Why Twilio Stock Fell as Much as 14% Today
Shares of business software platform provider Twilio (NYSE: TWLO) fell as much as 13.8% on Thursday following the release of strong third-quarter results with a side of disappointing guidance. By 12:40 p.m. EDT, the stock had recovered slightly to a loss of 12.2%.
Twilio's third-quarter sales rose 75% year over year, stopping at $295 million. Adjusted earnings landed at $0.03 per share, 57% below the $0.07 per share seen in the year-ago quarter. Your average analyst would have settled for earnings near $0.01 per share on revenues of approximately $288 million.
The story changes when you look ahead. Twilio's fourth-quarter range of revenue guidance centered on $313 million, and adjusted earnings should land near $0.02 per share. The analyst consensus had been calling for earnings closer to $0.07 per share and sales of roughly $322 million.
Source Fool.com
