|Bid||98.05 x 1300|
|Ask||98.55 x 900|
|Day's Range||96.26 - 99.36|
|52 Week Range||73.15 - 151.00|
|Beta (3Y Monthly)||1.12|
|PE Ratio (TTM)||N/A|
|Earnings Date||Feb 10, 2020 - Feb 14, 2020|
|Forward Dividend & Yield||N/A (N/A)|
|1y Target Est||131.82|
The technology and service company’s shares are under pressure even though Twilio posted better than expected earnings and revenue. Yahoo Finance’s Dan Roberts, Scott Gamm and Sibile Marcellus discuss on YFi AM.
Twilio (NYSE: TWLO), the leading cloud communications platform, today announced that it has been appointed by the U.S. Federal Communications Commission (FCC) to the re-chartered North American Numbering Council. The North American Numbering Council (NANC) is a Federal Advisory Committee that was created to advise the FCC on numbering issues in the United States and to make recommendations that foster efficient and impartial number administration. The NANC is composed of representatives of telecommunications carriers, regulators, cable providers, VoIP providers, industry associations, vendors and consumer advocates.
Although tech stocks generally comprise a hot space, not all companies within the space are hype-worthy.The technology sector is one of the biggest gainers of the year. With an almost 40% year-to-date gain, 2019 will go down in the history books as a banner year for tech stocks. Its ranks are full of out-sized winners that have showered shareholders with profits. Heavy hitters like Apple (NASDAQ:AAPL) and Microsoft (NASDAQ:MSFT) have led the charge. But not all companies that call technology home have participated in the rally. Some find themselves sliding into Christmas amid disappointing earnings and deteriorating technicals. * 7 Hot Payments Stocks to Buy Now With that in mind, let's take a look at three tech stocks to sell before the start of 2020.InvestorPlace - Stock Market News, Stock Advice & Trading Tips Tech Stocks to Sell: Cisco Systems (CSCO)Source: The thinkorswim® platform from TD Ameritrade Drawdown from 2019 peak: -25%Cisco Systems (NASDAQ:CSCO) shares were flying high into mid-year but have since been thoroughly smashed. The downtrend accelerated following the past two earnings reports, revealing widespread disappointment in the company's profitability. The damage has been bad enough to turn the slow-moving 200-day average lower to join its shorter-term counterparts.This week's support break signaled a continuation of the descent and points toward a potential retest of its early January low near $41. Volume patterns show a groundswell in distribution over the past few months and are reflective of institutions abandoning ship. While the tides could always turn, CSCO is one of the ugliest ducklings in the tech sector. Dropbox (DBX)Source: The thinkorswim® platform from TD Ameritrade Drawdown from 2019 peak: -32%The chart of Dropbox (NYSE:DBX) reveals consistent weakness ever since its IPO. There was a single moment of hope last June when DBX scored a robust breakout, but it fizzled fast, and the stock has been cruising lower ever since. The first half of the year was constructive and even had DBX stock push back above all major moving averages. But, the progress was wholly dismantled over the back half of the year. * 10 Hot Pot Stocks to Buy We're now within spitting distance of all-time lows. Every single time the stock gets an uptrend going, its quarterly earnings report arrives to throw a wet blanket on the bullishness. The past four events have seen heavy selling pressure. Until the fundamentals can improve enough to warrant an upside surprise in the stock after an earnings release, the chances for recovery are slim. Twilio (TWLO)Source: The thinkorswim® platform from TD Ameritrade Drawdown from 2019 peak: -35%Twilio (NYSE:TWLO) could be a case of a stock running too far too fast. Its meteoric ascent since its 2016 IPO carried the software company up over 500%. That's a lot of future growth getting priced in. Perhaps the recent dismantling is simply a correction of the exuberance, a return to more sane valuation. It's a plausible narrative.But even if you view this as a longer-term dip to be bought, the chart still looks terrible. More evidence is needed before you pile in. At a minimum, TWLO stock needs to break above resistance and the 50-day moving average to reverse the uninterrupted series of lower lows and lower highs. A push above $106 would do the trick.Until then, steer clear of bottoming fishing.As of this writing, Tyler Craig didn't hold positions in any of the aforementioned securities. For a free trial to the best trading community on the planet and Tyler's current home, click here! More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Retail Stocks to Buy That Dominated Thanksgiving Shopping * 6 Manufacturing Stocks to Buy as the Economy Recovers * The 7 Best Cryptocurrencies to Buy as Blockchain Heats Up The post 3 Downtrodden Tech Stocks to Sell Before 2020 appeared first on InvestorPlace.
Joe Terranova said on CNBC's "Fast Money Halftime Report," he still hasn't bought Twilio Inc (NYSE: TWLO ), but he is looking to buy it. He wants to wait for the next earnings report because ...
Washington is set to take on the problem of “call spoofing,” but what will it mean for businesses that use the technique for legitimate reasons?
The first quarter was a breeze as Powell pivoted, and China seemed eager to reach a deal with Trump. Both the S&P 500 and Russell 2000 delivered very strong gains as a result, with the Russell 2000, which is composed of smaller companies, outperforming the large-cap stocks slightly during the first quarter. Unfortunately sentiment shifted […]
The former vice president’s firm Generation Investment slashed its investment in the chip maker’s stock in the third quarter, missing a fourth-quarter rally. Generation also bought Twilio, Salesforce, and Alphabet stock.
Slack shares are down 45% from its IPO, and other cloud names such as Twilio and Zscaler have also fallen most of the year. Can they reach valuations low enough to prompt a return to buying?
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.
Twilio (TWLO) the leading cloud communications platform, today announced the expansion of its French market presence, with the opening of its first French office and the appointment of Jeremy Grinbaum as country director for France to lead the company’s expansion efforts.
Twilio (TWLO), the leading cloud communications platform, was named one of America’s Most JUST Companies of 2020, according to Forbes and JUST Capital. Twilio ranked 9 out of 52 software companies and 77 out of 1,000 of the largest publicly traded companies in areas that matter most to the American people, including fair pay, ethical leadership, good benefits and work-life balance, equal opportunity, customer treatment and privacy, and community support. Twilio was recognized in particular for providing a diverse and inclusive workplace with equal opportunities for employees, protecting customer privacy, and creating quality jobs.
Shares of cloud communications platform Twilio were falling Tuesday following a report that WhatsApp, one of the company's biggest clients, was pulling back on using technology from the company and instead has turned to rival vendors. WhatsApp, a subsidiary of Facebook , accounted for about 7% of Twilio's revenue last year, according to StreetInsider, which broke the news, citing sources. During its recent third-quarter earnings report, Twilio announced that it will change its revenue recognition approach, which broke out "variable revenue" into its own category.
Twilio (TWLO), the leading cloud communications platform, today announced the results of a new study conducted to analyze the efficacy of emails sent by United States presidential campaigns to reach their targeted audiences. The report “How Political Campaigns Can Ensure Their Email Messages Hit Home” studied the patterns, tactics and frequency of emails sent by the presidential campaigns and to what extent they actually reached their recipients.
Analyst Alex Zukin came away from meetings with management `with greater conviction in TWLO as the most attractively priced, durable high-growth story in our coverage.'
Salesforce (NYSE:CRM) stock continues to remain in place amid company growth and acquisitions. It began the year with a quick recovery from the fall 2018 bear market in tech stocks. However, after returning to levels near the 2018 highs, Salesforce stagnated. As a result, it has traded in a range for most of the year.Source: Bjorn Bakstad / Shutterstock.com However, valuations remain elevated even as profit growth hits a temporary slowdown. Moreover, other companies have entered the software-as-a-service business. CRM stock should return to double-digit growth in the near future. However, with the company maturing and choices for SaaS increasing, I see little incentive for investors to take the multiple, and by extension, the stock price to higher levels.At a forward price-to-earnings ratio of 56, CRM stock remains overvalued. However, unlike other value-rich stocks such as Twilio (NYSE:TWLO) or Shopify (NYSE:SHOP), it lacks one critical element of this type of equity -- movement. CRM stock trades at about the same level as it did in early February.InvestorPlace - Stock Market News, Stock Advice & Trading TipsThis is not to say I have gone negative on CRM stock. Salesforce pioneered the SaaS industry as founder Marc Benioff left Oracle (NYSE:ORCL) and founded this company. As a result, the firm is a "force" not just in sales, but across the entire tech industry. Hence, its high valuations of the recent past are not hard to understand. CRM Faces Multiple CompressionHowever, at $140 billion, Salesforce has grown well beyond the startup phase. This has begun to evolve into a mature company. Over the long run, I also expect valuations to "mature." As I pointed out during the summer, CRM stock moved little despite buying Tableau and forming a partnership with Alibaba (NYSE:BABA).Increased competition has become an increasingly important factor in the company's valuation. Justifying a 100-plus P/E ratio is one thing when a company holds a virtual monopoly. However, consumers now have alternatives. Peers such as Oracle, Microsoft (NASDAQ:MSFT) and Adobe (NASDAQ:ADBE) have become competitive threats. All of these companies also trade at a lower multiple. * 7 Beverage Stocks to Stock Up On I would not expect this process to play out quickly. Thus, I agree with InvestorPlace's Thomas Niel when he recommends against shorting CRM stock. Profit growth may have fallen into the single digits. Still, when analysts predict that a profitable company will increase revenues by 27% in the current year and 24.1% the next, it typically makes for a weak short candidate. Regardless of where CRM stock moves, I expect Salesforce to continue to prosper as a company.Also, the CRM stock price has twice bounced back from the low $140 range. Despite my "overvaluation" assertion, it will need more than a high P/E ratio to inspire a massive downward catalyst. Unless we see an overall bear market that compares to the one in the fall of 2018, I do not expect a significant selloff in Salesforce stock.However, those who ride out the maturing process will see CRM stock either stagnate or decline as the process of multiple compression plays out. Investors need to ask themselves if they want to stick around for this. My Concluding Thoughts on CRM StockDespite the bright future for Salesforce as a company, falling multiples and increased competition could hold CRM stock over the near term. Despite a temporary slowdown in profit growth, CRM's forward P/E ratio remains over 50. This has occurred in an environment of rising competition and slow maturation.To be sure, CRM stock remains a long-term winner. I think once valuations fall, Salesforce stock will again become a buy. However, until the P/E ratio compares well to its main peers, I see CRM remaining in its current range for the foreseeable future.As of this writing, Will Healy did not hold a position in any of the aforementioned stocks. You can follow Will on Twitter at @HealyWriting. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Stocks to Sell Before They Roll Over * 5 Beaten-Up Stocks to Buy That Could Be Saved By An Acquisition * 4 Startup Stocks Getting Smashed The post Salesforce Stock Remains on a Path to Continued Stagnation appeared first on InvestorPlace.
Twilio (TWLO) the leading cloud communications platform, today released new research showing that despite an explosion of new channels, email and text are still the preferred channels for consumers when talking to businesses. Twilio surveyed 2,500 global consumers to understand how, when and where consumers want to be reached and how the context and urgency of those messages affects their preferred medium. “Everyday at Twilio, we hear from brands who want to improve their customer experience yet are overwhelmed by the increasingly complex communications landscape,” said Sara Varni, chief marketing officer at Twilio.
Twilio revised its full-year earnings guidance Monday just days after announcing it to the Street. The CEO owned up to the error and said it is "on us to get the simple calculations correct." No assumptions about its forecast and outlook have changed, he said.
Just when Twilio (NYSE:TWLO) investors thought things couldn't get worse, Monday's warning quashed that potential reality. But as Wall Street dumps Twilio stock, what action should investors take? Let's see what's really happening off and on the price chart and offer up a stronger risk-adjusted determination.Source: rafapress / Shutterstock.com The possibility for above-average and maybe even multi-bagger-style longer-term gains continue to be trumped by short-term pain for TWLO shareholders. Shares tumbled 5.2% Monday after the in-app text-based chat messaging specialist filed a second profit revision with the Securities and Exchange Commission following last week's trimming of guidance when the company released its Q3 earnings confessional.Citing a "calculation error" and inconveniently coinciding with an accounting probe at Under Armour (NYSE:UAA) Twilio now expects earnings of 12 cents to 13 cents per share of Twilio stock. The forecast compares to FactSet consensus estimates of 14 cents. The revised, below-views guidance follows last week's mixed report which nonetheless was treated with caution by investors.InvestorPlace - Stock Market News, Stock Advice & Trading TipsTo be clear, warnings are rarely embraced. But for a growth stock of TWLO's caliber whose sales increased by nearly 75% year-over-year and are still forecasted to crank out double-digit increases of nearly 16% over the next five years, it's certainly a drag in the short-term. Moreover, it's not Twilio's only problem right now. * 7 Under-the-Radar Retail Stocks to Buy Now The soft dynamic of confidence has been undercut in TWLO stock. It's important. Still, for an already skeptical Wall Street that's been actively discounting Twilio's future prospects beyond today's latest and less-than-great news, could Twilio be a contrarian buy decision? Or are shares still a short sale or simply a name to hold off on? Twilio Stock Price Weekly ChartThere's little doubt Monday's news release damaged the bull case with the specter of increased uncertainty and whether Twilio stock can be trusted. I wrote about not trusting TWLO shares in early September -- unless investors were considering a bearish position.Now though and with Twilio down another 18% and having corrected by 40% since topping out in June, today is obviously different. But doesn't that make shares a buy?On Twilio stock's monthly price chart shares are quickly approaching a zone test of TWLO's lifetime 50% to 62% Fibonacci support zone from around $72 to $87. That's good news for investors. The area is also backed by levels associated with Twilio's 2018 base breakout, which reinforces the idea of a longer-term bottom.The bad news for Twilio bulls is the technical zone in question is fairly wide and could present today's investors with significant losses before potentially carving out a bottom which actually holds the support area. More important, secondary indicators such as stochastics and the monthly Bollinger Band aren't close to confirming any kind of bullish divergence worthy of buying TWLO right now.Bottom line, bullish Twilio stock investors looking to position are advised to refrain from hitting the buy button until stronger reasons to purchase shares are setting up on the monthly chart. For the time being, as much as I hate to be the bearer of grim tidings, TWLO stock remains a short until proven differently.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 * 7 Earnings Losers That Were Hit Hard This Season * 6 Tech Stocks Better Than the FAANGs * 7 Retail Stocks to Avoid for the Holidays The post Is Twilio Stock Finally a Buy? appeared first on InvestorPlace.
Current ratio is a popular way for investors to assess the health of a stock’s balance sheet. Current ratio is a measure of a company’s ability to pay its current liabilities and obligations due within ...
Shares of Twilio Inc. 3.2% toward a 10-month low in morning trading Monday, after the chat software company disclosed a "calculation error" that led it to lower its full-year profit outlook for a second time in less than a week. In a filing with the Securities and Exchange Commission, the company said it now expects 2019 adjusted earnings per share of 12 cents to 13 cents, compared with the FactSet consensus of 14 cents. Last Thursday, the stock plummeted 10.3% after Twilio reported late-Wednesday third-quarter earnings that beat expectations but provided a downbeat outlook, cutting its 2019 adjusted EPS guidance range to 16 cents to 17 cents from 17 cents to 18 cents. The stock, which is now on track to close at the lowest level since Jan. 4, has plunged 29.7% over the past three months, while the S&P 500 has gained 5.0%.
Shares of cloud communications platform Twilio (NASDAQ:TWLO) dipped in late October after the company reported mixed third-quarter numbers that included a lame fourth-quarter guide for Twilio stock.Source: rafapress / Shutterstock.com At issue, revenue growth is expected to dramatically slow next quarter, while spending is dragging on profitability. In response to these growth slowdown and big spending concerns, TWLO stock shed more than 10% and presently trades about 40% off its all-time highs.Even at its lowest levels in ten months, Twilio stock still looks richly valued. But, there is a strong bull thesis here which warrants that premium valuation, and this bull thesis is centered on three big ideas:InvestorPlace - Stock Market News, Stock Advice & Trading Tips* Texting is the future of communication.* Businesses will more intimately incorporate text communication into their customer experiences.* When they do that, those businesses will turn to Twilio.Because of this dynamic, Twilio projects as a company that will add a ton of customers over the next several years. All those customers will spend more and more on Twilio's services over time. That will power robust revenue growth and gross margin expansion. Big revenue growth should drive materially positive operating leverage, meaning profit margins should expand in a big way. * 7 Stocks to Buy in November Altogether, the implication is that Twilio will be a big profit grower for a lot longer. Sure, a healthy portion of that profit growth is already priced in today. But, persistent weakness in TWLO stock will eventually create a compelling buying opportunity. I think that will happen around $90. Texting Is the Future of CommunicationConsumers, especially young consumers, are increasingly text-obsessed. Just take a look EZ Texting's 2019 mobile usage report. The stats are baffling. Over 50% of consumers check their phones at least five times an hour, or about once every twelve minutes. Millennial and Gen Y consumers check their text messages once every eight minutes. So, if you want to reach a consumer (especially a young consumer) text them.Further, those consumers are opening, engaging with, and replying to texts. According to EZ Texting, text messages have a 90% open, read, and response rate within 30 minutes. Texts are 134% more likely to be read than e-mails and have six times the engagement rate of an email.Big picture: consumers love to text. Businesses Will Pivot to TextingThe second part of the bull thesis on TWLO stock is that, because consumers love to text, businesses will increasingly have to incorporate real-time texting into their customer experiences.At present, business-to-customer (B2C) communication is heavily e-mail and mail dependent. Just think of all those promotional business e-mails that crowd your inbox every day, or of all those coupons and discounts that fly into your mailbox. Do you open many of them? I don't. And I'm not alone. According to EZ Texting, marketing emails only have an 18% open rate.Compare that to text messages, which have a 90% read-and-respond rate within 30 minutes. Naturally, if I'm a marketer looking at these stats, then the decision is obvious. Ditch the e-mails, and start texting my customers.Over time, as the texting phenomenon becomes larger and larger, more and more businesses will make this decision. Thus, within the next few years, text communication will become the backbone of B2C communication. Twilio Will Be A Big GrowerThe third part of the bull thesis on TWLO stock is that, as text communication turns into the backbone of B2C communication, Twilio will morph into a huge company.Currently, Twilio only counts roughly 162,000 businesses as customers. That number is up nearly three-fold year-over-year. But, it's still a far cry from the 30 million-plus enterprises that are in the U.S. alone. About 70% of those businesses do e-mail marketing. That equates to 21 million U.S. businesses engaged in e-mail marketing today.As stated earlier, text message marketing will become the new e-mail marketing. As it does, all 21 million of those e-mail marketing firms will turn into text message marketing firms. Broadly, then, Twilio's serviceable addressable market within the next few years will be about 130-fold that of its customer pool today.Will Twilio win overall 21 million of those customers? No. But, they will win over the lion's share of them, given that Twilio is the de facto leader in this market, according to customer ratings volume and quality.Overall, then, Twilio will add a ton of customers over the next few years. As they do, revenues and profits will surge higher, and so will TWLO stock. Bottom Line on Twilio StockTwilio stock is a long term winner. A lot of that long term winning is already priced in. But, by my numbers, Twilio has a realistic opportunity to hit $4 in earnings per share by fiscal 2025, powered by the aforementioned secular growth tailwinds in texting as a B2C communication tool.Based on those $4 in 2025 profits per share, a software application sector-average 35-times forward earnings multiple, and a 10% annual discount rate, I think that shares are fairly valued today around $85. Thus, TWLO stock is getting close to undervalued territory. If it gets there, the current sell-off will turn into a buying opportunity.The investment implication? Be ready to buy the dip if the current weakness in Twilio stock persists.As of this writing, Luke Lango was long TWLO. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Buy-and-Hold Stocks to Play Investing's Biggest Trends * 7 Stocks to Buy in November * 5 Strong Buy Stocks Under $5 With Massive Upside Potential The post Twilio Stock May Go From Being Too Expensive to Bargain Levels appeared first on InvestorPlace.
Investors continue to digest the Federal Reserve's rate cut, while trying to price in trade-war risks and a recession in Hong Kong. Further, we continue to get a plethora of earnings reports. Let's look at a few top stock trades. Top Stock Trades for Tomorrow No. 1: Starbucks (SBUX)Starbucks (NASDAQ:SBUX) opened higher Thursday, after beating on earnings and revenue estimates. However, the stock gave back all of its gains and then some on the day.InvestorPlace - Stock Market News, Stock Advice & Trading TipsStarbucks is on the verge of putting in a bearish engulfing candle on the daily chart, which obviously does not imply good things for bulls.However, reprieve may be on the way. The monthly low at $82.13, as well as the 200-day moving average at $81.26 and the 61.8% retracement at $81.90 could all act as support for SBUX. * 7 Stocks to Buy in November The 200-day should at least be good for a bounce. If not, SBUX is certainly in trouble and could be looking at lower prices. Top Stock Trades for Tomorrow No. 2: Twilio (TWLO)There's a reason I have not become all that bullish on Twilio (NYSE:TWLO) and other high-growth stocks despite being bullish on their long-term businesses. That reason is the technicals, which remain quite unattractive.I did nibble some Twilio in Wednesday's after-hours session, after the company reported earnings. I have said before that I like to get reacquainted with these stocks once they are down 40%, which was the case with TWLO when it was near $90 last night.That said, that doesn't mean I don't believe more downside may not be on the way. Should it continue lower, see if the 23.6% retracement can support the stock. If not, $80 to $85 could be on the table.On the upside, bulls first needs to see TWLO stock reclaim the $100 mark, a key support and psychological level. After that, it needs to break out over downtrend resistance (blue line) and reclaim its 50-day moving average.Until the bulls make some progress on the charts, these stocks are likely to continue struggling. Top Stock Trades for Tomorrow No. 3: Lyft (LYFT)Like the first two stocks, Lyft (NASDAQ:LYFT) is struggling on earnings.Some may be wondering about the coverage for Facebook (NASDAQ:FB) and Apple (NASDAQ:AAPL), since they also reported earnings. However, the pre-earnings game-plans we laid out ahead of time are still in effect. Apple needs to take out its highs, while Facebook needs to hold its breakout level over $190.As for Lyft stock, this chart just can't catch a break. After opening above the key $44 level and the 50-day moving average, Lyft failed to hold these marks and tumbled lower. The stock is putting in a bearish engulfing candle, which could imply more downside is to come.On the downside, see if $40 holds. Falling below that puts the October lows near $37 on the table. On the upside, bulls need to see Lyft clear $45 and take out its post-earnings high. Top Stock Trades for Tomorrow No. 4: Pinterest (PINS)Pinterest (NYSE:PINS) fell several percent ahead of its earnings report after the close.Shares continue to put in a series of lower highs, while support has been steady around $25. I am long PINS for the long term, but fully admit the charts look unattractive.Should the pattern resolve lower, look to see if the post-IPO lows near $23 hold. Below could kickstart more selling pressure. Over downtrend resistance and the 23.6% retracement, and perhaps a move up to about $28.50 is possible. There it will find the 50-day and 100-day moving averages, as well as the 38.2% retracement. Top Stock Trades for Tomorrow No. 5: World Wrestling Entertainment (WWE)World Wrestling Entertainment (NYSE:WWE) was hammered on Thursday, down about 17% on earnings.The move thrust WWE through long-term support, as well as the November 2018 lows near $58.13. You'll notice then that the 50-week moving average supported the stock. In fact, this mark used to be support (green arrows), before turning to resistance (red arrows) in Q2 2019.That foreshadowed this big move lower. On the upside, WWE needs to reclaim $58, and eventually retest $65 and downtrend resistance (blue line). I'm not sure if shares will work all the way down to the 200-week moving average near $43, but it's on the table.Bret Kenwell is the manager and author of Future Blue Chips and is on Twitter @BretKenwell. As of this writing, Bret Kenwell is long TWLO, AAPL and PINS. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Buy-and-Hold Stocks to Play Investing's Biggest Trends * 7 Stocks to Buy in November * 5 Strong Buy Stocks Under $5 With Massive Upside Potential The post 5 Top Stock Trades for Friday: SBUX, TWLO, LYFT appeared first on InvestorPlace.
Twilio's (TWLO) third-quarter 2019 results reflect increasing clientele and the Sendgrid buyout. However, the bearish guidance provided by management is a concern.