Analysts on Wall Street project that Twilio (TWLO) will announce quarterly earnings of $1.05 per share in its forthcoming report, representing an increase of 2.9% year over year. Revenues are projected to reach $1.25 billion, increasing 10.4% from the same quarter last year.
The current level reflects a downward revision of 2.8% in the consensus EPS estimate for the quarter over the past 30 days. This demonstrates how the analysts covering the stock have collectively reappraised their initial projections over this period.
Ahead of a company's earnings disclosure, it is crucial to give due consideration to changes in earnings estimates. These revisions serve as a noteworthy factor in predicting potential investor reactions to the stock. Numerous empirical studies consistently demonstrate a strong relationship between trends in earnings estimate revision and the short-term price performance of a stock.
While investors typically use consensus earnings and revenue estimates as indicators of quarterly business performance, exploring analysts' projections for specific key metrics can offer valuable insights.
Given this perspective, it's time to examine the average forecasts of specific Twilio metrics that are routinely monitored and predicted by Wall Street analysts.
Analysts predict that the 'Revenue- Segment' will reach $74.38 million. The estimate indicates a year-over-year change of +1.3%.
According to the collective judgment of analysts, 'Revenue- Communications' should come in at $1.18 billion. The estimate suggests a change of +10.9% year over year.
The combined assessment of analysts suggests that 'Number of Active Customer' will likely reach 352,700 . The estimate compares to the year-ago value of 320,000 .
The average prediction of analysts places 'Dollar-Based Net Expansion Rate' at 105.8%. Compared to the current estimate, the company reported 105.0% in the same quarter of the previous year.
View all Key Company Metrics for Twilio here>>>
Over the past month, Twilio shares have recorded returns of +9.8% versus the Zacks S&P 500 composite's +3.6% change. Based on its Zacks Rank #3 (Hold), TWLO will likely exhibit a performance that aligns with the overall market in the upcoming period. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .
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Twilio Inc. (TWLO): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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