Twilio Inc. (NYSE:TWLO) Stock Now Rated "Moderate Buy" by Wall Street Analysts

Key Points

• Wall Street’s consensus rating is “Moderate Buy”: 28 analysts include 25 buy or strong-buy ratings, with an average 12-month price target of $269.48.
• Twilio beat quarterly estimates: EPS was $1.65 versus $1.47 expected, and revenue of $1.56 billion topped forecasts and rose 19.9% year over year.
• Near-term growth concerns remain: Fourth-quarter guidance reportedly pointed to slower growth in Twilio’s largest business, while company insiders sold shares worth about $134.8 million over the past three months.

Shares of Twilio Inc. (NYSE:TWLO - Get Free Report) have been given an average rating of "Moderate Buy" by the twenty-eight brokerages that are covering the firm, MarketBeat Ratings reports. One analyst has rated the stock with a sell recommendation, two have given a hold recommendation, twenty-two have issued a buy recommendation and three have given a strong buy recommendation to the company. The average 12 month price objective among analysts that have issued a report on the stock in the last year is $269.48.

A number of equities research analysts have recently issued reports on the stock. Wells Fargo & Company upped their price objective on shares of Twilio from $275.00 to $300.00 and gave the company an "overweight" rating in a research note on Tuesday, October 27th. Mizuho set a $270.00 price target on Twilio in a research note on Wednesday, August 12th. Citigroup reaffirmed a "market outperform" rating on shares of Twilio in a report on Thursday, August 27th. Bank of America increased their price objective on shares of Twilio from $270.00 to $320.00 and gave the stock a "buy" rating in a research report on Wednesday, October 14th. Finally, Oppenheimer increased their target price on shares of Twilio from $275.00 to $325.00 and gave the company an "outperform" rating in a report on Wednesday, October 21st.

Twilio Stock Performance

Twilio stock opened at $201.97 on Friday. The stock has a market cap of $31.02 billion, a price-to-earnings ratio of 25.40, a price-to-earnings-growth ratio of 4.22 and a beta of 1.49. The firm has a 50 day simple moving average of $254.48 and a 200-day simple moving average of $190.28. The company has a debt-to-equity ratio of 0.11, a current ratio of 4.47 and a quick ratio of 4.62. Twilio has a 1-year low of $105.00 and a 1-year high of $308.40.

Twilio (NYSE:TWLO - Get Free Report) last announced its quarterly earnings data on Thursday, October 29th. The technology company reported $1.65 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.47 by $0.18. The company had revenue of $1.56 billion during the quarter, compared to analysts' expectations of $1.52 billion. Twilio had a net margin of 21.82% and a return on equity of 5.58%. The business's quarterly revenue was up 19.9% compared to the same quarter last year. During the same period in the previous year, the company earned $1.25 EPS. On average, analysts expect that Twilio will post 3.27 EPS for the current year.

Insiders Place Their Bets

In other Twilio news, CFO Aidan Viggiano sold 9,084 shares of the company's stock in a transaction that occurred on Wednesday, September 30th. The shares were sold at an average price of $294.65, for a total value of $2,676,600.60. Following the transaction, the chief financial officer owned 99,246 shares in the company, valued at approximately $29,242,833.90. This represents a 8.39% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO Khozema Shipchandler sold 14,442 shares of the stock in a transaction dated Monday, October 5th. The stock was sold at an average price of $291.03, for a total transaction of $4,203,055.26. Following the transaction, the chief executive officer owned 178,863 shares of the company's stock, valued at approximately $52,054,498.89. This represents a 7.47% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold 538,818 shares of company stock worth $134,833,645 in the last three months. 0.21% of the stock is owned by insiders.

Institutional Trading of Twilio

Several large investors have recently added to or reduced their stakes in the company. Congress Asset Management Co. grew its holdings in Twilio by 16.2% during the third quarter. Congress Asset Management Co. now owns 160,425 shares of the technology company's stock valued at $46,918,000 after purchasing an additional 22,311 shares during the period. Plato Investment Management Ltd purchased a new stake in shares of Twilio in the 2nd quarter valued at approximately $1,637,000. Assenagon Asset Management S.A. lifted its position in Twilio by 67.8% during the 2nd quarter. Assenagon Asset Management S.A. now owns 120,582 shares of the technology company's stock worth $24,880,000 after acquiring an additional 48,742 shares during the period. Nykredit A S acquired a new stake in shares of Twilio in the second quarter worth approximately $10,514,000. Finally, Aware Super Pty Ltd as trustee of Aware Super bought a new stake in Twilio in the first quarter valued at $4,288,000. 84.27% of the stock is owned by institutional investors.

Twilio News Summary

Here are the key news stories impacting Twilio this week:

• Positive Sentiment: Analysts see potential support from rising profits, record cash flow and AI-related opportunities. Northland Securities also raised its FY2026 EPS estimate to $3.32 from $3.08, while the outlook coverage points to a stronger 2026 outlook. TWLO Declines 12% Since Q3 Results: Is This a Buy-the-Dip Opportunity?
• Neutral Sentiment: Northland’s forecast revisions were mixed: it increased some near-term estimates but trimmed several 2027 quarterly forecasts and lowered FY2027 EPS to $4.04 from $4.11. Northland Securities estimate revisions
• Negative Sentiment: The main downside catalyst is Twilio’s fourth-quarter guidance, which signaled slowing growth in its largest business. Reports say shares fell sharply after the outlook, raising concerns about near-term momentum. Twilio stock weighs Q4 growth slowdown against stronger 2026 outlook
• Negative Sentiment: Levi & Korsinsky is investigating potential securities-law violations on behalf of investors who lost money following the decline. An investigation notice could add reputational and legal uncertainty, but it is not a finding of liability. Twilio securities investigation notice

Twilio Company Profile

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.

Founded in 2008, Twilio serves businesses and developers in markets around the world.

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