Twist Bioscience (NASDAQ:TWST) Shares Gap Down - Should You Sell?

Key Points

• Twist Bioscience shares fell 4.2%, opening at $138.09 versus a prior close of $148.16, while trading below the 50-day moving average of $147.04.
• Analyst sentiment is mixed: eight analysts rate the stock Buy, three Hold, and two Sell, producing an overall “Hold” consensus and an average price target of $143.67.
• The company exceeded quarterly revenue expectations but missed on EPS, reporting a $0.56 per-share loss versus the expected $0.51 loss. Insiders sold roughly 601,920 shares worth $93.8 million over the past 90 days, primarily to cover tax obligations on vested equity.

Twist Bioscience Corporation (NASDAQ:TWST - Get Free Report) gapped down prior to trading on Thursday. The stock had previously closed at $148.16, but opened at $138.09. Twist Bioscience shares last traded at $137.7410, with a volume of 672,363 shares changing hands.

Wall Street Analysts Forecast Growth

TWST has been the subject of a number of recent research reports. Robert W. Baird raised their price target on shares of Twist Bioscience from $113.00 to $115.00 and gave the stock an "outperform" rating in a research report on Tuesday, August 4th. Piper Sandler increased their price objective on shares of Twist Bioscience from $85.00 to $115.00 and gave the stock an "overweight" rating in a research note on Wednesday, August 5th. Guggenheim raised their target price on shares of Twist Bioscience from $107.00 to $212.00 and gave the stock a "buy" rating in a report on Thursday, October 1st. Leerink Partners boosted their target price on shares of Twist Bioscience from $160.00 to $190.00 and gave the company an "outperform" rating in a research report on Tuesday, September 29th. Finally, Evercore downgraded shares of Twist Bioscience from an "outperform" rating to an "in-line" rating and set a $102.00 target price for the company. in a research report on Monday, July 6th. Eight equities research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, the company presently has an average rating of "Hold" and a consensus price target of $143.67.

Twist Bioscience Trading Down 4.2%

The company has a debt-to-equity ratio of 0.03, a quick ratio of 2.38 and a current ratio of 2.67. The company has a 50 day moving average of $147.04 and a two-hundred day moving average of $98.93. The stock has a market cap of $8.90 billion, a PE ratio of -63.88 and a beta of 2.19.

Twist Bioscience (NASDAQ:TWST - Get Free Report) last issued its quarterly earnings results on Monday, August 3rd. The company reported ($0.56) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.51) by ($0.05). Twist Bioscience had a negative return on equity of 28.64% and a negative net margin of 31.66%. The business had revenue of $118.38 million for the quarter, compared to analysts' expectations of $114.55 million. During the same quarter in the prior year, the company posted $0.33 EPS. The business's revenue for the quarter was up 23.2% compared to the same quarter last year. Sell-side analysts anticipate that Twist Bioscience Corporation will post -2.12 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, CFO Adam Laponis sold 8,057 shares of the stock in a transaction that occurred on Friday, October 2nd. The stock was sold at an average price of $188.88, for a total transaction of $1,521,806.16. Following the transaction, the chief financial officer owned 100,576 shares in the company, valued at $18,996,794.88. This trade represents a 7.42% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, SVP Paula Green sold 10,088 shares of the stock in a transaction that occurred on Friday, October 2nd. The shares were sold at an average price of $188.88, for a total value of $1,905,421.44. Following the transaction, the senior vice president owned 106,632 shares in the company, valued at $20,140,652.16. This trade represents a 8.64% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last 90 days, insiders sold 601,920 shares of company stock valued at $93,768,202. Corporate insiders own 3.08% of the company's stock.

Hedge Funds Weigh In On Twist Bioscience

Several hedge funds and other institutional investors have recently added to or reduced their stakes in TWST. GAMMA Investing LLC boosted its position in Twist Bioscience by 24.4% during the second quarter. GAMMA Investing LLC now owns 943 shares of the company's stock worth $97,000 after acquiring an additional 185 shares during the last quarter. Allworth Financial LP grew its position in shares of Twist Bioscience by 54.9% in the second quarter. Allworth Financial LP now owns 601 shares of the company's stock valued at $62,000 after purchasing an additional 213 shares in the last quarter. PNC Financial Services Group Inc. increased its holdings in shares of Twist Bioscience by 89.7% in the first quarter. PNC Financial Services Group Inc. now owns 958 shares of the company's stock valued at $46,000 after purchasing an additional 453 shares during the last quarter. Trifecta Capital Advisors LLC acquired a new stake in shares of Twist Bioscience in the second quarter valued at approximately $63,000. Finally, Western Wealth Management LLC acquired a new stake in shares of Twist Bioscience in the first quarter valued at approximately $31,000.

About Twist Bioscience

Twist Bioscience Corporation NASDAQ: TWST is a biotechnology company that develops and manufactures synthetic DNA using a silicon-based production platform. Its technology is designed to enable the precise, high-throughput synthesis of DNA at smaller scale and with potentially lower material consumption than traditional methods.

The company provides synthetic DNA products and services for applications in drug discovery and development, biotechnology research, agriculture, industrial chemicals and other life sciences markets.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.