Jefferies says investor concerns around Twilio are rising as the company's shares reach new highs, even as enthusiasm grows over its potential to benefit from wider adoption of voice-based AI. Twilio shares are down 2% in Wednesday trading but have gained 95% so far this year. The brokerage said the key questions ahead of Twilio's third-quarter results, expected on 30th October, are whether gross profit growth can accelerate, whether personal AI assistants will drive demand for voice AI infrastructure, and whether large cloud providers could pose a greater competitive threat. Jefferies expects gross profit growth of 19% in the third quarter and said growth of 20% or more is possible, helped by a stronger business environment and the continued rollout of higher-margin voice AI revenue. The brokerage said it does not see a near-term threat to Twilio from major cloud providers, arguing that the company's role in voice AI extends beyond the services provided by ElevenLabs.
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Jefferies Financial Group IncTwilio IncJefferies flags rising investor concerns and lays out key questions ahead of Twilio's Q3 earnings, with gross profit growth expectations of 19%.
