Twitter (TWTR) has been fined as part of the latest string of penalties targeting foreign technology companies in Russia. Reuters reports that the networking company has been hit with a 10 million roubles fine for failing to delete content that the Russian government deems illegal. TWTR stocks fell 2.13% to close at $43.13 on December 16.
Twitter is a social networking company that offers a platform for connecting people, ideas, news opinions, and information. Twitter’s earnings report for Q4 2021 is scheduled for February 10, 2022.
Meta Platforms (FB) and TikTok have also been targeted as Moscow continues to pile pressure on big tech while exerting tighter control over the internet. The Facebook owner is to pay 13 million roubles, while Tik Tok is to pay 4 million roubles in fines.
Twitter has had to defend itself over claims its platform has been used to propagate posts containing child pornography, drug abuse information, and calls for minors to commit suicide. In its defense, the networking company claims its platform is not being used to promote illegal behavior.
Meta Platforms and Alphabet’s Google (GOOGL), on the other hand, are also under scrutiny over what Russian authorities allege to be repeated violations. The two companies could be fined a percentage of their annual revenue in Russia.
In addition, Moscow has demanded U.S. technology companies, including other foreign companies, to set up in the country by January 1. Failure to do so could expose the companies to new restrictions or outright bans.
On Wednesday, J.P. Morgan analyst Doug Anmuth reiterated a Buy rating and lowered his TWTR price target to $70 from $86, implying 62.30% upside potential to current levels.
Consensus among analysts is a Hold based on 5 Buys, 16 Holds, and 2 Sells. The average Twitter price target of $66.81 implies 54.90% upside potential to current levels.