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Berger: Looking for gains from Twitter’s new revenue strategy

As the pace of monthly-active user growth slows, Twitter has shifted the company’s focus towards revenue development. Serge Berger, better known as The Steady Trader, sees potential for an upswing in Twitter’s stock as the company refocuses its strategy.

At the Consumer Electronics Show on Friday, the company announced plans to monetize ads on third party websites. The move allows Twitter to expose ads to non-Twitter users and is part of its broader plan to monetize non-users. Additionally, the company plans to increase the amount of ads to 5percent in active user’s newsfeeds. Although users might not be in favour of these ad-centric moves, investors appear to have already embraced the company’s new strategy.

Shares of Twitter jumped 2.76 percent late in the afternoon on Friday, closing at USD 40.17. There is still room for growth according to Serge, who set a price target of USD 42.00. He recommended buying the stock at USD 39.00, where the stock was trading at the time of recording on Friday afternoon.

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