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Twilio Is Losing Money, Should Investors Worry?


It's normal for growing companies to lose money; a young business often invests every cent it earns into the company to capture as much of a market as possible. But eventually, shareholders want to see profits. Twilio (NYSE: TWLO), which went public in 2016, is still losing money.

Wall Street isn't patient with unprofitable companies in this bear market, and Twilio has become a broken stock after falling a staggering 83% from its high. However, you need context to differentiate between damaged stocks and broken businesses. Here is why Twilio is poised to see brighter days ahead.

Twilio is a cloud-based communications company that sells software via an application programming interface, or API. This lets companies integrate messaging tools into their digital products.

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Source Fool.com

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