Twilio Q4 Organic Growth 12%, Voice AI +49%, Price Targets Slashed to $153 and $130
Twilio posted Q4 organic revenue growth of 12% versus guidance of 10%, driven by high-teens voice business expansion and 49% year-over-year jump in Voice AI revenue. Morgan Stanley cut its price target to $153 and Piper Sandler lowered theirs to $130, while Twilio maintained FY27 operating-income guidance of $1.23 billion.
1. Q4 Performance Highlights
Twilio delivered 12% organic revenue growth in Q4, surpassing mid‐point guidance of 10%. Growth was driven by a high-teens increase in its voice communications business and a 49% year-over-year surge in Voice AI revenue.
2. Analyst Price Target Revisions
Morgan Stanley lowered its price target from $169 to $153 while retaining an overweight rating, and Piper Sandler cut its target to $130 from $148, reflecting confidence in broad‐based momentum tempered by valuation concerns.
3. Fiscal 2026–27 Guidance and Outlook
Management set a FY27 operating-income target of $1.23 billion, implying 17% growth over current FY25 guidance, and initial FY26 revenue guidance calls for 8.5% organic growth, seen as conservative given the company’s execution track record.