Why Is TWIST BIOSCIENCE COR (TWST) Stock Down Today?

Twist Bioscience (TWST) shares fell 7.04% to $122.83, driven by a new negative research report and a sharp intraday reversal from a morning gap up. The stock had opened at $141.98, a 7.5% jump from the prior close, but faded throughout the day to close near its session low.

What Happened

The primary catalyst for the decline was a report from The Bear Cave, which raised valuation concerns regarding the company. This negative assessment followed a similar report from Hunterbrook, contributing to a broader narrative of skepticism about the stock's current price. The company is scheduled to report Q4 earnings ahead of the market open on November 12, adding to near-term volatility. Additionally, Twist Bioscience announced inducement grants under Nasdaq Listing Rule 5635(c)(4). A notice of a proposed derivative settlement was also disclosed.

What The Data Shows

The intraday session saw the stock hit a high of $151.50 at 9:30 AM ET before dropping to a low of $122.41 at 3:15 PM ET. Volume stood at 1.4 million shares, which is 0.7 times the three-month daily average. Fundamentals show a market cap of $8.5 billion with a trailing twelve-month EPS of negative $2.23. Revenue grew 19.2% over the same period, but the net margin remains negative at 31.7%. The stock has a beta of 2.22 and a 52-week range of $23.30 to $219.71. Over the last eight sessions, the stock declined 13.5% from $152.78 to $132.13. Recent insider activity includes sales by President and COO Finn Patrick John, CEO Emily M. Leproust, and Dennis Cho on November 3. In the last 90 days, there have been 34 insider sales totaling $102.6 million with no buys. The 52-week tape recorded two fresh highs and 36 fresh lows on November 11.

What To Watch

Investors will focus on the Q4 earnings report scheduled for November 12. The company’s ability to address the valuation concerns raised by recent research reports will be key to stabilizing the stock in the coming days.