Twilio’s AI Initiative: Can It Drive Revenue Growth in Communications?

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Twilio Inc. (TWLO) is enhancing its customer engagement capabilities through artificial intelligence (AI) integration and collaborations, launching a unified customer engagement platform that includes messaging tools and a customer data platform. The platform, which incorporates AI to personalize automated interactions, supports multiple channels like voice and SMS. Twilio’s communications division saw a 13% year-over-year growth, reaching $1.1 billion in the first quarter of 2025.

In 2025, Twilio anticipates organic revenue growth between 7.5% and 8.5%, with a Zacks Consensus Estimate pegging revenues at $4.81 billion, indicating year-over-year growth of 7.9%. The company’s forward price-to-sales ratio stands at 3.58, below the industry average of 5.62.

Currently, Twilio holds a Zacks Rank #1 (Strong Buy), with a consensus earnings estimate for 2025 at $4.49 per share, suggesting a year-over-year growth of 22.34%.

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