/The%20Twilio%20logo%20on%20a%20smartphone%20screen%20with%20stock%20charts%20in%20the%20background_%20Image%20by%20Piotr%20Swat%20via%20Shutterstock_.jpg)
Twilio (TWLO) has been arguably the most volatile of the software bunch, but new analyst coverage is saying its story is just beginning to round the corner. Rosenblatt Securities initiated coverage with a “Buy” and $140 target and cited Twilio’s “critical importance as the ‘communications backbone for the AI ecosystem’ and the company’s growing focus on shareholder return.” That endorsement sent shares up slightly within last Friday’s premarket movement.
The results arrive amid real financial acceleration for Twilio. A decade-long investment is finally paying off with accelerating revenue growth, widening margins, and material free cash flow generation. The key question for investors is if it is a sustainable shift that can recover Twilio back into the favor of Wall Street after a rocky two years of underperformance.
