Dennis Cho, Senior Vice President, Chief Legal Officer, and Corporate Secretary at Twist Bioscience Corp (NASDAQ:TWST), reported a recent transaction involving the company's stock. According to a Form 4 filing with the SEC, Cho sold 659 shares of common stock on November 4, 2024, at a price of $41.564 per share, amounting to a total sale value of $27,390.
Additionally, Cho acquired 19,851 shares of common stock, split into two separate transactions. These acquisitions were part of performance stock units for which target criteria were met on the same day. The acquired shares were valued at $0 per share as part of the company's equity incentive plan.
It's important to note that the sale of 659 shares was conducted to cover tax withholding obligations related to the vesting of restricted stock units, as mandated by the issuer's equity incentive plans. This sale was not a discretionary trade by Cho.
In other recent news, Twist Bioscience has reached a financial agreement with XOMA Royalty Corporation, securing a $15 million capital boost. This deal allows XOMA to receive potential future milestone and royalty payments from Twist's existing collaborations. The revenue from these collaborations will not be affected by this agreement. Twist Bioscience also reported a 28% year-over-year increase in revenue for the fiscal third quarter of 2024, totaling $81.5 million.
Baird has maintained its Outperform rating on Twist Bioscience, citing stable demand for the company's Express Genes service. The consistent demand is evident from the average premium charged to academic institutions, which remained approximately 42% in October.
In personnel updates, James Thorburn transitioned to a Strategic Advisor role, and Mike Fero, Ph.D., was appointed as the new Chief Information Officer. Twist Bioscience has also expanded its DNA synthesis capabilities, now offering gene fragments up to 5.0 kilobases in length. These are the latest developments in the company's operations and strategic initiatives.
InvestingPro Insights
As we analyze Dennis Cho's recent stock transactions at Twist Bioscience Corp (NASDAQ:TWST), it's worth considering some additional financial insights provided by InvestingPro.
Twist Bioscience has demonstrated impressive revenue growth, with a 25.37% increase over the last twelve months as of Q3 2024, reaching $295.21 million. This growth trend aligns with the company's stock performance, which has shown a remarkable 143.45% price total return over the past year.
Despite the strong revenue growth and stock performance, InvestingPro Tips highlight that Twist Bioscience was not profitable over the last twelve months. This is reflected in the company's negative operating income margin of -64.34% for the same period. Analysts do not anticipate the company will be profitable this year, which may explain why insiders like Dennis Cho are exercising stock options and selling shares to cover tax obligations.
It's also noteworthy that Twist Bioscience operates with a moderate level of debt and its liquid assets exceed short-term obligations. This financial stability could provide some reassurance to investors despite the current lack of profitability.
For readers interested in a more comprehensive analysis, InvestingPro offers additional tips and insights. In fact, there are 6 more InvestingPro Tips available for Twist Bioscience, which could provide valuable context for understanding the company's financial position and future prospects.
Dennis Cho, Senior Vice President, Chief Legal Officer, and Corporate Secretary at Twist Bioscience Corp (NASDAQ:TWST), reported a recent transaction involving the company's stock. According to a Form 4 filing with the SEC, Cho sold 659 shares of common stock on November 4, 2024, at a price of $41.564 per share, amounting to a total sale value of $27,390.
Additionally, Cho acquired 19,851 shares of common stock, split into two separate transactions. These acquisitions were part of performance stock units for which target criteria were met on the same day. The acquired shares were valued at $0 per share as part of the company's equity incentive plan.
It's important to note that the sale of 659 shares was conducted to cover tax withholding obligations related to the vesting of restricted stock units, as mandated by the issuer's equity incentive plans. This sale was not a discretionary trade by Cho.
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