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

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Twilio Inc. (TWLO - Free Report) closed at $194.27 in the latest trading session, marking a -1.25% move from the prior day. This change lagged the S&P 500's daily loss of 0.78%. Elsewhere, the Dow lost 1.09%, while the tech-heavy Nasdaq added 0.29%.

Wall Street will be looking for positivity from TWLO as it approaches its next earnings report date. The company is expected to report EPS of -$0.09, down 400% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $367.28 million, up 33.54% from the year-ago period.

TWLO's full-year Zacks Consensus Estimates are calling for earnings of -$0.12 per share and revenue of $1.51 billion. These results would represent year-over-year changes of -175% and +33.2%, respectively.

It is also important to note the recent changes to analyst estimates for TWLO. Recent revisions tend to reflect the latest near-term business trends. 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. Over the past month, the Zacks Consensus EPS estimate remained stagnant. TWLO is holding a Zacks Rank of #2 (Buy) right now.

The Internet - Software industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 30, which puts it in the top 12% 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.

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


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