For Immediate ReleasesChicago, IL – February 12, 2025 – Zacks.com announces the list of stocks and ETFs featured in the Analyst Blog. Every day the Zacks Equity Research analysts discuss the latest news and events impacting stocks and the financial markets. Stocks recently featured in the blog include Twilio Inc. (TWLO) and Alphabet Inc. (GOOGL) .Here are highlights from Wednesday’s Analyst Blog:High-Flying Twilio a Must-Buy Ahead of Q4 EarningsTwilio Inc., a leading provider of cloud communications Platfor ...

Core Viewpoint - Twilio Inc. is expected to report strong fourth-quarter results for 2024, with projected revenue growth of approximately 11% year-over-year and non-GAAP earnings anticipated to exceed previous guidance, indicating a positive outlook for the company [2][3]. Financial Performance - Fourth-quarter revenue is projected at $1.17 billion, reflecting a 9% increase from the previous year [2]. - Non-GAAP earnings are expected to be above the prior guidance of 95 cents to $1 per share, with a consensus estimate of $1.02 per share, representing an 18.6% year-over-year growth [3]. - The earnings estimates have been revised upward in the past 30 days, indicating positive sentiment among analysts [3]. Earnings Expectations - Twilio has consistently beaten the Zacks Consensus Estimate in the last four quarters, with an average surprise of 31% [5]. - The Earnings ESP (Expected Surprise Prediction) stands at +3.28%, suggesting a strong likelihood of an earnings beat this season [7]. Business Drivers - The fourth-quarter results are likely to benefit from ongoing digital transformation efforts among enterprises, as well as Twilio's initiatives to expand its network with independent software vendors and global partners [8]. - New product introductions, such as enhancements to the Segment platform and AI integrations, are expected to attract more customers [9][10]. - The company added approximately 8,000 new clients in the last reported quarter, bringing the total active customer count to over 320,000 [10]. Cost Management - Twilio's bottom line is expected to benefit from cost-saving measures, including workforce reductions and office closures, with employee count decreasing from 6,428 to 5,535 year-over-year [11]. Stock Performance - Over the past year, Twilio's shares have increased by 102.7%, significantly outperforming the Zacks Internet – Software industry and the S&P 500 index, which grew by 27.7% and 20.9%, respectively [12]. - The stock is currently trading at a forward 12-month price-to-sales (P/S) ratio of 4.61, compared to the industry average of 3.31, indicating a premium valuation [14]. Competitive Position - Twilio is recognized as a leader in the customer engagement and communications space, providing programmable communications cloud software that is widely used by major companies [17]. - The company's developer-friendly platform and extensive API ecosystem enhance its competitive edge, allowing for customizable communication solutions across more than 180 countries [18]. - Twilio is integrating AI-driven features into its platform, which is expected to enhance customer experiences and operational efficiency [19]. Future Outlook - Twilio's leadership in customer engagement, combined with its AI innovations, positions the company well for future growth in a competitive landscape [20].

Core Viewpoint - The article discusses the investment position of Parkev Tatevosian, CFA, and mentions the involvement of The Motley Fool with Twilio, highlighting their recommendation and potential compensation structure [1] Group 1 - Parkev Tatevosian has no position in any of the stocks mentioned [1] - The Motley Fool has positions in and recommends Twilio [1] - The Motley Fool has a disclosure policy regarding its investment recommendations [1]

Core Viewpoint - Twilio Inc. is set to report its fourth-quarter 2024 earnings on February 13, with a strong Zacks Rank 1 and an Earnings ESP of +3.28%, indicating potential for an earnings beat [1][12]. Group 1: Company Performance and Strategy - Twilio has benefited from accelerated digital transformations and a growing hybrid working trend, enhancing its product portfolio through selective acquisitions and strategic investments [3]. - The company is gaining traction from both existing clients and new customers, driven by a focus on product introduction and a go-to-market sales strategy [4]. - Demand for Twilio's programmable voice and messaging products is strong, contributing positively to its top-line performance [5]. Group 2: Financial Outlook - The Zacks Consensus Estimate for fourth-quarter 2024 indicates revenues of $1.17 billion, a 9% year-over-year increase, and earnings per share (EPS) of $1.02, reflecting an 18.6% year-over-year growth [12]. - For 2024, the Zacks Consensus Estimate suggests a year-over-year increase of 6.8% in revenues and 50.6% in EPS, with further upside projected for 2025 [13]. Group 3: Long-Term Growth Catalysts - Twilio is focusing on generative AI to enhance customer engagement, having launched Customer AI technology in June 2023 [8]. - The integration of generative AI capabilities across its platform is expected to drive long-term revenue growth [10]. - The company has a strong balance sheet with $2.7 billion in cash and marketable securities, allowing for strategic acquisitions and growth investments [16].

Core Viewpoint - The market anticipates Twilio (TWLO) to report a year-over-year increase in earnings driven by higher revenues in its upcoming earnings report for the quarter ended December 2024 [1][2]. Earnings Expectations - Twilio is expected to post quarterly earnings of $1.02 per share, reflecting an 18.6% increase year-over-year [3]. - Revenues are projected to reach $1.17 billion, which is a 9% increase from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate has remained unchanged over the last 30 days, indicating stability in analysts' assessments [4]. - The Most Accurate Estimate for Twilio is higher than the Zacks Consensus Estimate, resulting in a positive Earnings ESP of +3.28% [10]. Zacks Rank and Predictive Power - Twilio currently holds a Zacks Rank of 1 (Strong Buy), suggesting a high likelihood of beating the consensus EPS estimate [11]. - A positive Earnings ESP combined with a strong Zacks Rank historically leads to a positive surprise nearly 70% of the time [8]. Historical Performance - In the last reported quarter, Twilio exceeded the expected earnings of $0.87 per share by delivering $1.02, resulting in a surprise of +17.24% [12]. - Over the past four quarters, Twilio has consistently beaten consensus EPS estimates [13]. Industry Context - In the Zacks Internet - Software industry, Rapid7 (RPD) is expected to report earnings of $0.50 per share, indicating a year-over-year decline of 30.6% [17]. - Rapid7's revenue is projected to be $212.25 million, reflecting a 3.4% increase from the previous year [17]. - The consensus EPS estimate for Rapid7 has been revised 1% lower in the last 30 days, resulting in a negative Earnings ESP of -0.40% [18].

Twilio (TWLO 1.54%) stock has been red-hot on the market in the past six months, rising an incredible 148% as of this writing as investors seem to have recognized the potential impact of the growing adoption of artificial intelligence (AI) on the company's business.Twilio's red-hot rally started in October 2024 when the company delivered a solid set of results along with better-than-expected guidance. The parabolic jump in Twilio's stock price in the past six months means that it has turned out to be a bett ...

Momentum investing is all about the idea of following a stock's recent trend, which can be in either direction. In the 'long' context, investors will essentially be "buying high, but hoping to sell even higher." And for investors following this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving in that direction. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.Even ...

Twilio (TWLO) appears an attractive pick, as it has been recently upgraded to a Zacks Rank #1 (Strong Buy). This upgrade primarily reflects an upward trend in earnings estimates, which is one of the most powerful forces impacting stock prices.A company's changing earnings picture is at the core of the Zacks rating. The system tracks the Zacks Consensus Estimate -- the consensus measure of EPS estimates from the sell-side analysts covering the stock -- for the current and following years.Since a changing ear ...

The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price. Do they really matter, though?Let's take a look at what these Wall Street heavyweights have to say about Twilio (TWLO) before we discuss the reliability of brokerage recommendations and how to use them to your advantage.Twilio currently has an average bro ...

Have you been paying attention to shares of Twilio (TWLO) ? Shares have been on the move with the stock up 28% over the past month. The stock hit a new 52-week high of $142.31 in the previous session. Twilio has gained 28.6% since the start of the year compared to the 30.3% move for the Zacks Computer and Technology sector and the 44.6% return for the Zacks Internet - Software industry.What's Driving the Outperformance?The stock has a great record of positive earnings surprises, as it hasn't missed our earn ...