Patrick John Finn, the President and COO of Twist Bioscience Corp (NASDAQ:TWST), reported selling 2,681 shares of the company's common stock on November 4, 2024. The shares were sold at an average price of $41.564, amounting to a total transaction value of $111,433.
This transaction was part of a "sell to cover" requirement to meet tax withholding obligations related to the vesting of Restricted Stock Units, as mandated by Twist Bioscience's equity incentive plans. This sale does not reflect discretionary trading by Finn. Following the transaction, Finn holds 237,640 shares directly.
The report also detailed the acquisition of 80,838 shares through performance stock units for which target criteria were met, although these were acquired at no cost.
In other recent news, Twist Bioscience Corporation (NASDAQ:TWST) reported a significant 28% year-over-year increase in revenue for the fiscal third quarter of 2024, totaling $81.5 million. The company's gross margin also improved to 43.3%, with an aim to exceed 50% by the end of fiscal 2025. Projected Q4 revenue for the company is estimated to be between $82 million and $83 million, indicating a 27% expected increase in total revenue for fiscal 2024.
Twist Bioscience has secured a $15 million capital boost from a new financial agreement with XOMA Royalty Corporation. The deal grants XOMA the right to receive half of the potential future milestone and royalty payments from Twist's existing antibody discovery and biopharma services collaborations.
Baird has maintained its Outperform rating on Twist Bioscience, citing consistent demand for the company's Express Genes service. The firm noted that the average premium charged to academic institutions remained stable at approximately 42%.
In personnel updates, James Thorburn transitioned to a Strategic Advisor role, providing consulting services at $25,000 per month. Additionally, Mike Fero, Ph.D., was appointed as the new Chief Information Officer, leveraging his three decades of experience in startups, software development, and deep-tech industries.
Finally, Twist Bioscience expanded its DNA synthesis capabilities, now offering gene fragments up to 5.0 kilobases in length. In collaboration with bitBiome Inc., the company launched a Transaminase Enzyme Screening Kit, providing a more environmentally friendly alternative for synthesizing chiral amines, key components in drug manufacturing.
InvestingPro Insights
Twist Bioscience Corp (NASDAQ:TWST) has been experiencing significant volatility in its stock price, as indicated by one of the InvestingPro Tips. This volatility is reflected in the company's impressive 1-year price total return of 143.45%, showcasing the potential for high returns but also highlighting the inherent risks in the stock.
Despite the recent insider sale by Patrick John Finn, it's important to note that the transaction was part of a tax-related obligation and not a discretionary trade. This context is crucial when considering the company's financial position and future prospects.
InvestingPro Data reveals that Twist Bioscience has a market capitalization of $2.65 billion and has demonstrated strong revenue growth, with a 25.37% increase over the last twelve months as of Q3 2024. The company's revenue for this period stood at $295.21 million. However, it's worth noting that Twist Bioscience is not currently profitable, with an operating income margin of -64.34% for the same period.
Two additional InvestingPro Tips provide further insight:
1. Analysts do not anticipate the company will be profitable this year.
2. The company's liquid assets exceed its short-term obligations, indicating a solid short-term financial position.
These tips, along with 5 others, are available on InvestingPro, offering a more comprehensive analysis of Twist Bioscience's financial health and market position.
Given the company's growth trajectory and market volatility, investors may find value in closely monitoring Twist Bioscience's progress towards profitability and its ability to maintain strong revenue growth in the coming quarters.
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