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Twilio (TWLO) Registers a Bigger Fall Than the Market: Important Facts to Note
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Twilio (TWLO - Free Report) ended the recent trading session at $238.88, demonstrating a -1.35% change from the preceding day's closing price. This change lagged the S&P 500's 0.45% loss on the day. Meanwhile, the Dow experienced a drop of 1.21%, and the technology-dominated Nasdaq saw a decrease of 0.01%.
Coming into today, shares of the company had gained 4.33% in the past month. In that same time, the Computer and Technology sector lost 1.9%, while the S&P 500 lost 2.43%.
The upcoming earnings release of Twilio will be of great interest to investors. The company is expected to report EPS of $1.45, up 16% from the prior-year quarter. At the same time, our most recent consensus estimate is projecting a revenue of $1.51 billion, reflecting a 16.16% rise from the equivalent quarter last year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $5.88 per share and revenue of $5.98 billion. These totals would mark changes of +20.25% and +18%, respectively, from last year.
Investors should also take note of any recent adjustments to analyst estimates for Twilio. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Twilio is currently sporting a Zacks Rank of #3 (Hold).
In the context of valuation, Twilio is at present trading with a Forward P/E ratio of 41.15. Its industry sports an average Forward P/E of 20.36, so one might conclude that Twilio is trading at a premium comparatively.
It's also important to note that TWLO currently trades at a PEG ratio of 2.63. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Internet - Software industry currently had an average PEG ratio of 1.14 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 90, finds itself in the top 37% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
View the Zacks #1 Rank List
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Twilio (TWLO) Registers a Bigger Fall Than the Market: Important Facts to Note
Twilio (TWLO - Free Report) ended the recent trading session at $238.88, demonstrating a -1.35% change from the preceding day's closing price. This change lagged the S&P 500's 0.45% loss on the day. Meanwhile, the Dow experienced a drop of 1.21%, and the technology-dominated Nasdaq saw a decrease of 0.01%.
Coming into today, shares of the company had gained 4.33% in the past month. In that same time, the Computer and Technology sector lost 1.9%, while the S&P 500 lost 2.43%.
The upcoming earnings release of Twilio will be of great interest to investors. The company is expected to report EPS of $1.45, up 16% from the prior-year quarter. At the same time, our most recent consensus estimate is projecting a revenue of $1.51 billion, reflecting a 16.16% rise from the equivalent quarter last year.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $5.88 per share and revenue of $5.98 billion. These totals would mark changes of +20.25% and +18%, respectively, from last year.
Investors should also take note of any recent adjustments to analyst estimates for Twilio. Such recent modifications usually signify the changing landscape of near-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the business health and profitability.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. Twilio is currently sporting a Zacks Rank of #3 (Hold).
In the context of valuation, Twilio is at present trading with a Forward P/E ratio of 41.15. Its industry sports an average Forward P/E of 20.36, so one might conclude that Twilio is trading at a premium comparatively.
It's also important to note that TWLO currently trades at a PEG ratio of 2.63. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Internet - Software industry currently had an average PEG ratio of 1.14 as of yesterday's close.
The Internet - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 90, finds itself in the top 37% echelons of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.