Morgan Stanley Downgrades Twilio (NYSE:TWLO) to Equal Weight

Twilio (NYSE:TWLO) was downgraded by equities research analysts at Morgan Stanley from an “overweight” rating to an “equal weight” rating in a research note issued on Friday, Marketbeat reports. They currently have a $60.00 target price on the technology company’s stock, down from their prior target price of $70.00. Morgan Stanley’s target price indicates a potential upside of 10.62% from the company’s previous close.

Several other equities research analysts have also recently issued reports on TWLO. UBS Group decreased their target price on shares of Twilio from $82.00 to $74.00 and set a “buy” rating on the stock in a research report on Wednesday, March 6th. The Goldman Sachs Group raised their target price on shares of Twilio from $69.00 to $70.00 and gave the stock a “neutral” rating in a research report on Wednesday, March 6th. Oppenheimer reissued an “outperform” rating and issued a $75.00 target price on shares of Twilio in a research report on Wednesday, April 17th. Jefferies Financial Group cut their price target on shares of Twilio from $65.00 to $60.00 and set a “hold” rating on the stock in a report on Wednesday, March 6th. Finally, Robert W. Baird cut their price target on shares of Twilio from $70.00 to $65.00 and set a “neutral” rating on the stock in a report on Wednesday, May 8th. Two equities research analysts have rated the stock with a sell rating, eleven have assigned a hold rating and nine have assigned a buy rating to the stock. Based on data from MarketBeat, the company currently has a consensus rating of “Hold” and a consensus target price of $69.20.

Twilio Stock Performance

Shares of TWLO opened at $54.24 on Friday. The company has a 50-day simple moving average of $59.56 and a 200-day simple moving average of $64.63. The company has a quick ratio of 6.55, a current ratio of 6.55 and a debt-to-equity ratio of 0.11. The company has a market capitalization of $9.28 billion, a PE ratio of -13.53, a P/E/G ratio of 9.40 and a beta of 1.34. Twilio has a 52-week low of $49.86 and a 52-week high of $78.16.

Twilio (NYSE:TWLO) last posted its earnings results on Tuesday, May 7th. The technology company reported $0.06 earnings per share for the quarter, beating the consensus estimate of ($0.09) by $0.15. Twilio had a negative net margin of 17.37% and a negative return on equity of 0.89%. The firm had revenue of $1.05 billion during the quarter, compared to the consensus estimate of $1.03 billion. Equities research analysts predict that Twilio will post 0.18 earnings per share for the current fiscal year.

Insider Buying and Selling

In related news, CFO Aidan Viggiano sold 6,633 shares of Twilio stock in a transaction on Monday, April 1st. The shares were sold at an average price of $62.12, for a total value of $412,041.96. Following the completion of the sale, the chief financial officer now owns 234,411 shares in the company, valued at $14,561,611.32. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. In related news, CFO Aidan Viggiano sold 6,633 shares of Twilio stock in a transaction on Monday, April 1st. The shares were sold at an average price of $62.12, for a total value of $412,041.96. Following the completion of the sale, the chief financial officer now owns 234,411 shares in the company, valued at $14,561,611.32. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, CEO Khozema Shipchandler sold 10,961 shares of Twilio stock in a transaction on Monday, April 1st. The stock was sold at an average price of $62.13, for a total transaction of $681,006.93. Following the completion of the sale, the chief executive officer now owns 335,982 shares of the company’s stock, valued at approximately $20,874,561.66. The disclosure for this sale can be found here. Over the last quarter, insiders sold 52,349 shares of company stock worth $3,120,046. Insiders own 4.50% of the company’s stock.

Hedge Funds Weigh In On Twilio

Hedge funds have recently added to or reduced their stakes in the business. Principal Securities Inc. acquired a new position in Twilio in the fourth quarter worth $25,000. Truvestments Capital LLC boosted its holdings in Twilio by 123.5% in the third quarter. Truvestments Capital LLC now owns 447 shares of the technology company’s stock worth $26,000 after purchasing an additional 247 shares during the period. Activest Wealth Management boosted its holdings in Twilio by 327.9% in the first quarter. Activest Wealth Management now owns 522 shares of the technology company’s stock worth $32,000 after purchasing an additional 400 shares during the period. Westend Capital Management LLC acquired a new position in Twilio in the first quarter worth $35,000. Finally, Blue Trust Inc. boosted its holdings in Twilio by 1,566.7% in the fourth quarter. Blue Trust Inc. now owns 600 shares of the technology company’s stock worth $46,000 after purchasing an additional 564 shares during the period. Institutional investors and hedge funds own 84.27% of the company’s stock.

About Twilio

Twilio Inc, together with its subsidiaries, provides customer engagement platform solutions in the United States and internationally. It operates through two segments, Twilio Communications and Twilio Segment. The company provides various application programming interfaces and software solutions for communications between customers and end users, including messaging, voice, email, flex, marketing campaigns, and user identity and authentication.