NEW YORK (TheStreet) -- Shares of Twitter (TWTR) - Get Report were retreating in mid-afternoon trading on Wednesday as Axiom analysts dismissed Microsoft (MSFT) and Verizon (VZ) as potential buyers, but said Walt Disney Co. (DIS) would be an "interesting" acquirer for the social media company.
The firm has a "hold" rating and $16 price target on Twitter.
"Disney as an acquirer is interesting to us," the firm said in an analyst note, according to Barron's. "Their flagship network ESPN has been struggling with a ratings slump and subscriber losses over the past few years."
Axiom said Twitter's successful Thursday Night Football streaming proves that the company can distribute live video content.
This point is further demonstrated by Twitter's recent investment in BAMTech, a direct-to-consumer video streaming company, Axiom noted.
The firm added that if Salesforce.com (CRM) is interested in buying a real-time content network, and Twitter is essentially their only option as it's "highly unlikely" they'd acquire Snap Inc., or Snapchat.
Separately, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author. TheStreet Ratings has this to say about the recommendation:
TheStreet Ratings team rates Twitter as a Sell with a ratings score of D+. This is driven by multiple weaknesses, which it believes should have a greater impact than any strengths, and could make it more difficult for investors to achieve positive results compared to most of the stocks it covers. Among the areas the team feels are negative, one of the most important has been a generally disappointing historical performance in the stock itself.
You can view the full analysis from the report here: TWTR