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The shares of Twitter (TWTR) are rising in a down market after research firm Raymond James upgraded the shares to Outperform from Market Perform, saying that the stock's risk/reward ratio is attractive.

WHAT'S NEW: Twitter trades at multiples that are significantly below the average of its online media peer group, according to Raymond James analyst Aaron Kessler. Kessler says that the stock could rise 40% if his base case scenario plays out, and it could jump 80% in a bullish scenario, while the stock is poised to drop only about 20% if his bear thesis occurs. Meanwhile, Twitter's initiatives aimed at increasing its monetization levels could provide a catalyst while improvements it's making to its platform could boost the shares in the second half of the year, the analyst contented. Finally, the analyst thinks that recent purchases of Twitter's stock by a number of its executives is a positive sign. The company's executive chairman recently bought 122,250 shares, while its CFO acquired 15,500 shares, noted Kessler, who placed a $25 price target on the stock.

PRICE ACTION: Twitter shares dropped 4.5% to close at $14.31 on February 11 after the company reported quarterly results, including the fact that its user base was flat last quarter. Since February 12, Twitter shares have risen about 31% from that post-earnings low point. In early trading this morning, Twitter rose 2% to $18.67.

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