On July 7, Twist Bioscience fell 5.38% in regular trading, trading at $91.11/share, with turnover of $57.73 million. The stock surged to as high as $104.25 earlier in the session before reversing sharply.
On the news front, Evercore ISI downgraded Twist Bioscience from Outperform to In Line on July 6, while simultaneously raising its price target from $66 to $102. Although the target price increase of 54.5% reflects recognition of long-term value, the explicit rating downgrade sent a bearish signal. After the stock surpassed the $102 target price in early trading, the lack of upside support triggered significant profit-taking.
Adding to the selling pressure, the company previously filed a shelf registration statement with the SEC for the potential sale of up to $200 million in common stock under an at-the-market program, creating overhang from potential dilution. The FactSet consensus maintains a buy rating with a mean target price of $87.56, and the company had raised full-year revenue guidance to $435-$440 million following a Q2 sales beat.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
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