Twilio Stock Rises On Q3 Earnings Beat, Raised Guidance

Core Insights - Twilio reported strong third-quarter earnings and revenue, exceeding analyst expectations, and raised its full-year revenue outlook [1][2] - The company announced the acquisition of AI startup Stytch, although financial terms were not disclosed [2] Financial Performance - Twilio's adjusted earnings for the September quarter were $1.25 per share, a 16% increase year-over-year, while revenue rose 15% to $1.3 billion [1] - Analysts had predicted adjusted earnings of $1.08 per share on revenue of $1.254 billion [2] - For the current quarter ending in December, Twilio expects revenue of $1.315 billion, surpassing analyst projections of $1.285 billion [2] - The company forecasts a full-year revenue growth of 12.5% for 2025, an increase from the previous estimate of 10.5% [2] Stock Performance - Following the earnings report, Twilio's stock rose over 9% to $124 in extended trading, with a 5% increase in 2024 prior to the report [3] - Twilio holds a Composite Rating of 80 out of a best-possible 99, indicating strong technical performance [4] - The stock has an Accumulation/Distribution Rating of B, suggesting moderate institutional buying [4] Business Operations - Twilio provides tools for app developers to integrate voice, text messaging, and video into their products, enhancing communication for cloud-based applications [3] - The company has made significant acquisitions in the past, including SendGrid in 2018 and Segment in 2020 [3]