Twitter’s share price plunged this week after Citron Research bet against the company, according to a report.
According to Bloomberg, “Twitter Inc. plunged to its lowest price in six weeks after short-seller Citron Research said it was betting against the company because of potential privacy regulations.”
“Citron said Tuesday it’s taking a short position in Twitter, pointing toward the criticism of rival social network Facebook Inc. after reports that a political consulting firm associated with Donald Trump’s 2016 U.S. presidential campaign improperly gained access to the personal data of 50 million Facebook users,” they explained, adding, “Twitter shares fell 12 percent to $28.07 at the close in New York, its lowest price since Feb. 7 and its biggest single-day decline in eight months.”
In a post on Twitter, Citron Research claimed, “Of all social media, they are most vulnerable to privacy regulation… Wait until Senate finds out what Citron has published.”
Citron short $TWTR. Near-Term target $25 Of all social media, they are most vulnerable to privacy regulation Wait until Senate finds out what Citron has published. https://t.co/nAkRWb8Kcn
— Citron Research (@CitronResearch) March 27, 2018
Citron Research also cited Project Veritas’ investigation, which revealed current and former Twitter employees boasting about selling data from private messages.
“Twitter makes this money from selling user data even from private messages — and yes a lot of ‘dick picks’. To see the underbelly of Twitter just watch this undercover investigation done by James O’Keefe and other Project Veritas reporters,” they proclaimed.
Despite Citron Research’s bet against Twitter, a Twitter spokesman responded, “To be clear, our data licensing business does not sell DMs… Any reports to the contrary are wrong.”
Charlie Nash is a reporter for Breitbart Tech. You can follow him on Twitter @MrNashington, or like his page at Facebook.
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