Twilio price target raised to $89 from $77 at KeyBanc

KeyBanc analyst Thomas Blakey raised the firm’s price target on Twilio to $89 from $77 and keeps an Overweight rating on the shares post a Q4 beat driven by 25% growth in Software compared to total organic growth of 21% in the quarter, with gross margin in line and EBIT margin handily beating estimates driven by restructuring announced in September 2022. The firm continues to view Twilio Communication and Twilio Data & Applications as complementary and as driving an increased value proposition, together adding to the probability of success in executing on increasing Twilio to a higher-gross-margin, and now much higher operating margin, customer engagement platform solutions provider over the mid-term.