Twist Bioscience (TWST): Reassessing Valuation After Recent 90-Day Share Price Rebound

Twist Bioscience (TWST) has quietly turned into a roller coaster for investors, with the stock sliding this year but still up sharply over the past 3 months, prompting fresh questions about valuation.

See our latest analysis for Twist Bioscience.

The recent 90 day share price return of 25.39% stands in sharp contrast to the year to date share price decline, suggesting sentiment has swung back toward Twist Bioscience’s long term growth story despite a still negative 1 year total shareholder return.

If Twist Bioscience’s rebound has you rethinking growth opportunities in healthcare, it might be worth exploring other innovative healthcare stocks that are starting to show similar momentum.

With revenue still growing but losses persisting and the share price well below its five year peak yet up strongly in recent months, is Twist Bioscience an underappreciated growth story, or is the market already pricing in its next leg higher?

Most Popular Narrative: 9.3% Undervalued

With Twist Bioscience last closing at $32.30 against a narrative fair value of $35.63, the valuation case hinges on ambitious growth and margin transformation.

Significant improvements in gross margin (now above 50%) through volume leverage, process improvements, and increased vertical integration signal ongoing margin expansion and a clear near-term path toward adjusted EBITDA breakeven, indicating robust future earnings potential.

Read the complete narrative.

Curious how a loss making DNA platform gets priced for premium earnings and tech like multiples, all on projected revenue acceleration and margin lift, not current profits?

Result: Fair Value of $35.63 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, lingering concentration risk in key NGS customers, along with the possibility of renewed losses or dilution, could quickly challenge the upbeat valuation narrative.

Find out about the key risks to this Twist Bioscience narrative.

Build Your Own Twist Bioscience Narrative

If you see the story differently or would rather dig into the numbers yourself, you can build a fully tailored view in minutes using Do it your way.

A great starting point for your Twist Bioscience research is our analysis highlighting 1 key reward and 2 important warning signs that could impact your investment decision.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

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