24H|Twilio Rockets over 16%, Q2 Earnings Double Beat with Strong Q3 Guidance

Market Focus08-07 09:34

On August 7, Twilio surged 16% overnight, trading at $224.99/share. The rally was driven by the company's second-quarter earnings report that significantly exceeded market expectations on both revenue and earnings.

Twilio reported Q2 adjusted EPS of $1.47, beating the consensus estimate of $1.32 by 11.4%, and representing a 23.5% increase from $1.19 a year earlier. Revenue came in at $1.50 billion versus the $1.43 billion expected, up 22% year-over-year from $1.23 billion. For Q3, the company guided adjusted EPS of $1.42-$1.47 on revenue of $1.51-$1.52 billion, both above analyst expectations of $1.40 EPS and $1.47 billion revenue.

This marks the second consecutive quarter of substantial beats, following a strong Q1 that prompted the company to raise full-year revenue growth guidance to 14%-15%. AI-driven messaging and voice consumption demand continues to fuel growth. Prior to the report, multiple institutions raised price targets, with Stifel upgrading to Buy at $260, Tigress at $255, and BofA at $235.

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