Analyzing Twilio (NYSE:TWLO) & CI&T (NYSE:CINT)

CI&T (NYSE:CINT) and Twilio (NYSE:TWLO) are both technology companies, but which is the superior stock? We will contrast the two businesses based on the strength of their institutional ownership, profitability, dividends, valuation, earnings, risk and analyst recommendations.

Profitability

This table compares CI&T and Twilio’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CI&T	6.33%	11.99%	6.70%
Twilio	21.82%	5.58%	4.56%

Valuation and Earnings

This table compares CI&T and Twilio”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CI&T	$489.65 million	0.87	$40.62 million	$0.29	10.94
Twilio	$5.07 billion	6.49	$33.83 million	$7.95	26.74

CI&T has higher earnings, but lower revenue than Twilio. CI&T is trading at a lower price-to-earnings ratio than Twilio, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

CI&T has a beta of 0.82, suggesting that its share price is 18% less volatile than the S&P 500. Comparatively, Twilio has a beta of 1.49, suggesting that its share price is 49% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current recommendations for CI&T and Twilio, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CI&T	2	2	7	0	2.45
Twilio	1	3	21	2	2.89

CI&T currently has a consensus price target of $6.09, suggesting a potential upside of 91.84%. Twilio has a consensus price target of $269.48, suggesting a potential upside of 26.77%. Given CI&T’s higher probable upside, research analysts plainly believe CI&T is more favorable than Twilio.

Insider and Institutional Ownership

92.4% of CI&T shares are owned by institutional investors. Comparatively, 84.3% of Twilio shares are owned by institutional investors. 0.2% of Twilio shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Summary

Twilio beats CI&T on 10 of the 15 factors compared between the two stocks.

About CI&T

CI&T is a global technology and digital transformation company that helps organizations develop and improve digital products, services and operations. Its offerings include technology consulting, product design, software development, data and artificial intelligence solutions, cloud services and modernization of existing systems. Founded in Brazil in 1995, the company serves clients across multiple industries and geographies, including North America, Latin America and Europe. CI&T works with organizations on initiatives ranging from digital strategy and customer experiences to the design and implementation of technology platforms.

About Twilio

Twilio provides cloud-based communications software that enables businesses to communicate with customers through applications and digital channels. Its platform offers APIs and related tools for integrating messaging, voice, video and email capabilities into software and customer workflows. Its offerings include programmable communications products, the Twilio Flex contact center platform, SendGrid email services, and Segment, a customer data platform. Twilio also provides tools for customer identity verification and engagement, helping organizations manage communications and customer data across their operations.