December 20. The company started to purge accounts that it identifies as hate groups on December 18. It has made this determination with the help of third party groups like the Anti-Defamation League (ADL).
Jayda Fransen, one of the leaders of Britain First; an anti-Islam ultranationalist political group, was removed from the platform. The group received wider attention in late November after U.S. President Donald Trump retweeted several controversial anti-Islam videos that the group had shared. Twitter has vowed that it will continue to remove accounts that fit in with its criteria moving forward.
Twitter’s actions coincided with the launch of TicToc, a live-streaming video news channel. The application runs through Bloomberg Media. Bloomberg journalists will provide reporting and the live streaming platform will also rely on information from Twitter users. Analysts speculate that Bloomberg will take up to 70% stake in TicToc revenue.
Twitter released its third quarter results on October 26. Daily active users grew 14% year over year, but the company still reported a net loss of $21 million. Twitter has failed to turn a profit since going public in November of 2013.
The enthusiasm surrounding its decision to purge fringe accounts should improve its attractiveness if CEO Jack Dorsey eventually looks to sell the company. He was recently photographed with Goldman Sachs Group Inc. CEO Lloyd Blankfein, fuelling speculation that Twitter may seek a sale looking forward.
Tech Insider
