Twilio beats Q1 revenue estimates, raises FY26 guidance, shares jump 24% post-earnings

Twilio reported its strongest revenue beat in 11 quarters for Q1 FY26, leading to a 24% surge in its stock price after earnings. The company raised its full-year 2026 revenue guidance to 14.5%, driven by accelerating growth, improved net retention, and stable margins. Twilio is increasingly seen as a key player in AI infrastructure, benefiting from growth in Voice and Messaging services. Despite these positive fundamentals, the analyst downgraded the stock to 'hold' due to a less attractive risk-reward profile after the recent rally, suggesting investors wait for a pullback before buying.