SAN DIEGO (TheStreet) -- Here's what you may have missed over the past week, including insight on Herbalife, Usana and a yellow flag on Twitter.
-- Twitter is Too Arcane
-- Putting Lipstick on Ulta
-- What to Expect from HLF Probe
-- Bizarre True Tale of Usana Stock Sales
-- Why World Acceptance Probe No Surprise
From my past week:
TWITTER IS TOO ARCANE: As Twitter (TWTR) tries to build growth in engaged users, I believe it needs to work on something else: making Twitter less arcane for new users. As I pointed out in a piece headlined "Twitter is Too Arcane," as Twitter pushes to the next level, if it wants to make itself appeal to the next-level of adopters it must make itself user friendly.
Engaged users, or monthly average users by timeline view, by the way, is perhaps the critical metric to watch when the company next reports earnings. Don't buy any of those, "but, look it's up so much from a year ago" comments (even though it isn't). This is a growth company, so it's got to show sequential growth -- from quarter to quarter -- not quarter over quarter. Any post-Oscar bump up, which was a promotional bonanza, should be viewed as a one-time event. No bump up would be nothing short of disconcerting.
Whenever I see its $28 billion valuation, which is well below its peak and not likely taking into account the full number of shares outstanding, assuming analyst are using the right number, all I can think of is how a year pre-IPO people were guessing that Twitter was valued at $10 billion, give or take a few billion. Since then, engaged users are down, the valuation is up, which is why, as much as I love Twitter, the service, I'm tossing it on my Reality Check Watch List with a yellow flag.