Twilio

TWLO · NYSE

$258.69+$1.40 (+0.54%)TodayMarket closed · Oct 20, 4:05 PM ET

Prev close $257.29

TWLO analyst rating

BuyConsensus of 21 analysts over the last 12 months. 81% rate it a buy.

Strong buy0
Buy17
Hold1
Underperform3
Sell0

12-month price target · 32 analysts

Average $263.15 (+1.7% upside)

Low: $136.85
Now: $258.69
High: $367.50

Upgrades and downgrades

The latest rating actions, newest first

TWLO analyst upgrades, downgrades and rating actions
Firm	Date	Action	Rating	Price target	Hit rate
BTIG	Oct 16, 2026	Maintains	Buy	$285.00 → $315.00	61%
B of A Securities	Oct 14, 2026	Maintains	Buy	$270.00 → $320.00	60%
JP Morgan	Oct 8, 2026	Maintains	Overweight	$260.00 → $335.00	58%
HSBC	Sep 25, 2026	Downgrade	Hold → Reduce	$211.00	64%
TD Cowen	Sep 22, 2026	Maintains	Buy	$260.00 → $300.00	60%
Rosenblatt	Sep 22, 2026	Maintains	Buy	$275.00 → $290.00	60%
BTIG	Sep 11, 2026	Maintains	Buy	$285.00	61%
Citizens	Aug 27, 2026	Maintains	Market Outperform	$275.00	48%
UBS	Aug 7, 2026	Maintains	Buy	$200.00 → $285.00	48%
TD Cowen	Aug 7, 2026	Maintains	Buy	$245.00 → $260.00	60%

The case for and against

Updated Oct 14, 2026

Bull case

Twilio is favorably positioned because its usage-based CPaaS platform sits at the center of rising AI-driven communications, where human-to-agent and agent-to-agent interactions can expand voice, SMS, WhatsApp, and email traffic rather than cannibalize it. Management and channel checks cited strong fundamental momentum, including 17% organic growth in Q2 on $1.499 billion of revenue, roughly 49% non-GAAP gross margin, voice representing about 12% of revenue while growing about 60%, and 63 billion voice minutes processed in 2025, all suggesting durable demand and improving operating leverage. Its growing software attach through Verify, orchestration, branded calling, identity, and Stytch-driven governance should deepen customer lock-in, raise revenue per interaction, and support a more durable margin and growth profile.

Bear case

Twilio is exposed to a weaker macro backdrop, slower SaaS/cloud adoption, and intensifying competition, all of which can prolong sales cycles, raise volatility, and pressure pricing and growth. Its usage-based model and customer concentration make revenue less predictable than SaaS peers, while carrier pass-through and A2P fees from telcos inflate reported revenue without adding gross profit and could cut FY26 non-GAAP gross margin by roughly 210 bps versus FY25. Management also signaled tougher comparisons in the back half of 2025, weak early multi-product adoption, and possible added R&D spending, implying slower operating margin expansion and a lower-quality earnings profile.

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