Twilio(US:TWLO) ZACKS·2025-01-28 15:16Company Performance - Twilio's shares have increased by 28% over the past month, reaching a new 52-week high of $142.31 [1] - The stock has gained 28.6% year-to-date, compared to 30.3% for the Zacks Computer and Technology sector and 44.6% for the Zacks Internet - Software industry [1] Earnings and Revenue Expectations - Twilio has a strong record of positive earnings surprises, not missing earnings consensus estimates in the last four quarters [2] - In the latest earnings report on October 30, 2024, Twilio reported EPS of $1.02, exceeding the consensus estimate of $0.87 [2] - For the current fiscal year, Twilio is expected to post earnings of $4.24 per share on revenues of $4.43 billion, with a year-over-year change of 15.27% [3] - For the next fiscal year, earnings are projected to be $4.74 per share on revenues of $4.76 billion, representing a year-over-year change of 7.51% [3] Valuation Metrics - Twilio currently trades at 32.8X current fiscal year EPS estimates, which is above the peer industry average of 31.2X [7] - On a trailing cash flow basis, Twilio trades at 170X compared to the peer group's average of 26.2X [7] - The stock has a PEG ratio of 1.12, indicating it is not in the top echelon from a value perspective [7] Zacks Rank and Style Scores - Twilio has a Zacks Rank of 1 (Strong Buy) due to rising earnings estimates, which is favorable for investors [8] - The company has a Value Score of F, while its Growth and Momentum Scores are both A, resulting in a VGM Score of B [6] Industry Comparison - The Internet - Software industry is in the top 18% of all industries, providing favorable conditions for both Twilio and its peers [11] - Fortinet, a peer company, has a Zacks Rank of 2 (Buy) and has shown strong earnings performance, beating consensus estimates by 23.53% [9][10]