Key Highlights

  • TWST shares are trading up 10.50% to $160.50, against a prior close of $145.25.
  • Fiscal fourth-quarter and full-year results are due before the market opens on November 12.
  • Third-quarter revenue was $118.4 million, up 23%, with an adjusted loss of $0.56 per share.
  • Analyst targets include $215 from Barclays, $212 from Guggenheim and $190 from TD Cowen.
  • Shares have pulled back about 22% over the past month but are up roughly 330% over one year.

AI-Linked Orders and a Raised Outlook Revive the Growth Story

Twist Bioscience (NASDAQ:TWST) shares are trading up 10.50% to $160.50 as investors revisit the company's AI-driven drug discovery story ahead of fiscal fourth-quarter results. A small-cap growth investor letter highlighted better-than-expected revenue growth, a raised full-year outlook and rapid growth in AI-related orders, including an agreement tied to the TuneLab platform of Eli Lilly (NYSE:LLY). Shares opened at $145.74.

Twist, founded in 2013 and based in South San Francisco, is a synthetic biology company that makes synthetic DNA on a proprietary silicon-based platform. The platform miniaturizes DNA synthesis chemistry, allowing high throughput, speed and lower cost than traditional plate-based methods. Products include synthetic genes, oligo pools, NGS target enrichment and sample preparation tools, variant libraries, synthetic RNA controls and antibody discovery services.

Analyst Targets Range From $190 to $215

Barclays has a price target of $215, Guggenheim $212 and TD Cowen $190, while Jefferies recently initiated coverage. Analyst targets have climbed in recent weeks.

The stock has pulled back about 22% over the past month but is up roughly 330% over one year, and it is outpacing a little-changed sector. The State Street Health Care Select Sector SPDR ETF is down 0.09%, while a busy earnings and clinical-data calendar frames the group.

Revenue Scale and Margins Behind a $10.57 Billion Market Cap

Twist carries a market cap of $10.57 billion and a loss of $2.22 per share. It reported revenue of about $430 million over the last twelve months, with gross margins above 50% and a path toward adjusted EBITDA breakeven. In the most recent quarter, adjusted EPS was a loss of $0.56 on $118.4 million of revenue, up 23%.

Customers span healthcare, industrial chemicals, academic and agricultural markets, and partnerships include Boehringer Ingelheim and Lilly TuneLab. The 52-week range runs from $23.30 to $219.71.

November 12 Report Will Test the Rebound After a 22% Pullback

Fiscal fourth-quarter and full-year results for the period ended September 30 will be issued before the market opens on November 12, followed by a conference call. Investors will watch whether AI-related order growth and the raised outlook carry through, and how close the company is to adjusted EBITDA breakeven.