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Twilio (TWLO) Stock Moves -0.41%: What You Should Know

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Twilio (TWLO - Free Report) closed at $58.28 in the latest trading session, marking a -0.41% move from the prior day. This change was narrower than the S&P 500's daily loss of 1.47%. At the same time, the Dow lost 1.14%, and the tech-heavy Nasdaq lost 1.57%.

Heading into today, shares of the company had lost 0.09% over the past month, outpacing the Computer and Technology sector's loss of 1.46% and the S&P 500's loss of 1.43% in that time.

Investors will be hoping for strength from Twilio as it approaches its next earnings release. On that day, Twilio is projected to report earnings of $0.35 per share, which would represent year-over-year growth of 229.63%. Our most recent consensus estimate is calling for quarterly revenue of $985.03 million, up 0.2% from the year-ago period.

For the full year, our Zacks Consensus Estimates are projecting earnings of $1.70 per share and revenue of $4.04 billion, which would represent changes of +1233.33% and +5.67%, respectively, from the prior year.

It is also important to note the recent changes to analyst estimates for Twilio. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.

Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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 remained stagnant. Twilio is currently a Zacks Rank #2 (Buy).

Valuation is also important, so investors should note that Twilio has a Forward P/E ratio of 34.37 right now. Its industry sports an average Forward P/E of 36.65, so we one might conclude that Twilio is trading at a discount comparatively.

The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 82, which puts it in the top 33% 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.

To follow TWLO in the coming trading sessions, be sure to utilize Zacks.com.


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