Name: Twitter Inc. (NYSE:TWTR) | Enterprise Value (EV)
Creator: Stock Analysis on Net

Current EV
Historical EV

Twitter Inc., current enterprise value calculation

Current share price (P)	$39.34
No. shares of common stock outstanding	765,246,152
US$ in thousands
Common equity (market value)¹	30,104,784)
Add: Preferred stock, $0.000005 par value; none issued and outstanding (per books)	—)
Total equity	30,104,784)
Add: Convertible notes, short-term (per books)	—)
Add: Finance lease liabilities, short-term (per books)	—)
Add: Convertible notes, long-term (per books)	3,559,023)
Add: Senior notes, long-term (per books)	693,996)
Add: Finance lease liabilities, long-term (per books)	—)
Total equity and debt	34,357,803)
Less: Cash and cash equivalents	2,186,549)
Less: Short-term investments	4,207,133)
Enterprise value (EV)	27,964,121)

Based on: 10-K (reporting date: 2021-12-31).

¹ Common equity (market value) = Share price × No. shares of common stock outstanding
= 39.34 × 765,246,152

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Twitter Inc., EV calculation

	Dec 31, 2021	Dec 31, 2020	Dec 31, 2019	Dec 31, 2018	Dec 31, 2017
Share price^1, 2	$36.24	$71.79	$38.77	$30.76	$32.66
No. shares of common stock outstanding¹	800,641,166	798,152,488	782,287,089	766,824,550	750,904,551
US$ in thousands
Common equity (market value)³	29,015,236)	57,299,367)	30,329,270)	23,587,523)	24,524,543)
Add: Preferred stock, $0.000005 par value; none issued and outstanding (book value)	—)	—)	—)	—)	—)
Total equity	29,015,236)	57,299,367)	30,329,270)	23,587,523)	24,524,543)
Add: Convertible notes, short-term (book value)	—)	917,866)	—)	897,328)	—)
Add: Finance lease liabilities, short-term (book value)	—)	567)	23,476)	68,046)	84,976)
Add: Convertible notes, long-term (book value)	3,559,023)	1,875,878)	1,816,833)	1,730,922)	1,627,460)
Add: Senior notes, long-term (book value)	693,996)	692,994)	691,967)	—)	—)
Add: Finance lease liabilities, long-term (book value)	—)	—)	205)	24,394)	81,308)
Total equity and debt	33,268,255)	60,786,672)	32,861,751)	26,308,213)	26,318,287)
Less: Cash and cash equivalents	2,186,549)	1,988,429)	1,799,082)	1,894,444)	1,638,413)
Less: Short-term investments	4,207,133)	5,483,873)	4,839,970)	4,314,957)	2,764,689)
Enterprise value (EV)	26,874,573)	53,314,370)	26,222,699)	20,098,812)	21,915,185)

Based on: 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31).

¹ Data adjusted for splits and stock dividends.

² Closing price as at the filing date of Twitter Inc. Annual Report.

³ 2021 Calculation
Common equity (market value) = Share price × No. shares of common stock outstanding
= 36.24 × 800,641,166

The financial trajectory from 2017 to 2021 is characterized by moderate stability followed by extreme volatility, peaking in 2020 before returning to baseline levels in 2021. All measured valuation metrics exhibit synchronized movement, indicating that the overall enterprise valuation was primarily driven by fluctuations in equity market value rather than shifts in debt structure.

Equity Market Value Fluctuations: Common equity market value remained relatively stable between 2017 and 2018 before increasing by approximately 28% in 2019. A significant surge occurred in 2020, where the value nearly doubled to 57.3 billion US dollars. This growth was not sustained, as the value retracted by approximately 49% by the end of 2021, settling at 29.0 billion US dollars.
Enterprise Value (EV) Dynamics: Enterprise value followed a trajectory similar to equity market value, dipping in 2018 to 20.1 billion US dollars and peaking in 2020 at 53.3 billion US dollars. Notably, the enterprise value remained consistently lower than the market value of common equity across all five reported years. This persistent gap indicates a substantial cash position that offsets total debt, effectively reducing the net cost of the business relative to its market capitalization.
Debt and Total Capitalization Trends: Total equity and debt values tracked closely with total equity, suggesting that debt levels remained a minor component of the total capital structure. The difference between total equity and total equity and debt grew modestly from 1.8 billion US dollars in 2017 to 4.2 billion US dollars in 2021, reflecting a gradual increase in total debt obligations over the five-year period.

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Twitter Inc. (NYSE:TWTR)

Enterprise Value (EV)

Current Enterprise Value (EV)

Historical Enterprise Value (EV)