Ginkgo Bioworks (NYSE:DNA) Stock Price Breaks Below 50 Day Moving Average - Time to Sell?

Key Points

• Ginkgo Bioworks shares slipped below their 50-day moving average, trading as low as $9.53 and last changing hands at $10.225, just under the $10.24 average.
• Analyst sentiment remains cautious: MarketBeat reports an average “Reduce” rating and a $7 consensus price target, despite some firms upgrading the stock to “Hold.”
• The company beat quarterly estimates, reporting an adjusted loss of $0.64 per share versus expectations of $0.68 and revenue of $27.71 million versus a $21.50 million consensus.

Shares of Ginkgo Bioworks Holdings, Inc. (NYSE:DNA - Get Free Report) passed below its 50 day moving average during trading on Thursday. The stock has a 50 day moving average of $10.24 and traded as low as $9.53. Ginkgo Bioworks shares last traded at $10.2250, with a volume of 2,491,962 shares changing hands.

Analyst Upgrades and Downgrades

Several equities analysts have recently issued reports on DNA shares. Wall Street Zen upgraded Ginkgo Bioworks from a "sell" rating to a "hold" rating in a research note on Saturday, September 26th. Zacks Research raised Ginkgo Bioworks to a "hold" rating in a research note on Monday, August 17th. TD Cowen increased their target price on shares of Ginkgo Bioworks from $9.00 to $11.00 and gave the stock a "hold" rating in a report on Tuesday, October 13th. Weiss Ratings restated a "sell (d-)" rating on shares of Ginkgo Bioworks in a research note on Thursday, October 15th. Finally, BTIG Research reaffirmed a "sell" rating and set a $5.00 price target on shares of Ginkgo Bioworks in a report on Friday, September 4th. Two investment analysts have rated the stock with a Hold rating and two have given a Sell rating to the stock. According to MarketBeat.com, the stock currently has an average rating of "Reduce" and a consensus target price of $7.00.

Ginkgo Bioworks Price Performance

The company has a market capitalization of $688.55 million, a P/E ratio of -2.43 and a beta of 1.74. The company has a fifty day moving average price of $10.24 and a two-hundred day moving average price of $8.64.

Ginkgo Bioworks (NYSE:DNA - Get Free Report) last released its quarterly earnings data on Thursday, November 5th. The company reported ($0.64) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.68) by $0.04. Ginkgo Bioworks had a negative return on equity of 56.97% and a negative net margin of 249.20%. The company had revenue of $27.71 million during the quarter, compared to the consensus estimate of $21.50 million. As a group, sell-side analysts forecast that Ginkgo Bioworks Holdings, Inc. will post -3.20 earnings per share for the current year.

Insider Activity

In related news, Director Christian O. Henry sold 5,000 shares of the business's stock in a transaction on Tuesday, September 15th. The shares were sold at an average price of $7.08, for a total value of $35,400.00. Following the sale, the director owned 19,310 shares of the company's stock, valued at $136,714.80. The trade was a 20.57% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, major shareholder Barry Canton sold 22,369 shares of the stock in a transaction on Monday, October 19th. The shares were sold at an average price of $10.14, for a total value of $226,821.66. Following the completion of the sale, the insider owned 453,951 shares of the company's stock, valued at $4,603,063.14. The trade was a 4.70% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last three months, insiders have sold 136,525 shares of company stock valued at $1,379,699. 12.69% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Ginkgo Bioworks

Institutional investors and hedge funds have recently made changes to their positions in the stock. Balance Capital Partners L.P. acquired a new position in shares of Ginkgo Bioworks in the second quarter worth approximately $1,972,179. Renaissance Technologies LLC acquired a new stake in Ginkgo Bioworks during the 1st quarter valued at approximately $616,000. Q Fund Management Hong Kong Ltd acquired a new stake in Ginkgo Bioworks during the 3rd quarter valued at approximately $505,000. AXQ Capital LP acquired a new stake in Ginkgo Bioworks during the 2nd quarter valued at approximately $262,000. Finally, Dimensional Fund Advisors LP raised its holdings in Ginkgo Bioworks by 23.8% during the 1st quarter. Dimensional Fund Advisors LP now owns 127,048 shares of the company's stock worth $779,000 after purchasing an additional 24,434 shares during the last quarter. Institutional investors and hedge funds own 78.63% of the company's stock.

Ginkgo Bioworks Company Profile

Ginkgo Bioworks is a biotechnology company that develops and engineers microorganisms and other cells for use in commercial products. Its platform combines biological research, automation, and software to help customers design, build, and test organisms with desired characteristics. The company provides cell-engineering services and capabilities to organizations in areas including pharmaceuticals, agriculture, food, and industrial chemicals. Its work can include developing and optimizing microbial strains and supporting the production of ingredients and other materials.

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