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TWLO

TWLO

Technology · Software - Infrastructure

$202.00-1.02%
Mkt Cap: $30.66B

Performance

TWLO (TWLO) Stock Analysis 2026

Rule-based · Updated daily · Not financial advice

TWLO (TWLO) operates in the Software - Infrastructure space within the Technology sector. With a market cap of $30.7B, it qualifies as a mid-cap company. Growth is moderate and the business remains profitable, offering a balanced risk/reward profile compared to high-multiple peers.

Bull Case4
  • Forward P/E (30.5×) is lower than trailing P/E (301.5×) — analysts expect earnings to improve
  • Revenue grew 20% year-over-year — exceptional top-line expansion
  • Earnings grew 375% YoY — bottom-line is expanding fast
  • Current ratio of 4.7× — ample short-term liquidity
Bear Case4
  • High P/E of 301.5× implies high expectations already priced in — leaves little room for disappointment
  • Thin profit margin of 2.0% — little buffer against cost increases
  • High debt-to-equity of 13.72× increases financial risk, especially with elevated interest rates
  • No dividend history — total return depends entirely on price appreciation

Verdict

Hold

Mixed signals — strengths and risks roughly balance. Wait for a clearer catalyst.

AI Insight

Powered by Claude

AI-generated analysis for informational purposes only. Not financial advice.

Related Articles

Revenue & Results

Dividends

This stock does not pay dividends.

If You Had Invested…

Hypothetical return based on historical prices

$

* Dividend reinvestment calculated at ex-date price. For informational purposes only.

Earnings

EPS (TTM)

$0.67

P/E (TTM)

301.5

Fwd P/E

30.5

Earnings History

SEC EDGAR · official filings

SEC filings

SEC Filings

Official EDGAR documents

All filings

Key Statistics

Valuation

Market Cap$30.66B
P/E Ratio301.49
Forward P/E30.51
P/B Ratio
PEG Ratio0.38
EPS (TTM)$0.67

Trading

Open
Day High
Day Low
52W High$238.48
52W Low$91.84
Volume
Avg Volume (3M)2,626,368
Beta1.38

Dividends

Dividend Yield
Annual Rate
Ex-Div Date
Payout Ratio0.00%

Profitability

Profit Margin1.96%
Operating Margin7.65%
ROE1.32%
ROA1.67%
Revenue Growth20.00%
Earnings Growth375.00%

Balance Sheet

Total Revenue$5.30B
Total Debt$1.07B
Debt / Equity13.72
Current Ratio4.66
Free Cash Flow$879.87M

Fair Value Estimates

Current price: $202.00

Graham Number

√(22.5 × EPS × Book Value)

$27.78

-86.2% downside

Benjamin Graham's intrinsic value formula. Assumes a fair stock trades at no more than 22.5× the product of EPS and book value per share.

Bazin Ceiling Price

Avg. Annual DPS (5Y) ÷ 6%

N/A

Décio Bazin's dividend-based ceiling. The max price you should pay so that dividends alone deliver at least 6% annual yield on your cost basis.

These are simplified estimates. Not financial advice.

Buy & Hold Checklist

Quality criteria for long-term holding

5/10

63% score

Pays dividends

No dividend history found

Dividend consistency (5Y+)

Uninterrupted dividend payments for at least 5 years

ROE above 10%

1.3%

Return on equity — measures how efficiently capital is used

Positive profit margin

2.0%

Net profit margin must be positive — company earns more than it spends

Revenue growth (annual)

+20.0%

Annual revenue must be growing compared to the prior year

Earnings growth (annual)

+375.0%

Annual earnings must be growing compared to the prior year

Debt/Equity below 2×

13.72×

Low financial leverage reduces risk of distress

Current ratio above 1

4.66×

Short-term assets must cover short-term liabilities

Daily liquidity above $5M

$531M/day

High trading volume ensures easy entry and exit

Dividend yield above 0%

Stock must distribute income to shareholders

Related Assets

Technology

About TWLO

Twilio Inc., together with its subsidiaries, provides customer engagement platform solutions in the United States and internationally. The company provides various application programming interfaces and software solutions for communications between customers and end users, including messaging, voice, email, video interactions, digital engagement centers, marketing campaigns, and user authentication and identity solutions. It also offers software products to build direct and personalized relationships with their end users, such as Segment, a platform that provides tools to harness the power of contextual data by unifying real-time information collected throughout each customer's journey into a unique profile. Twilio Inc. was incorporated in 2008 and is headquartered in San Francisco, California.

Sector

Technology

Industry

Software - Infrastructure

Location

San Francisco, United States

Employees

5,558