Why Facebook's Quarter Might Be A 'Pretty Good Read Through' For Twitter

Sean Udall is a monthly guest on #PreMarket Prep, a daily trading idea radio show hosted by Joel Elconin and Dennis Dick.

Udall is the Chief Investment Officer at Quantum Trading Strategies stated that Facebook Inc (NASDAQ: FB)'s quarter can offer investors a "pretty good read through" in to Twitter Inc (NYSE: TWTR)'s upcoming quarterly report.

"Everywhere that Facebook is strong, Twitter has higher growth," he said. "So that's good for Twitter."

Udall said that in a few years, people will be talking about Twitter in a similar fashion to how they are talking about Facebook today. In fact, Twitter will become "one of the most powerful companies in the world" with a valuation that will soar to $100 billion to $150 billion.

The "beautiful thing" about Twitter, Udall added, is that Twitter is positioned in a way where there won't be any immediate impact to its financials from the recent search deal with Google Inc (NASDAQ: GOOG) (NASDAQ: GOOGL), rather the impact will begin to become observable in the next quarter or two.

Related Link: What Wall Street Thinks Of Facebook Now

"You have this beautiful six-month runway of positivity in front of them," Udall argued. He added that even without a major upcoming catalyst, the company is producing "plenty" of growth on their own.

"It's amazing I have to talk about it," he continued. "It's just like Apple at $400. It was amazing to me how stupid people were on Apple and how easy of a buy it was and how easy it was to say look, you are going to make 50 to 100 percent on this stock."

"Twitter is one of my favorite mid to large-cap growth companies."

Listen to the full interview below: