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The world’s financial communities take a huge interest in luxury brands, and they attract the attention of financial markets. In today’s Web 2.0 climate, characterized by user-generated content (UGC) and social networking sites (SNS) such as Twitter, luxury brands are utilizing Twitter to consolidate their existing consumer base and draw in new prospects. This study investigates the effect of marketers’ use of Twitter on the stock prices of luxury brands. Using stock return response modeling, this study applies three regression models that use tweet volume from luxury brands, retweet volume of brands’ tweets, and their ratio to predict the variability in their stock price returns, after accounting for market returns. The results show that there are negative correlations among Twitter variables and stock returns of luxury brands, after accounting for market returns. The research findings provide key insights that shed light on the link between social media marketing and financial outcomes. JEL codes: M30, M31