The social media space, once a sharp pain for investors, is likely seeing a reversal. High beta issues and a massive sell-off the year before had made the space decently valued. Then, impressive corporate earnings from many of the companies started brightening the space and the related ETF last quarter. This quarter too seems to have sustained the wining trend.
On February 5, Twitter (TWTR) and LinkedIn (LNKD), two extremely well known social media stocks, reported earnings after the bell and both excelled on both lines. Stocks of the Internet giants soared after hours. Their fourth quarter performances are detailed below (read: ):
Twitter's Q4 in Detail
Initially, Twitter stock was hit by disappointing user growth despite improved top and bottom lines. But the stock shot up as the company threw light on the one-time reason behind sluggish user growth.
Per Twitter,…