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Twitter Irony: Traders Bashing Twitter on Twitter

NEW YORK (TheStreet) -- A funny thing happened last night after Twitter (TWTR - Get Report) reported its first quarter earnings. Traders took to the medium to bash the company for not being popular.

Now step back and consider this irony for a moment. As shorts piled in and the shares of Twitter sold off, traders were voicing their concern that Twitter is not popular and no one uses the service -- as they posted such information on Twitter!

The main cause for the drop was the 255 million active users Twitter reported, shy of the 257 million analyst's were expecting. In something reminiscent of the Dot Com days where analysts cheered page views over actual earnings, Wall Street focused in on users and not the nice revenue growth the company is enjoying.

Let's take a closer look at the numbers posted last night. Revenue jumped 119% year over year to $250.9 million, beating the $237 million estimate. Mobile advertising grew 80%. Revenue per user grew to $1.44. Twitter increased its guidance for the upcoming quarter to a range of $270 million to $280 million, ahead of the estimates. Annual revenue guidance was slightly lower than Wall Street estimates at $1.20 billion to $1.25 billion vs. $1.24 billion analysts expected.

To the Twitter haters: Keep tweeting how no one uses Twitter, the company will thank you!

At the time of publication the author held TWTR.

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