TWLO Stock Recent News

Despite Twilio's low P/E multiple suggesting a potential bargain, recent challenges, including slowing sales growth, cast doubt on the near-term performance.

SAN FRANCISCO--(BUSINESS WIRE)--Twilio (NYSE: TWLO), the customer engagement platform that drives real-time, personalized experiences for today's leading brands, announced the global availability of Rich Communication Services (RCS) messaging via its Programmable Messaging and Verify APIs. RCS enhances traditional messaging by introducing branded sender identification in their default messages app, ensuring customers can immediately recognize and trust the source of their messages. With this up.

Twilio (TWLO) has been upgraded to a Zacks Rank #2 (Buy), reflecting growing optimism about the company's earnings prospects. This might drive the stock higher in the near term.

Twilio's (TWLO) strong market position, innovative growth initiatives and attractive valuation make it a compelling investment opportunity.

Twilio stock gained some momentum following its latest quarterly report. The stock could keep heading higher thanks to a huge customer base to which it could upsell AI-based services.

Twilio beat Q2 estimates in terms of the top and bottom line. Despite weak revenue growth, Twilio's free cash flow profile is improving, and the net retention rate remained stable at 102% in Q2'24. Twilio's shares are undervalued with a P/S ratio of 2.1X, indicating potential for upside revaluation.

Twilio's growth is being throttled by macro and competitive challenges. Unity is trying to right-size its business as its growth engines sputter.

Twilio investors are likely struggling with the stock's performance, seemingly going nowhere. Progress has been made as Twilio pushes to reach GAAP profitability. The market seems uninterested, but investors shouldn't be unnerved. I will explain why.

Twilio reported its Q2 FY24 earnings where revenue and earnings grew 4% and 45% YoY, respectively, beating estimates. The company continued to see stabilization in its Communication business, while the Segment business showed early signs of recovery given targeted go-to-market strategies and product innovation. Meanwhile, its Net Retention rate also stabilized for the third quarter in a row, while profit margins expanded, as losses from its Segment business narrowed.

Twilio TWLO shares have been beaten down the last few years but it's still growing its business. This Zacks Rank #1 (Strong Buy) is expected to grow earnings by 31% this year.