Twilio downgraded to Underperform from Sector Perform at RBC Capital

RBC Capital downgraded Twilio to Underperform from Sector Perform with a price target of $50, down from $55. The shares reflect “too much optimism,” which creates an unfavorable risk/reward, the analyst tells investors in a research note. The firm cites growing commoditization in SMS, the company’s mis-execution of its Segment asset, and a pause in its activist story for the downgrade.