Twilio (NYSE:TWLO) Raised to Strong-Buy at The Goldman Sachs Group

Key Points

• Goldman Sachs upgraded Twilio to “strong-buy”, adding to a wave of bullish analyst commentary on the stock. Overall, Twilio now has a consensus rating of Moderate Buy and a consensus target price of $205.38.
• Several other firms recently raised their price targets, including Citizens JMP to $210, Needham to $250, and KeyCorp to $200, signaling broader optimism around Twilio’s outlook.
• Twilio posted a strong quarterly result, with EPS of $1.50 beating estimates and revenue of $1.41 billion topping expectations, while revenue rose 20% year over year.

Twilio (NYSE:TWLO - Get Free Report) was upgraded by research analysts at The Goldman Sachs Group to a "strong-buy" rating in a note issued to investors on Tuesday,Zacks.com reports.

Other analysts also recently issued research reports about the company. Citizens Jmp lifted their target price on Twilio from $185.00 to $210.00 and gave the company a "market outperform" rating in a research report on Friday, May 1st. Needham & Company LLC increased their price target on Twilio from $200.00 to $250.00 and gave the company a "buy" rating in a research report on Monday, May 11th. Piper Sandler raised their price target on Twilio from $130.00 to $192.00 and gave the company a "neutral" rating in a research note on Friday, May 1st. TD Cowen reiterated a "buy" rating on shares of Twilio in a research note on Monday, June 1st. Finally, KeyCorp increased their price objective on Twilio from $156.00 to $200.00 and gave the company an "overweight" rating in a report on Friday, May 1st. Three analysts have rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating, three have given a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat, Twilio presently has a consensus rating of "Moderate Buy" and a consensus target price of $205.38.

Twilio Stock Performance

Shares of TWLO stock opened at $187.92 on Tuesday. Twilio has a 12 month low of $91.84 and a 12 month high of $238.48. The company's fifty day simple moving average is $183.67 and its 200-day simple moving average is $146.64. The firm has a market cap of $28.52 billion, a PE ratio of 293.63, a P/E/G ratio of 3.66 and a beta of 1.39. The company has a quick ratio of 4.66, a current ratio of 4.66 and a debt-to-equity ratio of 0.13.

Twilio (NYSE:TWLO - Get Free Report) last issued its quarterly earnings results on Thursday, April 30th. The technology company reported $1.50 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.27 by $0.23. Twilio had a net margin of 1.96% and a return on equity of 4.64%. The firm had revenue of $1.41 billion for the quarter, compared to analyst estimates of $1.34 billion. During the same period in the previous year, the business earned $1.14 EPS. The company's revenue was up 20.0% compared to the same quarter last year. Twilio has set its Q2 2026 guidance at 2.500-2.600 EPS. Equities research analysts expect that Twilio will post 2.79 EPS for the current fiscal year.

Insiders Place Their Bets

In other news, CEO Khozema Shipchandler sold 44,158 shares of Twilio stock in a transaction that occurred on Thursday, June 4th. The stock was sold at an average price of $235.88, for a total transaction of $10,415,989.04. Following the completion of the transaction, the chief executive officer directly owned 235,542 shares in the company, valued at approximately $55,559,646.96. The trade was a 15.79% decrease in their position. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Andrew Stafman sold 1,000,000 shares of the business's stock in a transaction that occurred on Wednesday, May 27th. The stock was sold at an average price of $184.14, for a total value of $184,140,000.00. Following the transaction, the director directly owned 620,000 shares in the company, valued at $114,166,800. The trade was a 61.73% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last ninety days, insiders have sold 1,805,779 shares of company stock worth $338,603,196. Company insiders own 0.21% of the company's stock.

Hedge Funds Weigh In On Twilio

Several institutional investors and hedge funds have recently modified their holdings of TWLO. Norges Bank bought a new stake in shares of Twilio during the 4th quarter worth about $273,862,000. State Street Corp raised its holdings in Twilio by 47.8% in the 3rd quarter. State Street Corp now owns 5,879,395 shares of the technology company's stock valued at $588,469,000 after acquiring an additional 1,900,551 shares during the period. SRS Investment Management LLC acquired a new stake in Twilio during the fourth quarter worth approximately $257,494,000. Invesco Ltd. lifted its position in Twilio by 225.0% during the third quarter. Invesco Ltd. now owns 2,009,237 shares of the technology company's stock worth $201,105,000 after acquiring an additional 1,391,013 shares during the last quarter. Finally, Alyeska Investment Group L.P. boosted its holdings in shares of Twilio by 39.7% during the third quarter. Alyeska Investment Group L.P. now owns 2,643,859 shares of the technology company's stock worth $264,624,000 after acquiring an additional 750,951 shares during the period. 84.27% of the stock is currently owned by institutional investors and hedge funds.

Twilio Company Profile

Twilio Inc NYSE: TWLO is a cloud communications platform-as-a-service (CPaaS) company that enables developers and enterprises to embed communications into web and mobile applications. Its core offering is a suite of programmable APIs that handle messaging (SMS, MMS, and chat), voice calling, video, and user authentication. Twilio's platform is designed to help businesses build customer engagement and communication workflows without managing telecommunications infrastructure directly.

The company's product portfolio includes programmable voice and messaging APIs, Twilio Video for real‑time video applications, and Twilio Authy for multi‑factor authentication.

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