Shares of Twitter Inc fell 9 percent on Monday after a report said the social media company had suspended more than 70 million fake accounts in May and June, which could lead to a decline of monthly active users in the second quarter.
The slump wiped about $3 billion from the microblogging site’s market valuation, which had stood at about $35 billion on Friday. Twitter shares were last down 8.6 percent at $42.62.
A separate report over the weekend suggested that many of these accounts were dormant, so the response to Twitter deleting them makes no sense to me. Even if the primary measurement is “active accounts” deleting fake accounts should have no effect on the valuation of the company.