$TWLO Possible reversal in Twilio @ $89 CEO On CNBC tonightGap fill target set at $89 for a possible reversal opportunity in TWLO. The CEO will be appearing on CNBC's MAd Money tonight with Jim Cramer in which we will get some answers about the accounting issues that have driven the stock down in the past few days and slo more insight to the poor guidance.
The stock could have a sizeable reversal if the CEO can ease the worries and anger amongst investors, 40% down from its summer highs it may be worth a second look tomorrow.
TWLO trade ideas
TWLO - trade set upTWLO just broke some nice support here and earnings in a few days.. This puppy cold break to the down side super fast. With earnings coming it's not really a safe play to get in here short with stocks or at/in the money options right now, but you can play some out of the money puts right around this nice 100MA support on the weekly chart.. If she falls over earnings or up till earnings could be a nice little pay day. Enjoy
$TWLO Cuts its losses and finds support. Reversal Trade.Huge reversal in the after-hours could set up a change in fortunes for the stock in days to come.
The stock plunged as much as 12% before finding support at $88 which also filled a remaining gap on the chart. Such gaps are used as buy zones for the bottom feeders hoping to snap up a bargain in good companies, it looks like a fantastic buying opportunity in TWLO.
It is apparent that the guidance disappointed the machines rather than the humans.
This has the company expecting Non-GAAP per-share earnings between 16 cents and 17 cents. It also is looking for revenue ranging from $1.114 billion to 1.117 billion. Wall Street is estimating earnings per share of 17 cents on revenue of $1.12 billion for the year.
Earnings highligths Sourcde Seeking Alpha
Twilio (NYSE:TWLO) has tumbled 11.7% postmarket following Q3 earnings where it beat high estimates but also offered dim guidance for the current quarter.
Revenues grew 75% to $295.1M, and base revenues grew 79%. That revenue growth was also up 7% from the second quarter in both cases.
Operating loss was $94.7M (and non-GAAP operating loss was $3.6M, down from a gain of $4.3M a year ago).
Attributable GAAP net loss was $0.64 vs. a year-ago loss of $0.28; non-GAAP EPS fell to $0.03 from $0.07.
Active customer accounts more than doubled, to 172,092 (including contribution from SendGrid, acquired in February). Dollar-based net expansion rate was 132% vs. a year-ago 145%.
For Q4, it's guiding to revenue of $311M-$314M (with base revenue of $300M-$302M, vs. consensus for $320.7M), and EPS of $0.01-$0.02 (well below consensus for $0.07).
For the full year, that means total revenue of $1.114B-$1.117B (base revenue of $1.053B-$1.055B), and EPS of $0.16-$0.17.
TWLO - Former CNBC Darling Looking InterestingTWLO has been pulling back since mid-July with the pullback now trying to bounce off the 61.8% retracement level. A bullish divergence has formed between price & RSI as well.
There is potential resistance around $122. If it can get above that level then I would be looking at the 38.2% Fibonacci Extension level.
Twilio Oversold Bounce for Re-ShortTwilio looks oversold and ready to bounce towards the 200 day average. May re-test that lower trendline as well. Long here with tight stop. Short at or above the 200 with a similarly tight stop. Set trailing stop once the descent is confirmed with 2 red daily candles.
TWLO - 1st Rejection from the ResistanceNYSE:TWLO
TWLO got rejected at ~117.50 today and the daily volume continues to decline. Related to my previous idea, we are still in a downtrend (until proven otherwise). The expanding bollinger band suggests a big swing is imminent. I am on the short-side. As seen in the chart, TWLO has been following clean and stair steps down and after every failure of breaking the resistance, it drops significantly. My target? below $90 in possibly a week's time.
GLHF!
Twilio Ready for Breakout. Entry level $113 = target price $132 Stop loss $109
The high flyer of 2019 got its wings clipped recently with a sizable 50% retrace where it found support and the buyers returned once again.
Currently the chart is poised for considerable move as the Bollinger bands have pinched so close together.
Indicators are all in a bullish trajectory.
Volume has stalled in anticipation of this weeks trade talks.
TWLOA lot of weakness trickling downthe entire market and that weakness began with the tech sector. I've been fortunate to be on the right side, shorting small caps such as $ROKU, $TWLO which has seen explosive growth in the last year. Since the drop of December 2018, I've been waiting and scoping out potential short opportunities as it was clear to me that we have been in a market 'melt-up' since December, 2018, and the end of the growth cycle is inevitable. Many predictions stemming from the yield curve inversion suggests that a recession is coming within 8-18 months (the bottom) . If that is in fact true, we will see further downside starting end of the 4th quarter.
I have been shorting $TWLO since ~$148 and ROKU since $170. I see potential further downside as I see a head and shoulders pattern on the weekly chart. As seen in this chart, we see that the long-term bullish trend has been broken and further headwinds in the market will only put further downward pressure to small caps such as TWLO.