|Bid||113.20 x 800|
|Ask||114.46 x 1300|
|Day's Range||111.20 - 117.23|
|52 Week Range||62.43 - 151.00|
|Beta (3Y Monthly)||1.25|
|PE Ratio (TTM)||N/A|
|Earnings Date||Nov 4, 2019 - Nov 8, 2019|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||150.80|
Twilio Inc (NYSE: TWLO) shares are up 2.9% in the past two days following an upgrade by Morgan Stanley. Dusaniwsky said Twilio has the largest outstanding short position of any stock in the internet services and infrastructure group, with more than $1.73 billion in short interest. Despite Twilio’s 20.9% sell-off in the past three months, Dusaniwsky said Twilio short sellers have registered more than $126.2 million in mark-to-market losses so far in 2019.
Software maker Twilio is building out a next-generation business communications platform that will one-up rivals, says an analyst that upgraded the company to overweight.
Enterprise CPaaS company Bandwidth Inc (NASDAQ: BAND ) boasts a cost-effective, flexible and responsive solution platform and counts some of the most "demanding" corporate giants as customers. ...
Shares of Twilio Inc (NYSE: TWLO ) are trading near six-month lows, and the recent pullback may be a function of "confusion" related to its growth outlook, according to Morgan Stanley. The Analyst ...
Microsoft, Twilio, and Splunk shares were higher in early market trading today. While Microsoft rose 2%, Twilio and Splunk rose 1.7% and 2.5%, respectively.
Twilio Inc. had long been on my most coveted list. Twilio sold off in late July, then sold off again in early September with that powerful rotation. As I incrementally re-engaged with some cloud names that I had abandoned, there would be room this time around for Twilio.
Twilio shares traded higher Thursday after analysts at Morgan Stanley boosted their target price on the cloud software group, citing value linked to its next-generation communication platform.
The cloud stocks have been hit hard in recent weeks, Jim Cramer told viewers of his Mad Money program Monday evening, and that means investors need to stick with only the best-of-breed companies. When it comes to valuation, Cramer chose the "Rule of 40" method, which says that a company's revenue growth plus its profit margin must be greater than 40. Twilio Inc. , Adobe Systems Inc. and ServiceNow Inc. topped the fundamentals list using this method.
Twilio lies behind the apps we every day, including Uber and eBay. Here is what the fundamentals and technical analysis say about buying TWLO stock now.
Okta (NASDAQ:OKTA) isn't exactly a household name. Enough people knew about it though (and liked it well enough) to Okta stock from its early-2017 IPO price of $17 to its July high of $141.85.Source: Sundry Photography / Shutterstock.com Then, everything changed. The stock has peeled back from that high to its current price near $103 and is seemingly testing even lower lows. The 27% meltdown Okta stock has suffered in fewer than two months is the biggest selloff it has seen since became publicly traded.The likely reasons include that Okta pushed the average maturation date on some of its debt down the road. On top of that uninspiring decision, several cloud-computing names like Twilio (NYSE:TWLO) and Slack Technologies (NYSE:WORK) have also stumbled into selloffs over the course of the past few days. Industry influence can be potent at times.InvestorPlace - Stock Market News, Stock Advice & Trading TipsThere's a more likely underlying reason OKTA has been hammered after being such an incredible performer though. That is, it's wildly, ridiculously overvalued, with little hope of ever justifying what was at one point in July a more than $16 billion market cap. A Closer Look at Okta StockOkta offers computer login-security services, remotely preventing unauthorized access to protected information. If you log into an app at work or even via your smartphone, it's possible you've passed through an Okta-managed digital gate. * 7 Tech Stocks You Should Avoid Now It's an important business given the countless number of data breaches and computer hacks we've seen of late, but it's not a business with a particularly high barrier to entry.The crowded field is evidence of that. Twilio is in the same arena, as is Nexmo. And Bandwidth. And Hearsay, Plivo and Voxbone just to name a few, along with dozens of other players.It's not just the small startups in the business though. Big rivals offer comparable services. Though Forrester gave Okta the highest praise in the second quarter of the year by calling it the leader of the IDaaS (identification as a service) industry, that industry's players also included Microsoft (NASDAQ:MSFT) and Alphabet (NASDAQ:GOOGL, NASDAQ:GOOG).No company wants to have to stand up to Google or Microsoft.It's not a message fans and followers of Okta want to hear about, and it's certainly not the new and modern way of thinking about evaluating equities. A good story is good enough. The idea is all the matters. The trajectory rather than the current situation is the key.Except, those premises are only true for a short while. Eventually, a company has to make some real money that at least comes close to making sense given its price.Even with its 27% selloff, Okta stock still isn't even close. The Real Problem for Okta StockThe sheer quantity and quality of its competition is only half the concern suddenly weighing Okta down, however. The other half is a valuation that makes little sense even if Okta can outpace its rivals.Forget the lack of earnings for the moment; lots of companies bleed cash in their infancy. Even just focusing on revenue, Okta is valued at a stunning 25.7 times its trailing sales of $486.8 million.The S&P 500's price/sales ratio right now is an above-average 2.2. By that measure, Okta is overvalued by a factor of more than ten.Okta would need to grow its top line all the way from $486 million now to $5.6 billion to fairly justify its current market cap of $12.3 billion. Even allowing a little more wiggle room that tech stocks often command, a top line of $5 billion would still be a necessity. That's more than a 1000% improvement in sales in a market that Microsoft and Google are also in.Earnings growth would have to be even more dramatic to justify the stock's current value, working its way out of the red. The Reality for Okta StockThe digital future will undoubtedly require even more secure login architecture. Okta provides it.Unfortunately, so do dozens of other companies. Investors went nuts in particular over this one, however, without ever really asking questions like, "How much revenue can this one company produce?" and "How much of that revenue can be turned into a viable, sustainable profit when the service is essentially a commodity?"Increasingly, investors are realizing that the company's insiders and early investors had more to gain by going public and touting the stock than they did by building the company's revenue base. The same goes for rivals. It's also arguable these insiders and major stakeholders of all these companies were ultimately gunning for an acquisition that's looking less and less likely.The timing of these realizations remains one of life's great trading mysteries.And that's not to say Okta stock won't bounce back from its recent setback. It probably will. Anything dropped from enough height will bounce. The question is, can any bounce be sustained?The scope and speed of the selloff, however, suggests the cloud-identification market's investors just had their aha moment. Okta's honeymoon period is officially over, and that ain't good for existing shareholders.As of this writing, James Brumley held a long position in Alphabet. You can learn more about him at his website jamesbrumley.com, or follow him on Twitter, at @jbrumley. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Recession-Resistant Services Stocks to Buy * 7 Hot Penny Stocks to Consider Now * 7 Tech Stocks You Should Avoid Now The post Okta Stock May Be Preparing to Take a Real, More Permanent Plunge appeared first on InvestorPlace.
Equities opened higher on Friday, but faded throughout the afternoon, with the S&P 500 finishing about flat on the day. After a very strong start to September, here's a look at a few top stock trades going into next week. Top Stock Trades for Tomorrow 1: FordShares of Ford (NYSE:F) haven't made much progress this week, but it's been a good showing from the bulls. Earlier this week, the company had its credit downgraded to junk status, but Ford stock posted a resilient rally.InvestorPlace - Stock Market News, Stock Advice & Trading TipsOn Friday, the stock briefly reclaimed the 50-day moving average, the same one which rejected F earlier in the week. A move above it puts $9.65 on watch and above that, a potential gap fill up to $10.20. * 7 Discount Retail Stocks to Buy for a Recession On the downside, see that Ford maintains above $9.40-ish. Just below is the 38.2% and rising 20-day moving average to help buoy shares on a possible pullback. Below this week's low opens up the possibility of $8.75. Top Stock Trades for Tomorrow 2: General MotorsShares of General Motors (NYSE:GM) have had a quiet week, but that comes after last week's strong gap up action. Consolidating between $38.50 and $39.50, GM stock is bound to move out of this range at some point.Should it resolve higher, the first target is $40.50. Above that and a run to the July highs is possible, up near $41.48. If it trades lower and falls out of this consolidation pattern, look for support from the 50-day and 20-day moving averages.If they fail as support, it puts the 200-day moving average on watch, with range support at $35.50 below that. Top Stock Trades for Tomorrow 3: MonsterMonster Beverage (NASDAQ:MNST) has a really interesting setup for traders. Uptrend support (blue line) continues to squeeze shares against static resistance at $59. That's known as an ascending triangle, a bullish technical pattern.At $59.27, the stock also has the 38.2% retracement it's trying to reclaim. Should it finally breakout, look for a possible run to the 50-day moving average. Above that and $63 is possible.If the 200-day and $59 resistance reject MNST stock, look for a pullback into uptrend support. Top Stock Trades for Tomorrow 4: TwilioAfter the thrashing we've seen in high growth stocks, many were hoping for a more impressive rebound. This bounce has been tepid, and that's putting it kindly. Just look at the action in Twilio (NYSE:TWLO) for instance.Short of a flood of buy orders, Twilio and others look set to roll over once again. Should TWLO get hit, I would love to see a correction down to the $96 to $98 area, and see whether that draws in buyers. * 10 Recession-Resistant Services Stocks to Buy High-growth selloffs are tough. If there are a few companies you really like and are willing to hold for the long term -- and embrace the risk -- nibbling on these declines can be rewarding. But they're difficult to time. In TWLO's case, let's take it one day at a time and see how it holds up on a potentially deeper decline.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Big IPO Stocks From 2019 to Watch * 7 Discount Retail Stocks to Buy for a Recession * 7 Stocks to Buy Benefiting From Millennial Money The post 4 Top Stock Trades for Monday: F, GM, TWLO, MNST appeared first on InvestorPlace.
Terrifying and quick-to-counter terrific headline tweets are no way to buy or sell tech stocks. In today's often volatile market, trusting the price charts of Adobe (NASDAQ:ADBE), Twilio (NYSE:TWLO) and Shopify (NYSE:SHOP) and applying smart trading strategies to those decisions is the only way to navigate and profit in a daily and ongoing trade war. Let me explain.August was undoubtedly a tough one for the market and even more so for many technology stocks. For a time and in the first part of the month, countering trade war jabs from the U.S. and China and an inverted-yield curve got the better of Wall Street. And let's just say, conditions turned quickly ugly on the price charts of most risk-assets.But given the medium of Twitter and unusual negotiating skill set of POTUS, taking any particular day's headline and message to the market as written in stone is a fool's game. And by the second half of August, Wall Street was already picking up the pieces. On Aug. 13 the broader indices quietly scored a bullish and historically robust follow through day amid still chaotic headlines and uncertain political theater.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Battered Tech Stocks to Buy Now At the end of the day, investors have to ask themselves if it's better to react to the loose cannon in charge or proactively listen and watch the price charts for clues to what the future holds. When it comes to tech stocks ADBE, TWLO and SHOP, the decision of whether to buy or short shares is an easy one. Tech Stocks to Buy: Adobe (ADBE)Adobe is a large cap, household name that has been around nearly as long as Microsoft (NASDAQ:MSFT) and Apple (NASDAQ:AAPL). And right now the ever-popular software graphics powerhouse is setting up as a buy.On the weekly price chart, shares of Adobe are testing prior pattern resistance and the 38% level for support as stochastics sets up in oversold territory with a bullish crossover signal.My suggestion is to allow for a bit of price confirmation on the weekly time frame before buying ADBE stock. As we move into the second half of the trading week, a move through $285 with an initial stop-loss of 5% looks about right, without waiting on a picture-perfect entry. Twilio (TWLO)Twilio is sending a loud and clear message to short shares on the weekly price chart. The in-app communications specialist is a high-profile growth play. Still, as any seasoned investor knows, even the best stocks go through corrections from time to time. Right now appears to be one of those periods. * 7 Strong-Buy Stocks Hedge Funds Are Buying Now Currently TWLO stock has broken below bear flag support this week. Shares are slightly oversold as evidenced by Twilio's stochastics and price action pressed into the lower Bollinger Band. As such, I'd wait for a small counter-trend rally before positioning. More importantly, given this tech stock's bullish run over the past two years, its troublesome failure through trendline support and its wide Fibonacci zone that's still untested, this one is a short! Shopify (SHOP)I'm a buyer of cloud-based business solutions platform Shopify, but only if today's price support holds. The weekly chart shows SHOP stock is challenging trendline support and prior pattern resistance tied to a high-level corrective base.Ultimately and similar to TWLO, Fibonacci support still isn't in play and that's obviously a concern. As stated above, all stocks, even a great growth story like Shopify, is bound to have periods of bearish price action which will test bulls' mettle. And given this technology stock's impressive rally in 2019, that point is all the more important to prepare for.Given the potential for more impactful and not necessarily benign volatility, I'd advise using the SHOP stock daily chart. The lesser time frame shows a bullish stochastics crossover in oversold territory as weekly technical support is being tested. If necessary, exiting below this week's lows if shares fall beneath $333 makes good sense both off and on the price chart.Disclosure: Investment accounts under Christopher Tyler's management do not currently own positions in securities mentioned in this article. The information offered is based upon Christopher Tyler's observations and strictly intended for educational purposes only; the use of which is the responsibility of the individual. For additional market insights and related musings, follow Chris on Twitter @Options_CAT and StockTwits. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks to Sell in Market-Cursed September * 7 of the Worst IPO Stocks in 2019 * 7 Best Stocks That Crushed It This Earnings Season The post 3 Tech Stocks to Buy and Short appeared first on InvestorPlace.
Tuesday marked another interesting day in U.S. equities. Investors saw good, bad and ugly in the stock market today, with assets mixed for the second straight session. Worth noting in this case though, the stark differences weren't as notable as Monday's session.Again though, we saw small caps outperform via the iShares Russell 2000 ETF (NYSEARCA:IWM) as it rallied 1.24%, while tech lagged as the PowerShares QQQ ETF (NASDAQ:QQQ) fell 0.3%.InvestorPlace - Stock Market News, Stock Advice & Trading TipsSandwiched in between were the SPDR S&P 500 ETF (NYSEARCA:SPY) and SPDR Dow Jones Industrial Average (NYSEARCA:DIA), which were down 0.04% and up 0.2%, respectively.While we saw small caps easily outperform the S&P 500 on Monday, we also saw high-growth tech stocks like Twilio (NYSE:TWLO), Shopify (NASDAQ:SHOP) and others obliterated on the day. On Tuesday, we saw more selling pressure in these names, although not to the extent we did in the prior session.Instead, streaming dominated the headlines in the stock market today, following the Apple (NASDAQ:AAPL) event. All About AppleJust like it does every year, Apple held its fall product event on Tuesday, showcasing a number of new services, products and upgrades for its customers. What were the highlights?Starting with the iPhone, Apple announced three new versions of the device. The iPhone 11 Pro and 11 Pro Max will start at $999 and $1099, respectively, and sport panel sizes of 5.8 inches and 6.5 inches, respectively. * 10 Stocks to Sell in Market-Cursed September The devices will come in four colors, have OLED displays and boast three rear-facing cameras. The iPhones will ship with a fast-changing adapter, while the iPhone 11 Pro has improved battery life of four hours and iPhone 11 Pro Max sports an improvement of five hours.The third device is Apple's low-cost option, the iPhone 11, weighing in at $699. The iPhone sports a 6.1-inch display and dual rear-facing camera. The low-cost option will be available in six colors.Customers will also be able to order the new Series 5 Apple Watch. The device starts at $399, with a 4G unit costing $499. The Series 3 price will drop down $199. Apple also introduced the 7th-generation iPad, which starts at $329 and will begin shipping at the end of the month.Further, the company announced that Apple Arcade will be available Sept. 19 in more than 150 countries. The service starts at $4.99 per month for the whole family (after a one-month free trial), and will soon have more than 100 games.Finally, the company said that its Apple TV+ service will start at just $4.99 for the whole family. One year of the service will be included for new hardware purchases, with the first shows launching Nov. 1 in over 100 countries. Apple expects to add new shows each month. Streaming WarsI left the Apple TV+ news for last, because it has more than just customers talking about it. It's wreaking havoc on other streaming plays, like Disney (NYSE:DIS), Netflix (NASDAQ:NFLX) and Roku (NASDAQ:ROKU).Disney and Netflix each slipped about 2.2%, while Roku took a punch to the teeth, falling 10.5%. It's exactly why all three stocks (plus Apple) were InvestorPlace's Top Stock Trades.What will the impact be?When Disney priced its Disney+ streaming service at $6.99 per month (or $70 annually), most assumed it was to undercut Netflix. Given Disney's strong content library and appeal to parents, the service looks like a layup at these prices.But after Apple announced its service at $4.99 a month, perhaps that's why Disney's price came in so low. While it doesn't mean he knew ahead of time, the fact that Disney CEO Bob Iger sits on the Apple board is at least worth mentioning here.In any regard, I don't know that Disney is at a big competitive risk against Apple. For starters, the price points are not that far apart, particularly if customers buy the annual package from Disney (which boils down to $5.83 per month). Second, Disney has vastly better content than Apple that appeals to toddlers, kids, teens and adults.That's hard to top.For Netflix though, its standard plan rings in at $12.99 a month, but its offerings range between $8.99 and $15.99 per month. Many would argue that it has inferior content to Disney, but will likely have superior content to Apple. Unfortunately, its price point isn't competitive. It will be interesting to see how much staying power NFLX really has and how loyal its customers really are.Perhaps it won't lose market share and in fact, gain market share as more customers cut the cord. Collectively, someone could pay $25 a month for NFLX (standard), Disney+ and Apple TV+. Not bad.Let's see what the market makes of it over the next few days and weeks.Finally, there's Roku. Shares were crushed on the day, which likely had more to do with its run from under $100 to over $175 in about a month's time more than anything else. Still, the headlines about Apple's approach to streaming -- of course, with its own hardware available -- didn't help matters.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell is long AAPL, DIS and SHOP. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks to Sell in Market-Cursed September * 7 of the Worst IPO Stocks in 2019 * 7 Best Stocks That Crushed It This Earnings Season The post Stock Market Today: Streaming Wars Are About to Get Real appeared first on InvestorPlace.
On Monday morning, while the rest of the markets were rising, a few stars fell out of the sky. Incredible momentum champion stocks like Okta (NASDAQ:OKTA), Twilio (NYSE:TWLO) and The Trade Desk (NASDAQ:TTD) had a really bad day. What made it seem worse is that this was happening while markets were enjoying a nice rally. Even the mighty Shopify (NYSE:SHOP) suffered. Some of the 2019 winners are stocks to buy now.This dip may be a great opportunity to add a little risk to your portfolio. Logic suggests that if the overall stock markets are headed higher, then OKTA, TWLO and TTD stock will find footing and rally too. Onus is still on the bears to prove that they can sustain the selling in these three Software-as-a-service (SaaS) stocks. Until then, dips are buying opportunities. * 7 Best Stocks That Crushed It This Earnings Season OKTA, TTD, and TWLO stocks all fall under the umbrella of SaaS stocks and this rising sector not a fad. SaaS is a movement that Salesforce.com (NYSE:CRM) started years ago, and now, the whole world has adopted it. The best example of this is Microsoft (NASDAQ:MSFT) and how well they switched to the subscription model versus selling individual software hard copy releases and upgrades.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Okta (OKTA)When I say OKTA had a bad day, it is most definitely a relative statement. Year-to-date Okta stock is still up 71% -- so this is by no means a catastrophe yet. This is 3 times better than the NASDAQ Invesco QQQ Trust (QQQ) for example.A few red ticks do not not erase the enthusiasm in the stock. But technically, the rise in OKTA stock was so fast that it left weak hands below. Meaning there are fast profits that could shake out quickly on bad days. But every dip builds a stronger base. That's why this one may actually be a good entry point opportunity for the next few months.OKTA is not a cheap stock. the company loses money and sells at 35 times its sales. Clearly, if the markets in general correct, it would leave OKTA stock vulnerable for much more pain ahead. So the those looking to trade it shorter term should use tight stops.The lines to trade OKTA for the short term are clear. Once it lost $125 per share, $110 became the target and that filled on Monday afternoon. So from here the bears will have to work a lot harder to go much further. The zone below Monday's low is support. Below $100 per share OKTA could fall another $10 before it would hit the next pivot level.For investors who believe in the longer-term profit potential for the company, they should just buy the stock on this dip. I personally prefer to do it through options. Buying calls or shares here carries a lot of hopium. I'd much prefer selling the November $80 puts for the chance to generate income without even needing a rally. If OKTA stock stays above my level then I achieve maximum gains. Worst case scenario I keep my profit and own the shares at a 25% discount from Monday's close. I don't accrue losses unless OKTA falls below $79 per share. Twilio (TWLO)Twilio stock is also expensive as it sells at 25 times its sales. Clearly Twilio is also bloated based from traditional valuations. However, the company is poised to continue to benefit from the expansion of software services. So I don't judge entirely on today's valuation metrics. As long as they grow their top line, the P/E almost doesn't matter -- for a while at least.Nevertheless, there is risk from the charts. Once TWLO stock lost $120 per share, it triggered a bearish pattern with about $20 of potential downside. So far, it has priced in almost half of it as of Monday. So here it could bounce a little before it finishes the rest of the pattern.If I catch the Twilio stock knife today, I should know that there might be more pain ahead. So it's a good idea to start with half a position then add to it to manage risk if needed. As far as levels, TWLO stock has a pivot near $102 per share. This is not a hard line in the sand but rather a rubber band zone.For the same reasons as above, I like TWLO here or if it finishes the bearish pattern.Just like with OKTA, TWLO stock bulls have the responsibility to prove that these red candles are a mere shakeout of weak hands. And that the control is still in their hands. If I'm already long TWLO, then I stay long it into the support below. If I'm looking for an entry point, this dip is as good as any especially if I do it in tranches. * 10 Stocks to Sell in Market-Cursed September Alternatively, I like to sell downside puts into what others fear. For example I can sell the TWLO November $85 put and collect $2 to open. This way Twilio stock can fall 25% and I can still retain my maximum gains. If it does fall that much, I end up long TWLO stock and break even at $84 per share. The Trade Desk (TTD)TTD stock also lost its footing near $230 per share and is almost completely at the measured target of $200 per share. That is an important number because it is also the point of control for the whole year. Meaning the bulls and bears like to fight hard over it. The TTD 10-month range is huge as it rallied 180% off of the December lows. Coming back to $200 is still 100% gains from the Christmas Eve dip.This is normal price action because when a stock rises so quickly, at a certain point it has to give back some of it in order to build a better base from which the bulls can remount another rally even higher. So as long as TTD stock bulls hold above $190 per share, this drop is a non-event. If I own the shares, this is not the right time to bail on them.On the other hand, this is a momentum stock so technically, it could fill lower gaps like the one near $160 per share. But to get there, the bears will have to work a lot harder than they did to get here. So until then this dip is a buying opportunity.Alternatively here I would rather use options to profit and while leaving a margin of error. For example, I can sell the TTD November $135 put option and collect more than $2 to open. This means that I will profit even if TTD falls another 35% from current levels. If it falls below $133 then I would accrue losses.Fundamentally, TTD is also bloated from the traditional valuation perspective. Its trailing P/E is 100, and it sells at 22 times at sales. But then again this is a case where investors are paying up for future potential and not current profitability levels.Once hot stocks lose a lot of their froth, it's hard to regain the same level of enthusiasm on Wall Street. So the extreme sustained rallies become harder to achieve. That's why I prefer using options so to bank on downside support rather than upside potential.It is also important to note that I never sell naked puts unless I intend to own the shares. And I never risk more than I can afford to lose.Nicolas Chahine is the managing director of SellSpreads.com. As of this writing, he did not hold a position in any of the aforementioned securities. Join his live chat room for free here. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 10 Stocks to Sell in Market-Cursed September * 7 of the Worst IPO Stocks in 2019 * 7 Best Stocks That Crushed It This Earnings Season The post 3 SaaS Stocks to Buy Now: OKTA, TWLO, TTD appeared first on InvestorPlace.
Overvalued tech stocks such as Alteryx and Twilio lost market value yesterday. They're also sliding today as investors are wary about valuations and growth.
We've lost count of how many times insiders have accumulated shares in a company that goes on to improve markedly...
Stock futures: Apple is near a buy point ahead of Tuesday's iPhone unveiling. Software stocks plunged Monday with Zscaler earnings due. Can the stock market rally thrive without software?
It was a relatively calm day on Wall Street on Monday, with the exception of the selloff in high-growth stocks. We'll look at a few right now, as they are our top stock trades to watch. Top Stock Trades for Tomorrow 1: The Trade DeskMany of these stocks are great companies, but they have been on tremendous runs so far in 2019. The Trade Desk (NASDAQ:TTD) is one of them. However, shares fell more than 10% on Monday alone -- with no news in sight.InvestorPlace - Stock Market News, Stock Advice & Trading TipsWhen the market was breaking out of its month-long trading range last week, many of the relative growth leaders were not partaking in said upside. We flagged that at the time -- both here on InvestorPlace and on Twitter. Monday's price action doesn't come as much of a surprise to those that saw those posts. * 7 Best Stocks That Crushed It This Earnings Season In any regard, investors are trying to balance buying these for the long haul and avoid getting run over on the decline. For TTD, shares knifed right through the 38.2% retracement like it wasn't even there.I have my eye on $200 now. Not only is that a significant round number that can act as a magnet, but near it we will also find the 200-day moving average and the 50% retracement. If it fails to hold, $180 is the next target. Top Stock Trades for Tomorrow 2: NetflixAfter this one was smoked on earnings, InvestorPlace readers cleaned up nicely when Netflix (NASDAQ:NFLX) was rejected from prior range support at $340 and the 200-day moving average.Now this name has been trapped in a series of relentless selling. Shares are pushing above downtrend resistance, but not in a meaningful manner as the 20-day moving average swiftly rejects NFLX.If the 61.8% retracement holds as support, perhaps NFLX can again attempt to push above the 20-day. Above that and the 50% retracement is on the table.If the 61.8% fails as support though, NFLX will likely retest its lows near $282.79. Top Stock Trades for Tomorrow 3: TwilioTwilio (NYSE:TWLO) stock didn't even slow down as it knifed through the 200-day moving and 38.2% retracement. Like TTD, TWLO is a great company but the writing was on the wall in terms of the price action.I'm not sure if we'll get TWLO down to $100, but it might be an attractive entry point for interested bulls. Particularly with the 50% retracement near $105 and the 61.8% near $95. Top Stock Trades for Tomorrow 4: AlteryxAlteryx (NYSE:AYX) has been a monster so far in 2019. Even after Monday's 15% beating, shares are still up 102% so far for the year. Lucky for us, we named AYX one of 7 mid-cap studs to watch this year.With AYX slicing through the 50-day like a hot knife through butter though, investors need to take some precaution. Between $107 and $110 is channel support (blue line) and the 38.2% retracement.If that doesn't hold, let's see if $95 is on the table. Top Stock Trades for Tomorrow 5: Tanger Factory OutletsOne name that hasn't been doing all that well this year is Tanger Factory Outlet Centers (NYSE:SKT). This REIT has a big dividend and terribly performing stock. However, shares are quietly up eight days in a row and putting an exclamation point on Monday's rally.Shares are up about 5% and bursting through the 50-day moving average. Keep in mind, this moving average gave SKT a very hard time in July. Now above it, let's see if shares can get back to $16.50. * 7 Industrial Stocks to Buy for a Strong U.S. Economy Mainly though, I want to see the 20-day and 50-day moving averages act as support going forward.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell is long SKT and TTD. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 3 Artificial Intelligence Stocks to Buy * 7 Industrial Stocks to Buy for a Strong U.S. Economy * 3 Beaten-Down Bank Stocks to Buy and Hold for the Long Term The post 5 Top Stock Trades for Tuesday: TTD, NFLX, TWLO, AYX appeared first on InvestorPlace.
The Technology Select Sector ETF (XLK) has fallen 0.8% on the day. Several tech stocks are trading in the red, particularly the overvalues stocks.
(Bloomberg) -- Shares of some of this year’s highest-flying software stocks tumbled Monday as investors re-evaluate this year’s rally in light of the premium valuations their rapid revenue growth commands.Data-management software developer Alteryx Inc. plunged as much as 15%, while cybersecurity firm Crowdstrike Holdings Inc. sank 13%. They have been among 2019’s top performers, more than doubling since the start of the year. Both had revenue growth that exceeded 70% in the second quarter and trade at more than 20 times estimated sales, according to data compiled by Bloomberg. The average for the S&P 500 Software Index is about 7 times.Enterprise-software companies have been among the standout gainers in the S&P 500 this year, as investors have been have been willing to pay higher prices for faster revenue expansion amid concerns about slowing global growth. They’ve also been helped by limited China exposure, which has increased their appeal amid the Sino-American trade war. Monday’s slump comes after the broader market retraced almost all of its August losses as trade and economic worries eased.“Most of the names getting hit are high-multiple names that have had impressive run ups,” said Rishi Jaluria, a D.A. Davidson analyst. “This suggests some level of profit taking.”Other notable decliners on Monday include:Fastly Inc. -16%Slack Technologies Inc. -12%MongoDB Inc. -11%Pagerduty Inc. -11%Zoom Video Communications Inc. -9.6%Okta Inc. -11%Twilio Inc. -10%Coupa Software Inc. -11%Trade Desk Inc. -11%Shopify Inc. -7.8%(Adds S&P 500 Software Index average multiple in second pargraph.)To contact the reporter on this story: Jeran Wittenstein in San Francisco at firstname.lastname@example.orgTo contact the editors responsible for this story: Catherine Larkin at email@example.com, Richard RichtmyerFor more articles like this, please visit us at bloomberg.com©2019 Bloomberg L.P.