TWILIO INC - A (TWLO) Stock Fundamental Analysis

USA • New York Stock Exchange • NYSE:TWLO • US90138F1021

115.02 USD
+5.97 (+5.47%)
At close: Feb 6, 2026
114.97 USD
-0.05 (-0.04%)
After Hours: 2/6/2026, 8:09:32 PM
Overview Stock Chart Technical Analysis Fundamental Analysis Analyst Ratings Earnings Estimates Financials Ownership News
Fundamental Rating

5

Overall TWLO gets a fundamental rating of 5 out of 10. We evaluated TWLO against 87 industry peers in the IT Services industry. No worries on liquidiy or solvency for TWLO as it has an excellent financial health rating, but there are worries on the profitability. TWLO is not priced too expensively while it is growing strongly. Keep and eye on this one!


Dividend Valuation Growth Profitability Health

3

1. Profitability

1.1 Basic Checks

  • In the past year TWLO was profitable.
  • TWLO had a positive operating cash flow in the past year.
  • In the past 5 years TWLO always reported negative net income.
  • In multiple years TWLO reported negative operating cash flow during the last 5 years.
TWLO Yearly Net Income VS EBIT VS OCF VS FCFTWLO Yearly Net Income VS EBIT VS OCF VS FCFYearly Net Income VS EBIT VS OCF VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 500M -500M -1B

1.2 Ratios

  • TWLO has a Return On Assets of 0.69%. This is comparable to the rest of the industry: TWLO outperforms 48.28% of its industry peers.
  • TWLO has a Return On Equity (0.85%) which is comparable to the rest of the industry.
  • TWLO has a Return On Invested Capital of 0.97%. This is comparable to the rest of the industry: TWLO outperforms 48.28% of its industry peers.
Industry RankSector Rank
ROA 0.69%
ROE 0.85%
ROIC 0.97%
ROA(3y)-6.62%
ROA(5y)-6.47%
ROE(3y)-7.9%
ROE(5y)-7.62%
ROIC(3y)N/A
ROIC(5y)N/A
TWLO Yearly ROA, ROE, ROICTWLO Yearly ROA, ROE, ROICYearly ROA, ROE, ROIC 2016 2017 2018 2019 2020 2021 2022 2023 2024 -5 -10 -15 -20 -25

1.3 Margins

  • TWLO's Profit Margin of 1.37% is in line compared to the rest of the industry. TWLO outperforms 48.28% of its industry peers.
  • TWLO's Operating Margin of 2.24% is in line compared to the rest of the industry. TWLO outperforms 45.98% of its industry peers.
  • TWLO has a better Gross Margin (49.35%) than 70.11% of its industry peers.
  • In the last couple of years the Gross Margin of TWLO has remained more or less at the same level.
Industry RankSector Rank
OM 2.24%
PM (TTM) 1.37%
GM 49.35%
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.45%
GM growth 5Y-0.98%
TWLO Yearly Profit, Operating, Gross MarginsTWLO Yearly Profit, Operating, Gross MarginsYearly Profit, Operating, Gross Margins 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 20 -20 40

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ROAROEROICOperating and Profit MarginShow most profitable peers

8

2. Health

2.1 Basic Checks

  • The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so TWLO is destroying value.
  • The number of shares outstanding for TWLO has been reduced compared to 1 year ago.
  • Compared to 5 years ago, TWLO has more shares outstanding
  • TWLO has a worse debt/assets ratio than last year.
TWLO Yearly Shares OutstandingTWLO Yearly Shares OutstandingYearly Shares Outstanding 2016 2017 2018 2019 2020 2021 2022 2023 2024 50M 100M 150M
TWLO Yearly Total Debt VS Total AssetsTWLO Yearly Total Debt VS Total AssetsYearly Total Debt VS Total Assets 2016 2017 2018 2019 2020 2021 2022 2023 2024 2B 4B 6B 8B 10B

2.2 Solvency

  • An Altman-Z score of 5.47 indicates that TWLO is not in any danger for bankruptcy at the moment.
  • TWLO has a Altman-Z score of 5.47. This is amongst the best in the industry. TWLO outperforms 82.76% of its industry peers.
  • TWLO has a debt to FCF ratio of 1.27. This is a very positive value and a sign of high solvency as it would only need 1.27 years to pay back of all of its debts.
  • TWLO's Debt to FCF ratio of 1.27 is fine compared to the rest of the industry. TWLO outperforms 75.86% of its industry peers.
  • A Debt/Equity ratio of 0.13 indicates that TWLO is not too dependend on debt financing.
  • TWLO's Debt to Equity ratio of 0.13 is fine compared to the rest of the industry. TWLO outperforms 67.82% of its industry peers.
Industry RankSector Rank
Debt/Equity 0.13
Debt/FCF 1.27
Altman-Z 5.47
ROIC/WACC0.11
WACC9.16%
TWLO Yearly LT Debt VS Equity VS FCFTWLO Yearly LT Debt VS Equity VS FCFYearly LT Debt VS Equity VS FCF 2016 2017 2018 2019 2020 2021 2022 2023 2024 0 2B 4B 6B 8B 10B

2.3 Liquidity

  • TWLO has a Current Ratio of 4.68. This indicates that TWLO is financially healthy and has no problem in meeting its short term obligations.
  • TWLO has a Current ratio of 4.68. This is amongst the best in the industry. TWLO outperforms 87.36% of its industry peers.
  • A Quick Ratio of 4.68 indicates that TWLO has no problem at all paying its short term obligations.
  • Looking at the Quick ratio, with a value of 4.68, TWLO belongs to the top of the industry, outperforming 87.36% of the companies in the same industry.
Industry RankSector Rank
Current Ratio 4.68
Quick Ratio 4.68
TWLO Yearly Current Assets VS Current LiabilitesTWLO Yearly Current Assets VS Current LiabilitesYearly Current Assets VS Current Liabilites 2016 2017 2018 2019 2020 2021 2022 2023 2024 1B 2B 3B 4B 5B

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WACCDebt/EquityHow to determine the health of a companyAltman-Z scoreShow peers with great health

8

3. Growth

3.1 Past

  • The Earnings Per Share has grown by an impressive 29.01% over the past year.
  • The Earnings Per Share has been growing by 89.75% on average over the past years. This is a very strong growth
  • The Revenue has grown by 12.84% in the past year. This is quite good.
  • The Revenue has been growing by 31.48% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)29.01%
EPS 3YN/A
EPS 5Y89.75%
EPS Q2Q%22.55%
Revenue 1Y (TTM)12.84%
Revenue growth 3Y16.19%
Revenue growth 5Y31.48%
Sales Q2Q%14.71%

3.2 Future

  • Based on estimates for the next years, TWLO will show a quite strong growth in Earnings Per Share. The EPS will grow by 16.65% on average per year.
  • The Revenue is expected to grow by 8.41% on average over the next years. This is quite good.
EPS Next Y32.58%
EPS Next 2Y22.58%
EPS Next 3Y20.01%
EPS Next 5Y16.65%
Revenue Next Year13.02%
Revenue Next 2Y10.88%
Revenue Next 3Y9.84%
Revenue Next 5Y8.41%

3.3 Evolution

  • The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
  • When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
TWLO Yearly Revenue VS EstimatesTWLO Yearly Revenue VS EstimatesYearly Revenue VS Estimates 2015 2017 2019 2021 2023 2025 2027 2029 2031 2033 2B 4B 6B 8B
TWLO Yearly EPS VS EstimatesTWLO Yearly EPS VS EstimatesYearly EPS VS Estimates 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032 2033 0 5 10

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Find the best growth stocksShow best growing peers

4

4. Valuation

4.1 Price/Earnings Ratio

  • With a Price/Earnings ratio of 25.11, TWLO can be considered very expensive at the moment.
  • TWLO's Price/Earnings is on the same level as the industry average.
  • When comparing the Price/Earnings ratio of TWLO to the average of the S&P500 Index (27.93), we can say TWLO is valued inline with the index average.
  • With a Price/Forward Earnings ratio of 20.74, TWLO is valued on the expensive side.
  • TWLO's Price/Forward Earnings ratio is in line with the industry average.
  • The average S&P500 Price/Forward Earnings ratio is at 27.77. TWLO is valued slightly cheaper when compared to this.
Industry RankSector Rank
PE 25.11
Fwd PE 20.74
TWLO Price Earnings VS Forward Price EarningsTWLO Price Earnings VS Forward Price Earnings ChartPrice Earnings - Forward Price Earnings PE FPE 10 20 30

4.2 Price Multiples

  • The rest of the industry has a similar Enterprise Value to EBITDA ratio as TWLO.
  • Compared to the rest of the industry, the Price/Free Cash Flow ratio of TWLO is on the same level as its industry peers.
Industry RankSector Rank
P/FCF 22.28
EV/EBITDA 46.36
TWLO Per share dataTWLO EPS, Sales, OCF, FCF, BookValue per sharePer Share Data Per Share 10 20 30 40 50

4.3 Compensation for Growth

  • The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
  • A more expensive valuation may be justified as TWLO's earnings are expected to grow with 20.01% in the coming years.
PEG (NY)0.77
PEG (5Y)0.28
EPS Next 2Y22.58%
EPS Next 3Y20.01%

More info and screens

Price/EarningsPrice/FCFFCF per shareEV/EBITDAPEG RATIOShow best valued peers

0

5. Dividend

5.1 Amount

  • No dividends for TWLO!.
Industry RankSector Rank
Dividend Yield 0%

More info and screens

Find the best dividend stocksShow peers with best dividend

TWILIO INC - A

NYSE:TWLO (2/6/2026, 8:09:32 PM)

After market: 114.97 -0.05 (-0.04%)

115.02

+5.97 (+5.47%)

Chartmill FA Rating
GICS IndustryGroupSoftware & Services
GICS IndustryIT Services
Earnings (Last)10-30
Earnings (Next)02-12
Inst Owners97.77%
Inst Owner Change-3.99%
Ins Owners0.11%
Ins Owner Change-3.33%
Market Cap17.44B
Revenue(TTM)4.90B
Net Income(TTM)67.22M
Analysts78.92
Price Target150.65 (30.98%)
Short Float %4.09%
Short Ratio2.73
Dividend
Industry RankSector Rank
Dividend Yield 0%
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)12.27%
Min EPS beat(2)11.49%
Max EPS beat(2)13.05%
EPS beat(4)3
Avg EPS beat(4)9.41%
Min EPS beat(4)-5.36%
Max EPS beat(4)18.47%
EPS beat(8)7
Avg EPS beat(8)19.26%
EPS beat(12)11
Avg EPS beat(12)63%
EPS beat(16)15
Avg EPS beat(16)58.61%
Revenue beat(2)2
Avg Revenue beat(2)1.51%
Min Revenue beat(2)1.36%
Max Revenue beat(2)1.67%
Revenue beat(4)3
Avg Revenue beat(4)0.73%
Min Revenue beat(4)-1.01%
Max Revenue beat(4)1.67%
Revenue beat(8)6
Avg Revenue beat(8)0.7%
Revenue beat(12)9
Avg Revenue beat(12)0.83%
Revenue beat(16)11
Avg Revenue beat(16)1.04%
PT rev (1m)6.59%
PT rev (3m)13.83%
EPS NQ rev (1m)0.04%
EPS NQ rev (3m)0.34%
EPS NY rev (1m)0%
EPS NY rev (3m)0.6%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)0.15%
Revenue NY rev (1m)0%
Revenue NY rev (3m)0.27%
Valuation
Industry RankSector Rank
PE 25.11
Fwd PE 20.74
P/S 3.56
P/FCF 22.28
P/OCF 20.76
P/B 2.21
P/tB 6.99
EV/EBITDA 46.36
EPS(TTM)4.58
EY3.98%
EPS(NY)5.54
Fwd EY4.82%
FCF(TTM)5.16
FCFY4.49%
OCF(TTM)5.54
OCFY4.82%
SpS32.29
BVpS52.08
TBVpS16.45
PEG (NY)0.77
PEG (5Y)0.28
Graham Number73.26
Profitability
Industry RankSector Rank
ROA 0.69%
ROE 0.85%
ROCE 1.22%
ROIC 0.97%
ROICexc 1.33%
ROICexgc 7.8%
OM 2.24%
PM (TTM) 1.37%
GM 49.35%
FCFM 15.99%
ROA(3y)-6.62%
ROA(5y)-6.47%
ROE(3y)-7.9%
ROE(5y)-7.62%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y1.45%
GM growth 5Y-0.98%
F-Score6
Asset Turnover0.5
Health
Industry RankSector Rank
Debt/Equity 0.13
Debt/FCF 1.27
Debt/EBITDA 3.23
Cap/Depr 29%
Cap/Sales 1.17%
Interest Coverage 250
Cash Conversion 273.39%
Profit Quality 1164.55%
Current Ratio 4.68
Quick Ratio 4.68
Altman-Z 5.47
F-Score6
WACC9.16%
ROIC/WACC0.11
Cap/Depr(3y)25.09%
Cap/Depr(5y)29.93%
Cap/Sales(3y)1.55%
Cap/Sales(5y)2.23%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)29.01%
EPS 3YN/A
EPS 5Y89.75%
EPS Q2Q%22.55%
EPS Next Y32.58%
EPS Next 2Y22.58%
EPS Next 3Y20.01%
EPS Next 5Y16.65%
Revenue 1Y (TTM)12.84%
Revenue growth 3Y16.19%
Revenue growth 5Y31.48%
Sales Q2Q%14.71%
Revenue Next Year13.02%
Revenue Next 2Y10.88%
Revenue Next 3Y9.84%
Revenue Next 5Y8.41%
EBIT growth 1Y205.21%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year44.43%
EBIT Next 3Y24.25%
EBIT Next 5YN/A
FCF growth 1Y897.19%
FCF growth 3YN/A
FCF growth 5YN/A
OCF growth 1Y528.37%
OCF growth 3YN/A
OCF growth 5Y119.52%

TWILIO INC - A / TWLO FAQ

Can you provide the ChartMill fundamental rating for TWILIO INC - A?

ChartMill assigns a fundamental rating of 5 / 10 to TWLO.


Can you provide the valuation status for TWILIO INC - A?

ChartMill assigns a valuation rating of 4 / 10 to TWILIO INC - A (TWLO). This can be considered as Fairly Valued.


What is the profitability of TWLO stock?

TWILIO INC - A (TWLO) has a profitability rating of 3 / 10.


Can you provide the financial health for TWLO stock?

The financial health rating of TWILIO INC - A (TWLO) is 8 / 10.