Benzinga | Jan 24, 2022 11:58AM EST

Mizuho Cuts Twitter Price Target By 20%

* Mizuho analyst James Lee lowered the price target on Twitter Inc (NYSE:TWTR) to $56 from $70 and reiterated a Neutral rating on the shares. The price target implies a 72% upside.

* While the management changes are necessary to enable Twitter to accelerate the development, introduction, and update of its products, it could take time for the new strategy to take shape for users and revenues to reach the company's long-term targets.

* As a result, he reduced his FY23 EBITDA estimate by nearly 20% to $2.4 billion.

* Lee believes the stock lacks a catalyst in the near term.

* Price Action: TWTR shares traded lower by 6.75% at $32.47 on Monday's last check.