NEW YORK (Real Money) -- Shares of Twitter (TWTR) - Get Report were sharply higher this afternoon after Re/code's Kara Swisher and Kurt Wagner reported that founder and interim CEO Jack Dorsey is set to be named permanent CEO as soon as Thursday.
According to sources, the company is also likely to restructure its board of directors, beginning with the departure of former CEO Dick Costolo. Re/code also noted Dorsey will remain CEO of Square, the privately held payments company he founded in 2009.
While Twitter declined to comment on today's reports, we trust their validity as Re/code is one of Silicon Valley's most respected technology news Web sites.
All in, we are not particularly pleased with the idea of Jack Dorsey running the company, as he has been unwilling to acknowledge the major, fundamental flaws within Twitter's business model.
While we still think the long-term opportunity is tremendous, the short term -- plagued by recent challenges -- is a "show me" story through and through. Execution on product rollouts and their ultimate ability (or inability) to grow MAUs/engagement will remain of utmost importance.
Editor's Note: This article was originally published at 4:39 p.m. EDT on Real Money on Sept. 30.
At the time of publication, Action Alerts PLUS was long TWTR.