TWLO

Twilio Inc

TMT


Presented:07/08/2019
Price:$144.73
Cap:$19.29B
Current Price:$70.15
Cap:$11.27B

Presented

Date07/08/2019
Price$144.73
Market Cap$19.29B
Ent Value$14.77B
P/E RatioN/A
Book Value$26.39
Div Yield0%
Shares O/S133.31M
Ave Daily Vol4,089,986
Short Int10.43%

Current

Price$70.15
Market Cap$11.27B
Twilio, Inc. engages in the development of communications software, cloud-based platform, and services. Its platform consists of the following layers: engagement cloud, programmable communications cloud, and super network. The engagement cloud software addresses use cases like account security and contact centers and is a set of Application Programming Interfaces (APIs) that handles the higher-level communication logic needed for nearly every type of customer engagement. The Programmable communications cloud software is a set of APIs that enables developers to embed voice, messaging, and video capabilities into their applications. The super network is a software layer that allows customers' software to communicate with connected devices globally. The company was founded by John Wolthuis, Jeffery G. Lawson, and Evan Cooke in March 2008 and is headquartered in San Francisco, CA.

Publicly traded companies mentioned herein: Adobe Inc (ADBE), Microsoft Corp (MSFT), Salesforce.com (CRM), Twilio Inc (TWLO), Verizon Communications Inc (VZ)

Highlights

The presenter is long shares of Twilio (TWLO), a cloud communication platform as a service company that allows software developers to add communication functions (texts, phone calls, and emails) to their products through APIs. In his view, TWLO is a clear leader in a fast-growing market but the Street has completely mis-modeled the company and its long-term growth outlook. He expects TWLO to sustain its topline growth and deliver $15 - $25 EPS by 2026. The stock can trade at 35x earnings to $700 by that time, which represents 25% IRR from today’s price ($146). 

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Idea Discussion

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