Rosenblatt analyst Barton Crockett gave TWTR.US a "neutral" rating with a target price of $48.

Analysts say$Tesla, Inc. (TSLA.US) $CEO Musk's offer for Twitter is unlikely to succeed in its current form, and the cash price of $54.20 a share is not a "premium"; Mr Musk's approach may be "offensive" to Twitter's board and may need to be adjusted if he wants to succeed in buying Twitter.

Analysts added thatTwitter's board has solid tools to fend off hostile takeovers, including poison pills, staggered board terms, and the ability to limit shareholders' ability to take action against the board.Twitter's board of directors appointed Parag Agrawal as its current CEO in November, and they are likely to continue to believe in his plan to turn the company around.

Analysts point out that Parag Agrawal may be popular with Wall Street because it has helped Twitter improve its products, such as launching a "single sign-on programme" and increasing registration and reactivation rates by 35 per cent and 25 per cent, respectively. In addition, under his leadership, Twitter's cashable daily active users (mDAU) increased by 13% in the fourth quarter of 2021.

Analysts say:The Twitter board may be afraid of what Musk wants to do with Twitter. "He also pointed out that Musk's proposal for content censorship on the Twitter platform, the shift of the business model from advertising to subscription, and the pursuit of becoming a non-commercial company could "effectively destroy a lot of Twitter's talent and efforts." the Twitter board will see it as "Musk dropping a bomb on what they like".

In addition, analysts point out that there are reports that a growing number of private equity firms, including Apollo Global Management, have expressed interest in bidding for Twitter. He said the news could be "more persuasive" because Apollo Global Management already owns Yahoo and "the partnership between Yahoo and Twitter may produce some synergy value".

He also said there might be "problems" with a private equity firm that supported Mr Musk's acquisition plan. "if Musk is serious about his reform ideas, Twitter's business could shrink dramatically, and it's hard to see how this fits with private equity firms looking for positive returns," he explained. "