Twilio upgraded to Neutral by BofA with price target raised to $190
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 06 2026
0mins
Should l Buy TWLO?
Source: Benzinga
Twilio Inc. shares rose by 4.69% as the stock reached a 52-week high.
Bank of America upgraded Twilio from underperform to neutral and increased its price target from $110 to $190, reflecting a significant increase in the company's valuation and expectations for future performance. This upgrade is based on the belief that Twilio's strategic positioning in AI will lead to positive growth inflections for the company.
This upgrade by Bank of America signals increased confidence in Twilio's future prospects, particularly in the rapidly evolving AI landscape, which could attract more investors and drive further stock appreciation.
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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: 141.590
Low
100.00
Averages
146.28
High
185.00
Current: 141.590
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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- Oil Price Surge Affects Markets: WTI crude oil prices rose over 3% due to the blockade of the Strait of Hormuz, potentially exacerbating the global energy crisis and influencing market inflation expectations, thereby affecting investor risk appetite.
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- AI Strategic Positioning: Analysts noted that Twilio is experiencing positive inflections in its strategic positioning within artificial intelligence, expecting it to become a key infrastructure layer for AI-driven voice and messaging applications, emphasizing its advantages in scale and reliability.
- Product Innovation: Twilio's products, such as ConversationRelay and Conversational Intelligence, aim to generate human-like speech and provide AI-based transcription and language analysis services for phone calls, positioning them as the backbone of future digital experiences and meeting enterprise needs for voice AI.
- Profit Growth Expectations: Bank of America anticipates Twilio's gross profits to grow by 10% year-over-year for fiscal 2028, highlighting that partnerships with leading AI startups will further enhance its capabilities, allowing the company to maintain a competitive edge in a crowded market.
See More
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- Cash Flow Improvement: Analysts expect Twilio's free cash flow margin to expand to 21.9% in FY28E from 18.6% in FY26E, demonstrating ongoing improvements in profitability and cash flow management, which could enhance investor confidence.
- GitLab Downgrade: Bank of America downgraded GitLab from Buy to Neutral, indicating that the risk-reward profile is now balanced until there is strong evidence that its orchestration software development strategy is effective, reflecting market caution regarding its growth outlook.
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See More
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- Biogen's Multiple Catalysts: UBS upgraded Biogen to buy with a price target of $225, citing increasing confidence in several pipeline catalysts expected to drive stock price higher over the next 12-15 months.
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See More
