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Twilio (TWLO) Stock Sinks As Market Gains: What You Should Know

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Twilio (TWLO - Free Report) closed at $86.58 in the latest trading session, marking a -0.86% move from the prior day. This move lagged the S&P 500's daily gain of 0.13%. Elsewhere, the Dow gained 0.28%, while the tech-heavy Nasdaq lost 0.04%.

Prior to today's trading, shares of the company had lost 11.9% over the past month. This has was narrower than the Computer and Technology sector's loss of 13.84% and lagged the S&P 500's gain of 5.55% in that time.

Twilio will be looking to display strength as it nears its next earnings release, which is expected to be August 4, 2022. On that day, Twilio is projected to report earnings of -$0.20 per share, which would represent a year-over-year decline of 81.82%. Meanwhile, our latest consensus estimate is calling for revenue of $920.97 million, up 37.68% from the prior-year quarter.

TWLO's full-year Zacks Consensus Estimates are calling for earnings of -$0.40 per share and revenue of $3.82 billion. These results would represent year-over-year changes of -60% and +34.45%, respectively.

Investors should also note any recent changes to analyst estimates for Twilio. 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.

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 0.29% lower. 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 136, putting it in the bottom 47% 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.

Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.


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