Twilio shares are down a stunning 36% this morning (its biggest intraday drop ever)…
…trading at their lowest level since April 2018, after the infrastructure software company gave a fourth-quarter revenue forecast that came in below estimates…
Analysts said they were disappointed by the company’s investor day, which added new concerns, rather than dealing with existing ones.
Most notably, Cowen (which downgraded TWLO to market perform from outperform, cutting its PT to $65 from $100) said Twilio is feeling “acute pressure” from a worsening macro environment, which results in a significant cut to its growth outlook.
There is continued overhang on the stock from combination of “substantial restructuring of its sales force and a lack of any significant change in the medium-term margin structure.”
Jefferies piled on:
“Hard to find any silver linings” as the analyst day raised new concerns instead of extinguishing existing ones..
We wonder, in a totally non-racist way, was CEO Jeff Lawson’s decision in mid-September to “ensure our layoffs – while a business necessity today – were carried out through an Anti-Racist/Anti-Oppression lens” a good strategy?
Maybe ignoring the color of people’s skin and focusing on their productivity would have been more ‘value-add’ for stakeholders?
Tyler Durden
Fri, 11/04/2022 – 12:40
