Twilio (TWLO) ended the recent trading session at $128.30, demonstrating a +1.49% change from the preceding day's closing price. The stock's change was more than the S&P 500's daily gain of 0.03%. Meanwhile, the Dow experienced a drop of 0.58%, and the technology-dominated Nasdaq saw an increase of 0.28%.
The stock of company has fallen by 9.9% in the past month, lagging the Computer and Technology sector's gain of 0.43% and the S&P 500's gain of 0.6%.
The upcoming earnings release of Twilio will be of great interest to investors. The company's earnings report is expected on February 12, 2026. On that day, Twilio is projected to report earnings of $1.24 per share, which would represent year-over-year growth of 24%. Meanwhile, our latest consensus estimate is calling for revenue of $1.32 billion, up 10.22% from the prior-year quarter.
TWLO's full-year Zacks Consensus Estimates are calling for earnings of $4.81 per share and revenue of $5.02 billion. These results would represent year-over-year changes of +31.06% and 0%, respectively.
It's also important for investors to be aware of any recent modifications to analyst estimates for Twilio. These revisions help to show the ever-changing nature of near-term business trends. Consequently, upward revisions in estimates express analysts' positivity towards the business operations and its ability to generate profits.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate remained stagnant within the past month. Twilio is holding a Zacks Rank of #4 (Sell) right now.
With respect to valuation, Twilio is currently being traded at a Forward P/E ratio of 23.3. This represents a discount compared to its industry average Forward P/E of 23.85.
It is also worth noting that TWLO currently has a PEG ratio of 1.17. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. Internet - Software stocks are, on average, holding a PEG ratio of 1.4 based on yesterday's closing prices.
The Internet - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 69, finds itself in the top 29% echelons of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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Twilio Inc. (TWLO): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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