Twitter (TWTR ) will report its Q3 results after today's closing bell.

The Capital IQ consensus expects a 5.3% yr/yr decrease in EPS to $0.18 on a 37.0% yr/yr increase in revenue to $1.28 bln.

TECHS:

The company guided for Q3 revenue between $1.22 bln and $1.30 bln when it reported Q2 results on July 22.

Last week's earnings report from Snap (SNAP 55.58, +1.08, +2.0%) invited concerns that social media names could see a significant impact from changes in ad tracking on Apple's (AAPL 149.49, +0.85, +0.6%) devices. An indication that the impact on Twitter will be smaller than feared could invite a positive reaction.

Twitter trades at 55.2x forward earnings expectations, which represents a premium to Facebook (FB 311.92, -16.77, -5.1%).

RESULTS:

Twitter reports Q3 (Sep) results, revs in-line; guides Q4 revs in-line

• Reports Q3 (Sep) loss of $0.54 per share, may not be comparable to the S&P Capital IQ Consensus of $0.18; revenues rose 37.1% year/year to $1.28 bln vs the $1.28 bln S&P Capital IQ Consensus.

  • Average monetizable daily active usage (mDAU) was 211 million for Q3, compared to 187 million in the same period of the previous year and 206 million in the previous quarter.

  • Average US mDAU was 37 million for Q3, compared to 36 million in the same period of the previous year and 37 million in the previous quarter.

  • Average international mDAU was 174 million for Q3, compared to 152 million in the same period of the previous year and 169 million in the previous quarter.

• Co issues in-line guidance for Q4, sees Q4 revs of $1.5-$1.6 bln vs. $1.58 bln S&P Capital IQ Consensus.

  • "...we do not expect to recoup the total revenue loss associated with the sale of MoPub in 2022, which is estimated to be between $200 and $250 million. Despite some expected 2022 revenue loss, there are no changes to our goal of generating $7.5 billion or more of annual revenue in 2023 with an increased focus and additional resources working on increasing our market share within the ~$150 billion and growing addressable market for ads on our website and apps."

  • GAAP operating income is expected to be between $130 million and $180 million.

  • Capital expenditures are expected to be between $85 million and $135 million.

  • Stock-based compensation expense is expected to be approximately $175 million.

If you liked this content please click the ❤️ below and/or share this post.

SHAMLESS PLUGS

CLICK HERE TO CHECK OUT MY 2021 PREVIEW OPINION PACKET. OVER 80 PAGES OF CONTENT AND INFORMATION AVAILABLE HERE.

TOTALLY FREE Trading Packet!

Click here to get my packet that shows you how I traded $600 into $100K FOR FREE.

This packet will explain to you in depth how I trade and how I manage my risk.

I am happy to share this. Just use the code KPAKFRAUD at checkout and you will get it TOTALLY FREE. You will pay absolutely nothing.

Check out the latest episodes on my YouTube above and SoundCloud channel below.