Boston, MA 06/16/2014 (wallstreetpr) – Twitter Inc (NYSE:TWTR) has been through a roller-coaster ride in FY 2014. The recent happenings have added a spark to the tale, presumably.
COO Resigns
Ali Rowghani, the COO of TWTR, resigned amidst dissidences, conflict of interests and struggles over responsibilities. Rowghani, 41, was keen on controlling TWTR’s product vision and foster corporate development; however, the COO had a series of cold clashes with the CEO, Dick Costolo. The latter wanted to hear the nitty gritty about how each function was being coordinated; in brevity, he asked the COO to report to him!
Rowghani’s Era Of Decelerated Performances
The COO’s exit demonstrates TWTR’s rocky internal-dynamics! Rowghani’s primary job entailed working on the ways to benefit the social media tycoon bag accelerated user growth. However, in reality, the company is projected to procure 0.8% of the digital advertising market in 2014. In 2013, TWTR only had a 0.5%, whereas Facebook Inc (NASDAQ:FB) had 5.8% and Google Inc (NASDAQ:GOOGL) had a whopping 32.4%.
During Rowghani’s tenure, Twitter Inc (NYSE:TWTR)’s share price tumbled more than 0.5 times its value in early-January 2014. However, the FIFA World Cup 2014 helped TWTR attain sumptuous numbers of tweets, and increased activities – luring investments from traders, gradually.
Chloe Sladden Leaves Early
Soon after Rowghani’s exit, Chloe Sladden, the leader of TWTR’s media team which works on live events and with television companies, and a great friend of Rowghani for over 20 years, filed her resignation on June 13. Individuals familiar with the shakeup commented that Gabriel Stricker shall emerge as her ready-successor.
In 2014, the Head of Engineering and that of Consumer Product had resigned amidst surmounting pressures pertaining to lack of proper expansion of Twitter Inc (NYSE:TWTR)’s business. Dick Costolo is apparently leading those two segments, as the nominated heads need to report to him for every matter. Costolo’s active intent to script TWTR’s growth has apparently dropped the need of a COO!
A Strategic Blunder
Rowghani’s decisions or product strategies have drawn flak among all quarters. His recent decision to sell 300,000 TWTR shares for acquiring a profit of $9.9 million, when the stock price had floundered heavily, was hugely questioned.
Investors Delighted
Analysts at Nomura Securities conjectured that growth goes haywire when a number of smart advisors share distinct opinions on same subjects. Incidentally, the COO’s exit has excited investors, as the share price improved, rising up to $36.90-per-share at the close of trading on June 13, 2014.
