Today at market opening, Twitter shares (NYSE:TWTR) dropped once again. Shares were at $60.27, down 5.46 percent compared to Friday’s closing price of $63.75. This nosedive marks the end of the honeymoon between Twitter and the NYSE as many analysts stated that shares are overpriced. Until now, the stock held strong amid those reports, but that seems to be coming to an end.
It is not the first drop as shares were already down 13 percent on Friday, shaving $5 billion off Twitter’s market capitalization. It was a big correction of Thursday’s good performance — on Thursday, shares popped 5 percent for no apparent reason.
Many analysts find that Twitter is an expensive company. With a market cap of $33.6 billion, the company has yet to turn a profit — analysts don’t expect to see any profit before 2015. But this pessimistic trend on the analyst’s side seems to be increasing. On Friday, Macquarie analyst Ben Schachter downgraded Twitter.