NEW YORK (TheStreet) -- Retail sales may have pushed the stock market higher on Thursday but the big news came after the market closed when Twitter (TWTR) announced long-embattled CEO Dick Costolo is leaving as of July 1.
Co-founder Jack Dorsey will be interim CEO, despite being the current CEO of Square. The company says Costolo voluntarily stepped down and was not fired. There is no timetable for when a replacement CEO will be hired or if that person will be promoted from within the company.
When you consider how many people have been calling for Costolo to leave, it's surprising the stock is only 2% to 3% higher in after-hours trading, Karen Finerman, president of Metropolitan Capital Advisors, said on CNBC's "Fast Money" TV show.
"I think it's fine here," Guy Adami, managing director of stockmonster.com. Shares continue to find support near $35. Investors can stay long Twitter, which possesses a unique and valuable platform. The company just hasn't figured out the best way to monetize it yet. As for acquisitions, Google (GOOGL) or Apple (AAPL) could buy Twitter "in their sleep" with the amount of cash they have, and should, Adami said.
Dan Nathan particularly likes the idea of Google buying Twitter. Nathan, the co-founder and editor of riskreversal.com, says Google lacks the social, mobile and messaging capabilities Twitter possesses.
Assuming Twitter isn't acquired in the short term, investors need to start thinking about who the next CEO will be, said Brian Kelly, founder of Brian Kelly Capital. Will that person be more entrepreneurial or more focused on advertising? There's a lot of possibilities, he said.