William Blair analyst Arjun Bhatia has reiterated their bullish stance on TWLO stock, giving a Buy rating today.
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Arjun Bhatia has given his Buy rating due to a combination of factors that highlight Twilio’s promising growth trajectory. The company reported a healthy organic growth rate of 13% for the quarter, surpassing market expectations and indicating an acceleration from the previous quarter. Additionally, Twilio has raised its full-year 2025 organic revenue growth guidance, reflecting strong performance in messaging and voice channels, as well as successful execution in their go-to-market strategies.
Despite some concerns about operating income guidance and gross margin pressures, Bhatia views Twilio’s increased investments in research and development positively. These investments are in response to heightened customer demand, particularly in voice, rich communication services, and AI offerings. While these investments may temporarily impact margins, they are expected to enhance Twilio’s market position in the long term. Bhatia remains optimistic about Twilio’s growth prospects and views the recent stock pullback as a buying opportunity.
In another report released today, Morgan Stanley also maintained a Buy rating on the stock with a $152.00 price target.