Should You Buy the Twilio Dip?
Key takeaways
- TWLO NVDA Twilio (NYSE: TWLO) has enjoyed a strong start to the year but now finds itself in a 20% correction.
- In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia.
- Twilio has good fundamentals, but it's hard to justify a stock with a P/E ratio hovering near 300.
TWLO NVDA Twilio (NYSE: TWLO) has enjoyed a strong start to the year but now finds itself in a 20% correction. Many companies use Twilio's platform to communicate with customers via text, video, artificial intelligence (AI) chatbots, and other capabilities. It's natural for stocks to take breathers after long runs, but a high P/E ratio offers some reason for concern.
Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »
Twilio has good fundamentals, but it's hard to justify a stock with a P/E ratio hovering near 300. The company delivered 20% year-over-year revenue growth in the first quarter. Those sales come from a solid foundation, which includes more than 400,000 customers and 68% of Fortune 500 companies.