Shares of Twilio (NYSE: TWLO ) surged more than 20% on Friday after the Cloud communications software company submitted a strong outlook for FY 2025 at its investor day, due to consistent success with the adoption of AI products. The software enterpriseI look for high-risk, high-reward situations, mainly in the technology markets. I am an early buyer of Bitcoin and my portfolio mainly focused on companies with asymmetric long-term upside. My top holdings include: Bitcoin, Tesla, Google, Amazon and Nvidia.An ...

Core Viewpoint - Twilio (TWLO) has a strong track record of exceeding earnings estimates and is well-positioned for future earnings reports, particularly with an average surprise of 19.89% over the last two quarters [1]. Earnings Performance - In the last reported quarter, Twilio achieved earnings of $1.02 per share, surpassing the Zacks Consensus Estimate of $0.87 per share, resulting in a surprise of 17.24% [2]. - In the previous quarter, Twilio was expected to report earnings of $0.71 per share but delivered $0.87 per share, leading to a surprise of 22.54% [2]. Earnings Estimates - There has been a favorable shift in earnings estimates for Twilio, with a positive Zacks Earnings ESP (Expected Surprise Prediction), indicating a strong likelihood of an earnings beat [3][6]. - The current Earnings ESP for Twilio is +0.33%, suggesting that analysts have recently become more optimistic about the company's earnings prospects [6]. Predictive Power of Earnings ESP - Stocks with a positive Earnings ESP and a Zacks Rank of 3 (Hold) or better have a nearly 70% chance of producing a positive surprise [4]. - The Earnings ESP metric compares the Most Accurate Estimate to the Zacks Consensus Estimate, with the Most Accurate Estimate reflecting the latest analyst revisions [5]. Future Outlook - Twilio's next earnings report is expected to be released on February 13, 2025, and the combination of a positive Earnings ESP and a Zacks Rank 3 indicates a potential for another earnings beat [6].

Core Viewpoint - Goldman Sachs analyst upgraded Twilio Inc from Neutral to Buy, raising the price target from $77 to $185 ahead of its fourth-quarter earnings results, indicating a turning point in both narrative and financial performance for the company [1] Group 1: Factors Driving Optimism - The analyst's optimism is based on improved go-to-market strategies, clear product innovation, and strong financial discipline [2] - Anticipated positive revisions to both revenue and earnings, with conservative CY25 guidance of 7-8% growth, and expected acceleration to over 10% in the second half of fiscal 2024 [2] Group 2: Revenue Growth Potential - The company needs to exceed its initial CY25 revenue growth forecast of 7-8% to unlock significant upside, as the stock has surged 89% over the last 12 months [3] - Analyst Day highlighted faster product development and enhanced go-to-market strategies, reinforcing the evolving outlook on Twilio [3] Group 3: Market Position and Future Outlook - Improvements to Twilio's Communications portfolio are expected to solidify its leadership in the core CPaaS market, while new CDP-powered Communications products expand its total addressable market [4] - The ongoing turnaround is projected to yield solid upside potential for revenue and free cash flow growth in CY25, making the stock attractive at a 21x EV/FCF multiple for CY26 [4] Group 4: Current Stock Performance - TWLO shares are trading higher by 2.6% at $139.77 [5]

Twilio (TWLO) shares rallied 20.1% in the last trading session to close at $136.23. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 1.7% gain over the past four weeks.The upswing came after the company projected an improvement in its fourth-quarter 2024 performance from its earlier expectations. In its preliminary results for the fourth quarter, Twilio stated that it expects to report an 11% year-over-year in ...

Key TakeawaysTwilio shares skyrocketed Friday on the cloud communications software maker's strong outlook amid growing demand for its AI tools.At an investor event Thursday, Twilio said it is looking to deliver double-digit growth, with fourth-quarter revenue up 11% from a year ago, above analysts' estimates.The cloud communications software company also said it is targeting GAAP operating profitability in fiscal 2025 and beyond.Twilio said more than 9,000 firms in the artificial intelligence space used its ...

Stock Performance and Investor Day Highlights - Shares of Twilio rallied 22 4% on Friday following the 2025 Investor Day presentation [1] - The company outlined new product innovations and medium-term financial targets, which were well-received by analysts and investors [1] Financial Strategy and Profitability Focus - Twilio is pivoting towards profitability after experiencing slowed revenue growth [3] - Management forecasts double-digit revenue growth through 2027, with adjusted operating margins expanding from 16% in 2024 to 21%-22% by 2027 [3] - Stock-based compensation (SBC) dilution is expected to be below 3% by 2027 [3] - The company plans to cut growth spending if revenue growth slows to maintain margin expansion [4] - Cumulative free cash flow is projected to be $3 billion from 2025 to 2027, compared to $650 million to $675 million in 2024 [4] - At least 50% of the free cash flow will be returned to shareholders through share repurchases, with a new $2 billion repurchase program authorized [4] AI and Market Position - 90% of Fortune 50 AI start-ups use Twilio for their communications platform, generating $260 million in revenue to date [5] - Twilio enables access to ChatGPT through text and voice, with OpenAI being a notable user [5] Valuation and Future Outlook - Twilio's market cap has increased to $21 2 billion, with a valuation considered reasonable relative to the projected $1 billion-plus free cash flow in 2027 [6] - Management aims to reduce equity grants to less than $500 million in 2025, down from $1 9 billion in 2022 [6] - The company's shift towards focusing on profits and free cash flow is seen as a positive development [7]

Twilio shares soared more than 20% on Friday and headed for their biggest gain since the early days of the Covid pandemic after the cloud communications software vendor issued an uplifting profit forecast for the coming years. The stock jumped to $140.12 as of mid-day trading, which would be its highest close since 2022. Twilio revealed its new guidance at a Thursday investor event, a little over a year after the company named Khozema Shipchandler as CEO. Shipchandler, who had been Twilio's president and be ...

Cloud stock Twilio Inc (NYSE:TWLO) is skyrocketing to two-year highs today, up 22.4% at $138.77 at last glance. The company issued a strong revenue forecast at yesterday's investor event, drawing an upgrade to "outperform" from "neutral" at Baird. A flood of other analysts chimed in with price-target hikes as well, including Oppenheimer to $160 from $90. Shooting past recent pressure at the $117 level, TWLO is on track for its best single-day percentage gain since May 2020. Year over year, the equity is up ...

Company Overview - Twilio Inc (NYSE: TWLO) is highlighted as a successful example of value investing in the tech sector over the past year, demonstrating the importance of patience in such strategies [1] - The company is part of the portfolio of Julian Lin, a financial analyst who focuses on undervalued companies with strong balance sheets, management teams, and long-term growth potential in sectors with significant growth runways [1] Investment Strategy - Julian Lin's investment approach combines growth-oriented principles with strict valuation hurdles, aiming to identify stocks with a high probability of delivering significant alpha relative to the S&P 500 [1] - His portfolio, Best of Breed Growth Stocks, includes exclusive access to high-conviction picks, detailed stock research reports, real-time trade alerts, macro market analysis, and industry-specific reports [1] Analyst Position - The analyst holds a beneficial long position in Twilio through stock ownership, options, or other derivatives, reflecting a positive outlook on the company's future performance [2]

Twilio Inc. (TWLO) shares soared 14.7% during Thursday’s extended trading session as the company issued an optimistic long-term financial forecast and reported preliminary results for the fourth quarter of 2024. The communications software maker’s new share repurchase announcement was another bright spot that boosted investors’ confidence.The company’s robust guidance, along with an aggressive shareholder return plan, offers compelling reasons for investors to consider holding the stock right now. These mov ...