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Twilio: Stuck At $100

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Twilio has a market valuation already at $15 billion.
Revenue per share is only forecasted to growth at 29% in 2019.
Massive share dilution has captured a vast majority of the recent revenue growth, limiting benefits to shareholders.
The stock trades at a peak valuation near $100 of 10x '20 sales estimates.
For the last couple of months, Twilio (TWLO) has been stuck around $100. After absorbing the SendGrid acquisition, my investment thesis was negative on the stock, based on a trend towards investors chasing revenue expansion and fading stocks with decelerating revenue growth. As 2019 ends, the company is on a path towards normalized revenue growth, and the question is what is the appropriate valuation for a stock with 30% growth, not something wild like 70% growth officially reported in the last quarter.
Read the full article on Seeking Alpha. 

Disclosure: No position mentioned. Please review the disclaimer page for more details. 

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