Twilio (TWLO) Gains As Market Dips: What You Should Know
Twilio (TWLO) closed at $71.81 in the latest trading session, marking a +0.77% move from the prior day. This move outpaced the S&P 500's daily loss of 0.07%.
Prior to today's trading, shares of the company had lost 1.83% over the past month. This has lagged the Computer and Technology sector's gain of 2.5% and the S&P 500's gain of 3.98% in that time.
Analysts and investors alike will be keeping a close eye on the performance of Twilio in its upcoming earnings disclosure. The company's upcoming EPS is projected at $0.57, signifying a 159.09% increase compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $1.04 billion, up 1.42% from the year-ago period.
Any recent changes to analyst estimates for Twilio should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, upbeat changes in estimates indicate analysts' favorable outlook on the company's business health and profitability.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 7% increase. Twilio is currently a Zacks Rank #3 (Hold).
Digging into valuation, Twilio currently has a Forward P/E ratio of 29.96. This valuation marks a discount compared to its industry's average Forward P/E of 35.52.
Meanwhile, TWLO's PEG ratio is currently 0.64. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The average PEG ratio for the Internet - Software industry stood at 1.67 at the close of the market yesterday.
The Internet - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 30, finds itself in the top 12% echelons of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Twilio Inc. (TWLO) : Free Stock Analysis Report
