11:38 AM EDT, 03/18/2025 (MT Newswires) -- Twilio's ( TWLO ) efforts to scale self-serve adoption, drive cross-selling, and expand into AI-driven services could position the company for revenue growth and operating margins above current targets, Oppenheimer said in a report Tuesday.

Following investor meetings with Twilio's ( TWLO ) management, analysts at Oppenheimer said they see the company entering a new phase that could support revenue growth beyond its 7-8% target for 2025 and operating margins above the 21-22% goal for 2027.

Twilio ( TWLO ) is making more products available for self-serve fulfillment, while enhancing its sales approach to drive cross-selling. Self-serve demand is growing at a double-digit rate, and only 37% of customers currently use multiple products, presenting an opportunity to expand adoption of offerings such as email, voice, and AI-powered services, according to the note.

Additionally, Twilio ( TWLO ) is embedding its segment capabilities into its communication platform, positioning it to capitalize on AI-driven customer engagement. Initiatives such as Conversation Relay and Voice Intelligence could generate incremental messaging and voice traffic, supporting growth.

Oppenheimer noted that Twilio's ( TWLO ) sales quotas for 2025 have been set at double-digit growth, reinforcing expectations for performance above management's baseline targets. The firm also highlighted Twilio's ( TWLO ) renewed focus on core communication technology, disciplined capital allocation, and buybacks as factors supporting long-term margin expansion.

Oppenheimer maintained outperform rating on Twilio ( TWLO ), with a price target of $160.

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