Twist Bioscience Corp (NASDAQ:TWST) reported in a recent filing that Dennis Cho, the company's Senior Vice President, Chief Legal Officer & Corporate Secretary, has sold shares of the company's common stock. According to the filing, Cho sold a total of 234 shares at an average price of $46.941 per share, resulting in a total transaction value of approximately $10,984.
The transaction, which took place on September 20, 2024, was conducted to cover tax withholding obligations associated with the vesting of Restricted Stock Units. The company's equity incentive plans mandate these types of sales to satisfy tax withholding requirements through a "sell to cover" transaction. It's important to note that this sale was not a discretionary trade by Cho but a required action as per the company's equity plans.
Following this transaction, Cho still holds 78,393 shares of Twist Bioscience Corp, indicating a continued investment in the company's future. Twist Bioscience, based in South San Francisco, California, specializes in synthetic biology and is known for its innovative approaches in the field of biological products.
Investors and market watchers often keep an eye on insider transactions such as these for insights into the company's financial health and the confidence that executives have in their firm's prospects. However, it's also common for such transactions to be part of predetermined financial planning strategies by company insiders.
The filing was signed by Judy Yan, as Attorney-in-Fact for Dennis Cho, and was dated September 24, 2024.
In other recent news, Twist Bioscience has reported a significant 28% year-over-year growth in revenue for the fiscal third quarter of 2024, totaling $81.5 million. The company's gross margin also improved to 43.3%, with a goal to exceed 50% by the end of fiscal 2025. Furthermore, Twist Bioscience anticipates a 27% increase in total revenue for fiscal 2024 year-over-year, with projected Q4 revenue between $82 million and $83 million.
Baird has reaffirmed its favorable stance on Twist Bioscience, maintaining an Outperform rating. The firm's analysis has been tracking the pricing premiums for Twist Bioscience’s Express Genes service, observing an increase in the average premium charged to academic institutions.
Twist Bioscience has announced an expansion in their DNA synthesis capabilities, now offering gene fragments up to 5.0 kilobases in length. In collaboration with bitBiome Inc., the company has also launched a Transaminase Enzyme Screening Kit, which aims to provide a more environmentally friendly alternative for synthesizing chiral amines, key components in drug manufacturing. These are recent developments in Twist Bioscience's operations and strategic initiatives.
InvestingPro Insights
Twist Bioscience Corp (NASDAQ:TWST) has shown a notable performance in the stock market with its share price experiencing significant volatility. A closer look at the company's financial metrics through InvestingPro reveals a mixed picture that investors might want to consider. The market capitalization of Twist Bioscience stands at approximately $2.72 billion, reflecting the size and scale of the company within the biotechnology sector.
One of the "InvestingPro Tips" for Twist Bioscience indicates that analysts are not expecting the company to be profitable this year. This aligns with the reported Price to Earnings (P/E) ratio of -12.24, which suggests that the company has been operating at a loss. The adjusted P/E ratio for the last twelve months as of Q3 2024 further supports this with a figure of -15.1. Despite this, Twist Bioscience has managed a high return over the last year, with a 122.66% increase in the one-year price total return as of the latest data.
Another key metric for investors to consider is the Price to Book (P/B) ratio, which currently stands at 5.57. This indicates that the stock is trading at a premium relative to the company's book value, which might be a point of analysis for potential investors. Moreover, the company's liquid assets exceed its short-term obligations, which is a positive sign of financial stability.
For those interested in delving deeper into Twist Bioscience's financials and performance, there are additional "InvestingPro Tips" available on InvestingPro. These tips provide further insights into the company's debt levels, dividend policy, and other crucial investment considerations. In total, there are 9 additional tips listed on InvestingPro for Twist Bioscience, which can be found at: https://www.investing.com/pro/TWST.
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