Ginkgo Bioworks (NYSE:DNA) Rating Lowered to Sell at Wall Street Zen

Key Points

• Wall Street Zen downgraded Ginkgo Bioworks from “hold” to “sell,” adding to a cautious analyst backdrop. Weiss Ratings also reaffirmed a “sell (d-)” rating, leaving the stock with a consensus rating of “Reduce.”
• The stock fell 4.9% and opened at $7.88, with a market cap of about $515 million. It has traded between $5.37 and $17.58 over the past 12 months.
• Recent earnings disappointed: Ginkgo reported an EPS loss of $1.39, worse than estimates, and revenue of $19 million versus expectations of $42.93 million. The company continues to post deep losses with a negative net margin and negative return on equity.

Ginkgo Bioworks (NYSE:DNA - Get Free Report) was downgraded by analysts at Wall Street Zen from a "hold" rating to a "sell" rating in a report released on Saturday.

Separately, Weiss Ratings reaffirmed a "sell (d-)" rating on shares of Ginkgo Bioworks in a report on Monday, April 20th. One research analyst has rated the stock with a Buy rating and two have assigned a Sell rating to the stock. According to MarketBeat.com, Ginkgo Bioworks presently has a consensus rating of "Reduce" and an average target price of $8.50.

Ginkgo Bioworks Trading Down 4.9%

Ginkgo Bioworks stock opened at $7.88 on Friday. Ginkgo Bioworks has a 12 month low of $5.37 and a 12 month high of $17.58. The stock has a fifty day simple moving average of $8.84 and a two-hundred day simple moving average of $8.42. The firm has a market cap of $514.98 million, a price-to-earnings ratio of -1.47 and a beta of 1.77.

Ginkgo Bioworks (NYSE:DNA - Get Free Report) last announced its quarterly earnings results on Thursday, May 7th. The company reported ($1.39) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($1.21) by ($0.18). Ginkgo Bioworks had a negative net margin of 215.41% and a negative return on equity of 56.08%. The business had revenue of $19.00 million for the quarter, compared to the consensus estimate of $42.93 million.

Institutional Trading of Ginkgo Bioworks

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in DNA. Millennium Management LLC raised its position in Ginkgo Bioworks by 113.1% in the first quarter. Millennium Management LLC now owns 1,427,600 shares of the company's stock worth $8,137,000 after acquiring an additional 757,535 shares during the period. Prescott Group Capital Management L.L.C. bought a new stake in shares of Ginkgo Bioworks during the 4th quarter valued at $4,503,000. State Street Corp increased its stake in shares of Ginkgo Bioworks by 38.4% in the 4th quarter. State Street Corp now owns 1,292,071 shares of the company's stock worth $10,737,000 after purchasing an additional 358,231 shares in the last quarter. Northwestern Mutual Wealth Management Co. raised its holdings in Ginkgo Bioworks by 28,457.3% in the 4th quarter. Northwestern Mutual Wealth Management Co. now owns 228,744 shares of the company's stock worth $1,901,000 after purchasing an additional 227,943 shares during the period. Finally, UBS Group AG raised its holdings in Ginkgo Bioworks by 86.4% in the 4th quarter. UBS Group AG now owns 489,418 shares of the company's stock worth $4,067,000 after purchasing an additional 226,861 shares during the period. 78.63% of the stock is owned by hedge funds and other institutional investors.

About Ginkgo Bioworks

Ginkgo Bioworks, Inc is a synthetic biology company that designs custom microbes for customers across a range of industries. Utilizing a proprietary organism foundry platform, the company engineers cells to produce high-value chemicals, enzymes, and other biological materials. By integrating automation, data analytics and machine learning, Ginkgo Bioworks seeks to accelerate the development of biologically derived solutions at industrial scale.

The company's services span the entire development cycle, from genetic design and strain optimization to fermentation and downstream processing.

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