Back to top

Image: Bigstock

Twilio (TWLO) Gains But Lags Market: What You Should Know

Read MoreHide Full Article

Twilio (TWLO - Free Report) closed at $118.92 in the latest trading session, marking a +0.46% move from the prior day. This change lagged the S&P 500's 2.48% gain on the day. Meanwhile, the Dow gained 1.85%, and the Nasdaq, a tech-heavy index, lost 0.18%.

Prior to today's trading, shares of the company had lost 29.8% over the past month. This has lagged the Computer and Technology sector's loss of 13.99% and the S&P 500's loss of 7.81% in that time.

Investors will be hoping for strength from Twilio as it approaches its next earnings release, which is expected to be May 4, 2022. On that day, Twilio is projected to report earnings of -$0.23 per share, which would represent a year-over-year decline of 560%. Meanwhile, our latest consensus estimate is calling for revenue of $861.56 million, up 46.03% from the prior-year quarter.

For the full year, our Zacks Consensus Estimates are projecting earnings of -$0.56 per share and revenue of $3.78 billion, which would represent changes of -124% and +33.08%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for Twilio. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.

The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.33% higher. Twilio is holding a Zacks Rank of #3 (Hold) right now.

The Internet - Software industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 173, putting it in the bottom 32% 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.


See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Twilio Inc. (TWLO) - free report >>

Published in