Twilio (TWLO) Suffers a Larger Drop Than the General Market: Key Insights

Company Performance - Twilio's stock closed at $129.83, down 1.65% from the previous trading session, underperforming the S&P 500's loss of 0.19% [1] - Over the past month, Twilio's stock has decreased by 1.46%, while the Computer and Technology sector gained 2.62% and the S&P 500 increased by 2.26% [1] Upcoming Earnings - Twilio is expected to report an EPS of $1.24, reflecting a 24% increase from the same quarter last year [2] - The Zacks Consensus Estimate for revenue is projected at $1.32 billion, which is a 10.22% increase from the previous year [2] Full-Year Estimates - The full-year Zacks Consensus Estimates for Twilio indicate earnings of $4.81 per share and revenue of $5.02 billion, representing year-over-year changes of +31.06% for earnings and 0% for revenue [3] - Recent changes to analyst estimates for Twilio are important as they reflect short-term business trends, with positive revisions indicating a favorable business outlook [3] Valuation Metrics - Twilio has a Forward P/E ratio of 24.33, which is slightly lower than the industry average Forward P/E of 24.44 [6] - The company has a PEG ratio of 1.22, compared to the average PEG ratio of 1.5 for the Internet - Software industry [6] Industry Context - The Internet - Software industry, part of the Computer and Technology sector, holds a Zacks Industry Rank of 56, placing it in the top 23% of over 250 industries [7] - The Zacks Industry Rank assesses the strength of industry groups based on the average Zacks Rank of individual stocks, with the top 50% rated industries outperforming the bottom half by a factor of 2 to 1 [7]