Twitter's (TWTR) announcement that they are hiring Omid Kordestani as executive chairman is a huge deal that is being largely ignored by investors thus far this morning
Twitter shares have barely moved off such a big deal.
It's probably the best piece of news since Jack Dorsey was appointed CEO.
For those who do not know Omid, he joined Google (GO)GL) in 1999 and basically "helped" Sergei Brin and Larry Page find ways to monetize search. He was also a key player in leading the development of the company from infancy to maturity. (Twitter and Google are part of TheStreet's Action Alerts PLUS portfolio.)
Along with Brin and Page, he basically made what Google/Alphabet is in its current avatar.
Omid helped monetize a company that processes 51,000 searches per second or 3.5 billion searches per day or 1.2 trillion searches per year.
Surely at Twitter he can find newer and better ways to monetize a company with about a 10,000 tweets per second or roughly 860 million tweets per day or 300 billion tweets per year?
Omid was recently passed over for the top job at Google but is still the chief business officer at Google/Alphabet. I think this also opens up a number of possibilities for a much closer relationship between Google and Twitter in the near future.
In hiring an outsider as chairman, Twitter has also put to rest concern that Jack Dorsey was currently the top dog (chairman) at both Twitter and Square.
I think the "tech is dreck" malaise prevalent among investors is the main reason they have failed to realize the massive potential of this morning's announcement of Kordestani coming on board with Twitter.
Take advantage of that failure. No need to go "all in." Baby steps will do.
Under $29 per share, the risk/reward is slanted in favor of a buy.