Why did Twilio stock slip today? More analysts fret about recession impact

Tallinn, Estonia - 04.08.2021: Twilio building in Tallinn.

jaanalisette/iStock Editorial via Getty Images

  • Twilio stock (NYSE:TWLO) fell 8.8% Tuesday, among the worst performers among all tech stocks, as some analyst caution built up around the prospect of a recession hitting the sector’s names.
  • Macquarie downgraded TWLO stock to Neutral from a previous Outperform, seeing recession as “likely” and presenting risks to the shares.
  • “We think upside is capped by macro headwinds to customer engagement and marketing tech, and a market demanding profitable growth,” analyst Frederick Havemeyer said.
  • That downgrade was accompanied by a price target slashed to $96 from $250, dropping implied upside to 22%.
  • Meanwhile, Jefferies has reiterated its Buy rating but trimmed its price target to $110 from $130, suggesting there’s nearly 40% upside left in the stock.
  • It’s also seen lower targets of late from Cowen, Piper Sandler and Morgan Stanley.

Related post