Twitter, Inc. is considering subleasing a part of its San Francisco headquarters, according to a marketing prospectus by cresa.com.
The micro blogging platform plans to rent out nearly 30% of its office space at its 1355 Market Street and 10th Street premises. On a consolidated basis, the rent out area is approximately 78,792 square foot out of the total space of 183,642 square foot.
The prospectus states that the space is available for rent on an immediate basis. Twitter’s lease for the Market Street office is valid till Mar 2019 while that for the 10th Street office is valid for around three to five years, per media reports.
The move comes at a time when Twitter has been struggling to revive growth. In the past one year, the company’s shares have lost over 35% of its value. Apart from a slowdown in user growth and advertising dollars, the most important concern for investors is that even after a decade of operations, Twitter hasn’t raked in profits.
The aforementioned move will definitely alleviate some of the financial burden though leasing out space also suggests that Twitter isn’t planning to ramp up its workforce any time soon. Nonetheless, the company, with Jack Dorsey at its helm, has been taking a number of initiatives to post a turn around. Of late, Twitter has been focusing on expanding its presence in the live streaming space. This is one of the top five priorities for the company this year as stated in the last quarterly earnings call. The other four focus areas include its core service, creators and influencers, safety and developers.
Twitter currently has a Zacks Rank #3 (Hold). Better-ranked stocks in the tech space include Facebook, Inc. , LinkedIn Corporation and Zendesk, Inc. , each sporting a Zacks Rank #1 (Strong Buy).
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Will Twitter Rent Out Headquarters to Ease Financial Woes?
Twitter, Inc. is considering subleasing a part of its San Francisco headquarters, according to a marketing prospectus by cresa.com.
The micro blogging platform plans to rent out nearly 30% of its office space at its 1355 Market Street and 10th Street premises. On a consolidated basis, the rent out area is approximately 78,792 square foot out of the total space of 183,642 square foot.
The prospectus states that the space is available for rent on an immediate basis. Twitter’s lease for the Market Street office is valid till Mar 2019 while that for the 10th Street office is valid for around three to five years, per media reports.
The move comes at a time when Twitter has been struggling to revive growth. In the past one year, the company’s shares have lost over 35% of its value. Apart from a slowdown in user growth and advertising dollars, the most important concern for investors is that even after a decade of operations, Twitter hasn’t raked in profits.
The aforementioned move will definitely alleviate some of the financial burden though leasing out space also suggests that Twitter isn’t planning to ramp up its workforce any time soon. Nonetheless, the company, with Jack Dorsey at its helm, has been taking a number of initiatives to post a turn around. Of late, Twitter has been focusing on expanding its presence in the live streaming space. This is one of the top five priorities for the company this year as stated in the last quarterly earnings call. The other four focus areas include its core service, creators and influencers, safety and developers.
TWITTER INC Price and Consensus
TWITTER INC Price and Consensus | TWITTER INC Quote
Twitter currently has a Zacks Rank #3 (Hold). Better-ranked stocks in the tech space include Facebook, Inc. , LinkedIn Corporation and Zendesk, Inc. , each sporting a Zacks Rank #1 (Strong Buy).
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>