Twilio (NYSE:TWLO) Shares Down 9.6% – What’s Next?

Twilio Inc. (NYSE:TWLO)’s stock price fell 9.6% during trading on Thursday . The stock traded as low as $122.52 and last traded at $122.7850. 1,469,064 shares were traded during trading, a decline of 33% from the average session volume of 2,206,331 shares. The stock had previously closed at $135.86.

Wall Street Analyst Weigh In

Several equities research analysts recently issued reports on TWLO shares. TD Cowen restated a “hold” rating on shares of Twilio in a report on Friday, October 31st. Monness Crespi & Hardt boosted their target price on Twilio from $165.00 to $175.00 and gave the stock a “buy” rating in a research note on Friday, October 31st. Piper Sandler reiterated a “neutral” rating and set a $148.00 price target (up from $145.00) on shares of Twilio in a report on Monday, January 5th. Stifel Nicolaus upped their price objective on Twilio from $110.00 to $120.00 and gave the company a “hold” rating in a research note on Friday, October 31st. Finally, Rosenblatt Securities raised their target price on Twilio from $140.00 to $180.00 and gave the company a “buy” rating in a research report on Wednesday, January 7th. One analyst has rated the stock with a Strong Buy rating, eighteen have issued a Buy rating, eight have given a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $146.44.

Twilio Price Performance

The stock has a market cap of $18.44 billion, a P/E ratio of 293.10, a price-to-earnings-growth ratio of 2.42 and a beta of 1.30. The company has a quick ratio of 4.68, a current ratio of 4.68 and a debt-to-equity ratio of 0.13. The business’s 50-day simple moving average is $132.23 and its two-hundred day simple moving average is $120.08.

Twilio (NYSE:TWLO) last announced its quarterly earnings results on Thursday, October 30th. The technology company reported $1.25 EPS for the quarter, beating analysts’ consensus estimates of $1.07 by $0.18. Twilio had a net margin of 1.37% and a return on equity of 3.36%. The company had revenue of $1.30 billion for the quarter, compared to analysts’ expectations of $1.25 billion. During the same period in the prior year, the company posted $1.02 EPS. Twilio’s revenue was up 14.7% compared to the same quarter last year. Sell-side analysts expect that Twilio Inc. will post 1.44 EPS for the current year.

Insider Activity

In other Twilio news, CEO Khozema Shipchandler sold 13,336 shares of the stock in a transaction that occurred on Tuesday, January 6th. The shares were sold at an average price of $134.28, for a total value of $1,790,758.08. Following the sale, the chief executive officer directly owned 193,781 shares in the company, valued at $26,020,912.68. This represents a 6.44% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Andrew Stafman sold 1,000,000 shares of the firm’s stock in a transaction on Tuesday, December 2nd. The shares were sold at an average price of $129.00, for a total transaction of $129,000,000.00. Following the completion of the transaction, the director directly owned 2,295,000 shares of the company’s stock, valued at approximately $296,055,000. The trade was a 30.35% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 1,043,438 shares of company stock worth $135,022,770 over the last ninety days. Company insiders own 0.21% of the company’s stock.

Institutional Investors Weigh In On Twilio

A number of large investors have recently added to or reduced their stakes in the company. MassMutual Private Wealth & Trust FSB increased its position in shares of Twilio by 34.7% during the 4th quarter. MassMutual Private Wealth & Trust FSB now owns 303 shares of the technology company’s stock valued at $43,000 after purchasing an additional 78 shares during the last quarter. GHP Investment Advisors Inc. grew its holdings in shares of Twilio by 6.3% in the fourth quarter. GHP Investment Advisors Inc. now owns 1,459 shares of the technology company’s stock worth $208,000 after purchasing an additional 86 shares during the last quarter. Centaurus Financial Inc. grew its holdings in Twilio by 0.7% in the 3rd quarter. Centaurus Financial Inc. now owns 13,587 shares of the technology company’s stock worth $1,360,000 after acquiring an additional 94 shares during the last quarter. Versant Capital Management Inc grew its stake in shares of Twilio by 4.5% in the third quarter. Versant Capital Management Inc now owns 2,281 shares of the technology company’s stock worth $228,000 after purchasing an additional 98 shares during the last quarter. Finally, Optimum Investment Advisors grew its position in shares of Twilio by 13.6% in the 2nd quarter. Optimum Investment Advisors now owns 835 shares of the technology company’s stock worth $104,000 after buying an additional 100 shares during the last quarter. Hedge funds and other institutional investors own 84.27% of the company’s stock.

Twilio Company Profile

Twilio Inc (NYSE: TWLO) is a cloud communications platform-as-a-service (CPaaS) company that enables developers and enterprises to embed communications into web and mobile applications. Its core offering is a suite of programmable APIs that handle messaging (SMS, MMS, and chat), voice calling, video, and user authentication. Twilio’s platform is designed to help businesses build customer engagement and communication workflows without managing telecommunications infrastructure directly.

The company’s product portfolio includes programmable voice and messaging APIs, Twilio Video for real?time video applications, and Twilio Authy for multi?factor authentication.