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Twilio (TWLO) Dips More Than Broader Markets: What You Should Know

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In the latest trading session, Twilio (TWLO - Free Report) closed at $352.71, marking a -1.91% move from the previous day. This move lagged the S&P 500's daily loss of 0.13%.

Coming into today, shares of the company had lost 1.94% in the past month. In that same time, the Computer and Technology sector gained 4.3%, while the S&P 500 gained 2.07%.

Investors will be hoping for strength from TWLO as it approaches its next earnings release. The company is expected to report EPS of -$0.15, down 475% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $677.55 million, up 51.25% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of -$0.31 per share and revenue of $2.66 billion, which would represent changes of -234.78% and +51.17%, respectively, from the prior year.

Investors might also notice recent changes to analyst estimates for TWLO. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Research indicates that these estimate revisions are directly correlated with near-term share price momentum. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. TWLO currently has a Zacks Rank of #4 (Sell).

The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 206, putting it in the bottom 19% 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.

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


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