clock menu more-arrow no yes

Twitter Investor Chris Sacca: The CEO Transition Has Been 'Sloppy and Confusing'

Sacca is weighing in on Twitter -- again.

Twitter

Chris Sacca is weighing in on Twitter — again — and this time he’s serving as the company’s self-appointed translator on the recent news that CEO Dick Costolo is stepping down at the end of the month.

Sacca, who is a long-time Twitter investor and bull, wrote in a blog post Thursday that Twitter’s announcement last week that Costolo was to be replaced by co-founder Jack Dorsey was “sloppy and confusing.” This was yet another instance of Twitter failing to tell its own story, he added, a problem the company has had for some time.

“Investors were left trying to interpret seemingly conflicting accounts and trying to read the tea leaves about where the company was going,” he wrote. “Along the way, specific statements about Twitter’s future crushed investor hopes and turned what could have been a very positive event for the company into a debilitating mess.”

Sacca then offered a few of his own translations for Twitter’s statements. For example, when Dorsey and Costolo said the company’s strategy wouldn’t change after the transition, Sacca said that what the execs meant was that they had a good plan in place — why would we change that now?

He also praised Costolo, who has served as a lightning rod of frustration for investors in the past. “From the time Dick Costolo joined as COO until today, the company’s value has grown by 20x,” he wrote, translating for Twitter as to why Costolo will stay on the company’s board. “The seeds for the product renaissance that is coming were planted on Dick’s watch.”

Despite his role publicly critiquing the company — he’s done it a few times this month, in fact — Sacca said he has no interest in joining Twitter’s board or taking the CEO job. (It’s an open search, so I suppose he could have been a candidate.) Sacca wrote that there’s no one person right for the job; he didn’t make a suggestion for whom he’d like to take the helm.

Sacca’s entire argument was rooted in the belief that Twitter is playing a long game. The company has increased its product push this year, but those products take time to actually grow the company’s user base and revenue, he added. In other words, don’t expect the stock to rebound significantly when Twitter reports earnings next quarter. In fact, there may still be some more decline before Twitter bounces back.

“Will all of these exciting launches impact the company’s results in Q2? Nope,” he wrote. “Results will likely be bleak and could, as some analysts have written, show a shrinking user base. That is already priced into the stock and reflected in the general apathy about owning it.”

Per usual, though, Sacca wrapped up his post on a high note for Twitter. He is a major shareholder, after all; he’s got a lot of reasons to believe that Twitter can turn its business around. “There is so much to be proud of at Twitter right now,” he wrote. “All indications are that this company is headed in the right direction.”

This article originally appeared on Recode.net.