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Takeaway: It paid to listen to Hedgeye Internet analyst Hesham Shaaban on Twitter.

Twitter’s long-term growth prospects look increasingly suspect. Shareholders learned that lesson the hard way after the bell yesterday. The stock has fallen 7% after the social networking site reported declining “monthly average users.” In other words, fewer eyeballs viewing ads and lower revenue guidance.

Hedgeye Was Short (And Remains Short) Twitter | $TWTR - zz vv

The miss was no surprise to us here at Hedgeye. In fact, the bearish case on TWTR has been the mantra of Hedgeye Internet & Media analyst Hesham Shaaban since issuing his original Black Book on the stock, pre-IPO on Nov. 2013. 

Since then shares are down 30%.

Hedgeye Was Short (And Remains Short) Twitter | $TWTR - 10 28 2015 twitter chart

Hedgeye Was Short (And Remains Short) Twitter | $TWTR - 10 28 2015 keith twtr

Hedgeye Was Short (And Remains Short) Twitter | $TWTR - z vv

Here’s a small snapshot of a research update sent out to subscribers this morning.

Hedgeye Was Short (And Remains Short) Twitter | $TWTR - 10 28 2015 twitter note

And two recent HedgeyeTV videos of Shaaban laying out our bearish Twitter thesis.

The Crossroads: Here’s What Twitter Management Needs to Do, 9/3/2015

Why Twitter's Problems Run Deep, 6/15/2015

Editor's Note: If you’d like to learn more about our institutional research offerings or access our Twitter research please ping sales@hedgeye.com.