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.
Twilio (TWLO) Advances But Underperforms Market: Key Facts
Read MoreHide Full Article
In the latest market close, Twilio (TWLO - Free Report) reached $61.91, with a +0.52% movement compared to the previous day. The stock lagged the S&P 500's daily gain of 0.89%. Meanwhile, the Dow experienced a rise of 1.03%, and the technology-dominated Nasdaq saw an increase of 1.25%.
Prior to today's trading, shares of the company had gained 8.66% over the past month. This has outpaced the Computer and Technology sector's gain of 3.77% and the S&P 500's gain of 3.56% in that time.
The upcoming earnings release of Twilio will be of great interest to investors. The company is forecasted to report an EPS of $0.59, showcasing a 25.53% upward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.03 billion, up 2.31% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $2.67 per share and revenue of $4.36 billion, indicating changes of +8.98% and +5%, respectively, compared to the previous year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Twilio. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 33.33% higher. At present, Twilio boasts a Zacks Rank of #2 (Buy).
Digging into valuation, Twilio currently has a Forward P/E ratio of 23.04. Its industry sports an average Forward P/E of 30.05, so one might conclude that Twilio is trading at a discount comparatively.
Also, we should mention that TWLO has a PEG ratio of 1.18. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. TWLO's industry had an average PEG ratio of 1.81 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 37, which puts it in the top 15% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Twilio (TWLO) Advances But Underperforms Market: Key Facts
In the latest market close, Twilio (TWLO - Free Report) reached $61.91, with a +0.52% movement compared to the previous day. The stock lagged the S&P 500's daily gain of 0.89%. Meanwhile, the Dow experienced a rise of 1.03%, and the technology-dominated Nasdaq saw an increase of 1.25%.
Prior to today's trading, shares of the company had gained 8.66% over the past month. This has outpaced the Computer and Technology sector's gain of 3.77% and the S&P 500's gain of 3.56% in that time.
The upcoming earnings release of Twilio will be of great interest to investors. The company is forecasted to report an EPS of $0.59, showcasing a 25.53% upward movement from the corresponding quarter of the prior year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $1.03 billion, up 2.31% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $2.67 per share and revenue of $4.36 billion, indicating changes of +8.98% and +5%, respectively, compared to the previous year.
Furthermore, it would be beneficial for investors to monitor any recent shifts in analyst projections for Twilio. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 33.33% higher. At present, Twilio boasts a Zacks Rank of #2 (Buy).
Digging into valuation, Twilio currently has a Forward P/E ratio of 23.04. Its industry sports an average Forward P/E of 30.05, so one might conclude that Twilio is trading at a discount comparatively.
Also, we should mention that TWLO has a PEG ratio of 1.18. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. TWLO's industry had an average PEG ratio of 1.81 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 37, which puts it in the top 15% of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.