We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Shares of Twilio Continue To Rise: Could It Spur More IPOs in 2016?
Read MoreHide Full Article
Last Thursday, cloud-based communications company Twilio (TWLO - Free Report) launched its initial public offering on the New York Stock Exchange and enjoyed a great first day of trade. Closing the day just under $29 per share, TWLO saw its share price jump a whopping 92% as investors flocked to buy in to the stock. (Watch: What Twilio Is And Why Twilio Is A Hot IPO Stock)
TWLO continued its run Tuesday after a Brexit-induced drop Friday and Monday, as the stock closed nearly 9.5% higher. It seems as though investors like what they see in Twilio, which enables software and app developers to communicate with users quickly and effectively. The company has big name clients using its services, with Facebook’s Whatsapp, Nordstrom (JWN - Free Report) and Uber Technologies being three of the largest.
The company’s platform seeks to help developers add communication features to their apps, and Twilio projects the platform will be worth upwards of $45 billion next year. The company posted revenue growth of 78% in 2014, 87% in 2015, and 77.8% in its most recent quarter, making it very intriguing for growth investors.
Despite the growth however, the company is yet to be profitable, as it continues to reinvest its earnings into the business. Twilio does not have any debt on its balance sheet, and boasts over $200 million in cash.
Bottom Line
2016 has been a relatively slow year in regards to the IPO market, with the uncertainty of the global economy and slowing growth causing most IPO-candidates to remain cautious of launching offerings. Many are hoping that despite recent volatility, Twilio’s IPO success could provide some motive for other unicorns, companies with valuations over $1 billion, to consider launching IPO’-s of their own.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Shares of Twilio Continue To Rise: Could It Spur More IPOs in 2016?
Last Thursday, cloud-based communications company Twilio (TWLO - Free Report) launched its initial public offering on the New York Stock Exchange and enjoyed a great first day of trade. Closing the day just under $29 per share, TWLO saw its share price jump a whopping 92% as investors flocked to buy in to the stock. (Watch: What Twilio Is And Why Twilio Is A Hot IPO Stock)
TWLO continued its run Tuesday after a Brexit-induced drop Friday and Monday, as the stock closed nearly 9.5% higher. It seems as though investors like what they see in Twilio, which enables software and app developers to communicate with users quickly and effectively. The company has big name clients using its services, with Facebook’s Whatsapp, Nordstrom (JWN - Free Report) and Uber Technologies being three of the largest.
The company’s platform seeks to help developers add communication features to their apps, and Twilio projects the platform will be worth upwards of $45 billion next year. The company posted revenue growth of 78% in 2014, 87% in 2015, and 77.8% in its most recent quarter, making it very intriguing for growth investors.
Despite the growth however, the company is yet to be profitable, as it continues to reinvest its earnings into the business. Twilio does not have any debt on its balance sheet, and boasts over $200 million in cash.
Bottom Line
2016 has been a relatively slow year in regards to the IPO market, with the uncertainty of the global economy and slowing growth causing most IPO-candidates to remain cautious of launching offerings. Many are hoping that despite recent volatility, Twilio’s IPO success could provide some motive for other unicorns, companies with valuations over $1 billion, to consider launching IPO’-s of their own.
Read: Will Uber Be The Hottest IPO of 2016?
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>