The Twilio stock reaction after hours (down 5%) shouldn't surprise people. Estimates were low, and the expectation was a HUGE beat, which was priced into the current stock price. When stocks run up this much, and multiples expand this much, big beats are baked in. $TWLO

There's no room for error in this market for SaaS companies. As crazy as it sounds, a 9% beat wasn't enough to justify current multiples. That being said, good chance the stock trades flat to slightly up by EOD tomorrow despite the after hours movement

Look at Shopify for a parallel. They beat expectations by 40% (!) and ONLY traded up ~5%. This shows you the crazy expectations some of these companies are under. In a normal environment, if a company beat by 40% unexpectedly their stock might double

The important perspective to keep is a long term one. No matter what happens to the Twilio stock tomorrow people should keep in mind they're a company at ~$1.6B ARR, growing ~50% YoY. This is insane. I'm as bullish as ever on the long term potential