Twilio Inc. (TWLO) Stock Moves -0.22%: What You Should Know

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In the latest trading session, Twilio Inc. (TWLO) closed at $109.72, marking a -0.22% move from the previous day. This change was narrower than the S&P 500's daily loss of 1.23%. Elsewhere, the Dow lost 1.28%, while the tech-heavy Nasdaq lost 1.13%.

Coming into today, shares of the company had lost 15.72% in the past month. In that same time, the Computer and Technology sector gained 1.53%, while the S&P 500 gained 1.95%.

Investors will be hoping for strength from TWLO as it approaches its next earnings release. The company is expected to report EPS of $0.01, down 85.71% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $287.64 million, up 70.3% from the year-ago period.

TWLO's full-year Zacks Consensus Estimates are calling for earnings of $0.17 per share and revenue of $1.12 billion. These results would represent year-over-year changes of +54.55% and +71.66%, respectively.

It is also important to note the recent changes to analyst estimates for TWLO. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 10.39% lower. TWLO is currently a Zacks Rank #3 (Hold).

Valuation is also important, so investors should note that TWLO has a Forward P/E ratio of 646.82 right now. This valuation marks a premium compared to its industry's average Forward P/E of 55.

Investors should also note that TWLO has a PEG ratio of 39.22 right now. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 2.55 based on yesterday's closing prices.

The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 107, which puts it in the top 42% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our 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.

You can find more information on all of these metrics, and much more, on Zacks.com.


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