Pro Analysis

Twitter may beat results this week, but don't bet on long term, analyst says

Jack Dorsey
Paul Jeffers | Fairfax Media | Getty Images
Jack Dorsey

Twitter may beat Wall Street consensus on top-line when the company releases its earnings report Wednesday morning, but the long term trend remains sluggish, according to Wedbush analysts.

"Although the recent reacceleration of user growth and an improving user experience are positive signs," noted analyst Michael Pachter, "revenue stagnation and variability around results remain limiting factors."

Still, the analysts expect a revenue beat of $550 million in revenue versus Wall Street estimates of $536 million.