Overview
- Twilio reported Q4 2025 revenue of $1.37 billion, up 14% year over year, with adjusted EPS of $1.33 and 12% organic growth, alongside stronger operating income and free cash flow.
- Management guided to 8.5% organic revenue growth for 2026 and set a FY2027 operating income target of $1.23 billion.
- Morgan Stanley cut its price target to $153 from $169 while maintaining an Overweight rating, noting Q4 organic growth exceeded guidance by roughly 350 basis points.
- Piper Sandler’s James Fish lowered his target to $130 with a Neutral rating, while Needham reiterated a Buy at $145 and highlighted go-to-market execution, ISV partner traction, and AI adoption.
- Voice and Messaging were key growth drivers, with the voice business growing in the high teens for 2025 and Voice AI revenue up 49% year over year; Moody’s earlier raised Twilio’s credit rating to Ba1 with a stable outlook.