Twilio Enhances Messaging Efficiency with Direct Connections
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Mar 24 2026
0mins
Should l Buy TWLO?
Source: Newsfilter
Twilio Inc. shares fell 5.04% as the stock hit a 5-day low amid a broader market decline, with the Nasdaq-100 down 1.13% and the S&P 500 down 0.90%.
The decline occurred despite Twilio's recent announcement of launching direct connections to enhance messaging efficiency across major carriers in the U.S. and Canada. This initiative aims to improve customer communication experiences by allowing faster onboarding of 10DLC numbers and optimizing traffic management, solidifying Twilio's leadership in the North American market.
This strategic move positions Twilio to better meet the demands of modern enterprise digital communications, although the stock's performance reflects the challenges faced in the current market environment.
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Analyst Views on TWLO
Wall Street analysts forecast TWLO stock price to rise
20 Analyst Rating
14 Buy
4 Hold
2 Sell
Moderate Buy
Current: 130.460
Low
100.00
Averages
146.28
High
185.00
Current: 130.460
Low
100.00
Averages
146.28
High
185.00
About TWLO
Twilio Inc. provides a customer engagement platform to build direct, personalized relationships with their customers everywhere in the world. Its platform provides developers with tools to build, scale, and deploy real-time communications within software applications. Its segments include Twilio Communications (Communications) and Twilio Segment (Segment). The Communications segment consists of a variety of application programming interfaces (APIs) and software solutions to optimize communications between its customers and their end users. Its key offerings in its Communications segment include Messaging, Voice, Email (includes Marketing Campaigns), Flex and User Authentication and Identity. Its Twilio Flex is a digital engagement center for the entire customer journey. Twilio Segment is a customer data platform that provides businesses with the tools to harness the power of contextual data by unifying real-time information collected throughout each customer’s journey into a profile.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Operational Excellence Experience: During his 15 years at Workday, Robinson oversaw global go-to-market efforts and drove continued revenue growth in emerging markets, which is expected to aid Twilio in accelerating its platform expansion and customer retention.
- Strategic Transformation Support: Twilio CEO Khozema Shipchandler noted that Robinson's expertise will support the company's transformation in digital interactions, ensuring Twilio's foundational infrastructure role within the tech stack.
- Forward-Looking Statements: Twilio's statement highlights that future growth and market leadership face risks and uncertainties, and Robinson's leadership will help navigate these challenges to achieve the company's long-term objectives.
See More
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- Accelerated Onboarding: The new system allows customers to register 10DLC numbers in days instead of weeks, eliminating reliance on third-party aggregators, which significantly speeds up customer onboarding and enhances market responsiveness.
- Traffic Optimization and Reliability: Twilio's Traffic Optimization Engine intelligently manages traffic across networks, ensuring low latency and high deliverability, further solidifying its leadership position in the North American market, with expectations to handle over 2.5 trillion interactions.
- Compliance and Security: Twilio's direct connections provide businesses with a secure and compliant infrastructure that supports real-time interactions, meeting the high standards required for modern enterprise digital communications and facilitating their digital transformation initiatives.
See More
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- Asset Allocation Shift: The sale eliminated Asbury's 5% allocation in 13D's assets under management, reflecting a reevaluation of its investment portfolio amidst changing market conditions.
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- Industry Outlook: While Asbury has shown stable growth over the past two years, rising new vehicle costs and high valuations may pressure demand and margins, prompting 13D Management to seek more attractive investment opportunities.
See More
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- Asset Allocation Shift: Asbury accounted for 5.0% of 13D's reportable assets in Q3, but the complete divestment in Q4 suggests a significant decline in the fund's confidence in the company.
- Market Environment Impact: Although Asbury's price-to-earnings ratio stands at 7, indicating relative cheapness, rising costs of new vehicles and a pullback in consumer spending could pressure future demand and margins, prompting 13D to seek more attractive investment opportunities.
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See More
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- Voice AI Application Outlook: The analyst notes that latency improvements for Voice AI use cases are in the early stages, and as latency decreases, Twilio's use case growth is expected to be exponential, further driving business expansion.
- Market Growth Confidence: Despite a slowdown in CPaaS market growth, Twilio is confident in achieving over 12% revenue growth, supported by new market verticals and an impressive go-to-market engine, showcasing strong execution potential.
- Significant Competitive Advantage: Twilio's developer-led sales strategy and deep technical foundation for building AI solutions enable it to navigate global competition and gross margin pressures in large messaging deals by leveraging innovation and strong customer relationships to avoid price wars.
See More
