Analysts Are Still Really Baffled by Twitter's Soaring Stock

On the morning that Twitter went public last month, it was clear that the stock would be in for a wild ride. Bankers went back and forth for more than an hour to set the opening trading price — by far the longest price discovery process in the history of the New York Stock Exchange — while reporters watched the numbers climb and climb from a gallery several feet away.

The estimated price range started at $40 to $44 and reached as high as $43 to $47 before Twitter's stock finally opened at $45.10 a share, an impressive 73% increase from its IPO price of $26 a share. The stock stayed relatively flat through November, but this month, it has exploded. This week, Twitter topped $70 a share for the first time, nearly tripling its IPO price from less than two months earlier. Read more...