Investors sold off shares of Twitter after CEO Jack Dorsey said four top executives of the micro-blogging website were leaving the struggling company. Bobbi Rebell reports.
Four top Twitter executives are headed out the door, leading to more questions about what exactly is going on at the troubled micro-blogging website, which is attempting a turnaround. The departures were officially announced in a tweet from CEO Jack Dorsey. In reaction, a number of Wall Street analysts downgraded the stock, essentially saying the departures were discouraging. The stock has lost nearly half its value since Dorsey's return as interim CEO last year. Twitter faces challenges on many fronts. But at its core, it needs to convince more people to sign up for the service and keep current users engaged. It suffers from somewhat of an identity crisis with some calling it a news service, others using it to follow live events and some trying to keep tabs on their favorite celebrities. Axiom Capital's Victor Anthony: SOUNDBITE: VICTOR ANTHONY, EQUITY ANALYST, AXIOM CAPITAL: "It's still somewhat of a niche-y platform. It hasn't really gone to the masses. Even though close to a billion have signed onto Twitter, roughly 700 million have not come back. And so, user growth is paramount for the company, for the stock. So they have to fix that." Twitter currently has just over 300 million users, but its user growth in 2015 was the slowest in its history.