On November 7, 2013, Twitter released its initial public offering (IPO) priced at $26 per share....
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
On November 7, 2013, Twitter released its initial public offering (IPO) priced at $26 per share. When the day ended, it was priced at $44.90, reportedly making about 1600 people into millionaires in a single day. At the time it was considered a successful IPO. Four years later, Twitter is trading at around $18 per share. Why do you think that occurred? Is Twitter profitable? How can you find out? If it is not profitable, why do investors continue to support it? For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). On November 7, 2013, Twitter released its initial public offering (IPO) priced at $26 per share. When the day ended, it was priced at $44.90, reportedly making about 1600 people into millionaires in a single day. At the time it was considered a successful IPO. Four years later, Twitter is trading at around $18 per share. Why do you think that occurred? Is Twitter profitable? How can you find out? If it is not profitable, why do investors continue to support it? For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac).
Expert Answer:
Answer rating: 100% (QA)
Why do you think that occurred There are a few reasons that could explain why Twitters stock price has decreased over the past four years One reason c... View the full answer
Related Book For
Fundamental accounting principle
ISBN: 978-0078025587
21st edition
Authors: John J. Wild, Ken W. Shaw, Barbara Chiappetta
Posted Date:
Students also viewed these accounting questions
-
Why do you think that an MNCs strategy of diversifying projects internationally could achieve low exposure to country risk?
-
Why do you think that U.S. banks are prohibited from holding equity as part of their own portfolios?
-
Why do you think that rights offerings have largely disappeared in the United States?
-
Calculate the indirect quotations for Euros and Kronor.
-
Students in our classes sometimes ask how it is possible for a single enteric carrier to infect 1,000 people at a buffet or for a box turtle to expose someone to food infection. We always suggest...
-
Solve Problem 7.7 - 7 by using Mohr's circle for plane stain?
-
Students applying to graduate schools in many disciplines are required to take the Graduate Record Examination (GRE); essentially, it is the graduate school equivalent of the SAT. Let's say an...
-
What are some of the problems related to output that the committee is experiencing? What suggestions do you have for improving output to the committee? How can the budget constraints of the zoo be...
-
Cybersecurity and Infrastructure Security Agency Act Discussion 3 - Cybersecurity and Infrastructure Security Agency Act Cybersecurity and Infrastructure Security Agency Act Read through the article...
-
Journalize the following transactions into the general journal. The chart of accounts, the trial balance from January, 1 2020, schedule of accounts payable, and the schedule of accounts receivable is...
-
The hydrohalogenation reaction with reactant shown below generates two distinctly different stereoisomers. i ) Show full mechanistic approach for this reaction and draw these two isomers with proper...
-
Brannan Manufacturing has a target debt-equity ratio of .90. Its cost of equity is 12 percent, and its cost of debt is 7 percent. If the tax rate is 25 percent, what is the company's WACC? (Do not...
-
Ursala, Incorporated, has a target debt-equity ratio of .95. Its WACC is 7.9 percent, and the tax rate is 25 percent. a. If the company's cost of equity is 12 percent, what is its pretax cost of...
-
Are Insider trading laws in place to provide a method for insiders (of companies with stocks traded among the public) to trade stock among themselves?
-
You are given the following information for Lighting Power Company. Assume the company's tax rate is 21 percent. Debt: Common stock: Preferred stock: Market: 21,000 7 percent coupon bonds...
-
5 12 Part 1 of 2 points Skipped eBook Check my work Problem 12-34 (LO 12-2) (Algo) [The following information applies to the questions displayed below.] On January 1, year 1, Dave received 1,150...
-
Review the discussion about task environments from class and chapter 2 . 3 2 . 3 of our textbook. Consider an agrobot, a robot that harvests strawberries grown in greenhouses, or an open field. The...
-
The comparative statements of financial position of Menachem NV at the beginning and end of the year 2019 appear below. Net income of ¬34,000 was reported, and dividends of ¬23,000 were paid...
-
Piere Imports uses the perpetual system in accounting for merchandise inventory and had the following transactions during the month of October. Prepare entries to record these transactions assuming...
-
Harmons has several departments that occupy all floors of a two- story building that includes a basement floor. Harmon rented this building under a long-term lease negotiated when rental rates were...
-
As of the end of June, the job cost sheets at Racing Wheels, Inc., show the following total costs accumulated on three custom jobs. Job 102 was started in production in May and the following costs...
-
This exercise considers the data described in the Section 13.2.2 ratemaking classification example using data in Table 13.3 Table 13.3 . a. Fit a gamma regression model using a log-link function with...
-
This exercise considers data from the Medical Expenditure Panel Survey (MEPS) described in Exercise 1.1 and Section 11.4. Our dependent variable consists of the number of outpatient (COUNTOP) visits....
-
Verify that the Tweedie distribution is a member of the linear exponential family of distributions by checking equation (13.9). In particular, provide an expression for \(S(y, \phi)\) (note that...
Study smarter with the SolutionInn App