Twilio is a leader in a burgeoning market

Article Excerpt

Twilio benefited from increased demand during the pandemic. But its business model and leading-edge technology also set it up for longer-term success. We recommend this stock as a Power Buy. TWILIO INC., $203.69, is a buy. The company (Nasdaq symbol TWLO; TSINetwork Rating: Extra Risk) (www.twilio.com; Shares outstanding: 168.4 million; Market cap: $37.0 billion; No dividends paid) offers a key service to software developers who create mobile apps. Its own software is used to connect apps to essential functions elsewhere on a device, including dealing with phone calls and messaging. Those applications explain why consumers can text or call an Uber driver, for instance, without actually sharing phone numbers. Twilio’s biggest customers include Uber and Facebook Inc.’s WhatsApp. The company went public on June 22, 2016, at $15 a share. It sold 10 million shares to raise $150 million. Twilio continues to make acquisitions to supplement its own R&D. Most recently, in July 2021, it completed the acquisition of Seattle-based business-texting startup Zipwhip for $850 million. Founded in 2007, Zipwhip…