5 Best Stocks to Buy and Hold for the Next 15 Years According to Cathie Wood’s Portfolio

4. Twilio Inc. (NYSE:TWLO)

Number of Hedge Fund Holders: 49

Communications platform and technology company Twilio Inc. (NYSE:TWLO) came on ARK’s radar back in 2018 when the fund bought a stake in the company during the last quarter of the year. As of the second quarter of this year, the fund owns a $448 million stake in Twilio Inc. (NYSE:TWLO).

Aristotle Atlantic Focus Growth Strategy made the following comment about Twilio Inc. (NYSE:TWLO) in its Q4 2022 investor letter:

“We sold Twilio Inc. (NYSE:TWLO) and thereby reduced our subsector weight in software. The company reported a decent third quarter, but disappointed on fourth quarter 2022, full year 2023, and long-term guidance. The company is seeing macroeconomic headwinds and a slowdown spreading from technology, social media and cryptocurrency to retail and e-commerce. The other negative disclosure and a driver of this gross margin “miss” was that Twilio’s software sales are not accelerating at the rate that we expected. We are disappointed with this lower topline and low operating margin improvement guidance. The business transformation is taking longer than expected, and there is the heightened possibility that the new software growth could be stifled by more formidable competition as Twilio has made too many missteps.”