Twist Bioscience (NASDAQ:TWST) Releases Quarterly Earnings Results, Misses Estimates By $0.05 EPS

Twist Bioscience (NASDAQ:TWST) announced its quarterly earnings results on Monday. The company reported ($0.56) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.51) by ($0.05), FiscalAI reports. Twist Bioscience had a negative net margin of 19.85% and a negative return on equity of 26.73%. The company had revenue of $118.38 million for the quarter, compared to analysts’ expectations of $114.55 million. During the same quarter in the prior year, the firm earned $0.33 EPS. Twist Bioscience’s quarterly revenue was up 23.2% compared to the same quarter last year.

Here are the key takeaways from Twist Bioscience’s conference call:

• Record revenue and raised guidance: Fiscal Q3 revenue rose 23% year over year to $118.4 million, marking 14 consecutive quarters of growth. Management raised fiscal 2026 revenue guidance to $456–$457 million and expects Q4 revenue of $123–$124 million, up approximately 25% year over year.
• AI-enabled drug discovery is accelerating: Twist expects to meet or exceed its target for triple-digit order growth in AI-enabled discovery in fiscal 2026 and believes it can deliver triple-digit growth again in fiscal 2027. Executives cited repeat orders, new customers, expanding modalities, and better visibility from larger, more collaborative customer programs.
• Strong therapeutics and NGS momentum: Therapeutics revenue grew 49% year over year, driven largely by pharma, biotech, and technology companies using AI-supported discovery, while NGS Applications revenue increased 12%. Management highlighted growing diagnostic demand, especially for molecular residual disease testing and proprietary enzyme-enabled workflows.
• Operational improvements are strengthening margins and product capabilities: Gross margin expanded to 52.8%, while the company reported major three-year reductions in manufacturing costs, waste, and turnaround time. Early access customers ordered more than 1,800 Complex Genes, and the offering has now been broadly launched.
• Profitability remains a near-term execution item: Adjusted EBITDA was negative $11.3 million in Q3, although management reiterated its expectation to reach adjusted EBITDA breakeven in Q4 and continue improving profitability in fiscal 2027. Cash and short-term investments declined to $166.8 million from $171.7 million at the end of the prior quarter.

Twist Bioscience Trading Up 10.4%

NASDAQ:TWST opened at $101.06 on Tuesday. The firm has a market capitalization of $6.29 billion, a P/E ratio of -75.98 and a beta of 2.14. The company has a debt-to-equity ratio of 0.03, a current ratio of 2.70 and a quick ratio of 2.42. Twist Bioscience has a one year low of $23.30 and a one year high of $105.47. The company’s 50-day simple moving average is $85.80 and its 200 day simple moving average is $62.56.

Insider Buying and Selling at Twist Bioscience

In other news, CEO Emily M. Leproust sold 18,880 shares of Twist Bioscience stock in a transaction that occurred on Thursday, June 25th. The shares were sold at an average price of $95.00, for a total transaction of $1,793,600.00. Following the completion of the transaction, the chief executive officer directly owned 824,039 shares in the company, valued at approximately $78,283,705. This trade represents a 2.24% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Director Jan Johannessen sold 12,000 shares of the business’s stock in a transaction that occurred on Tuesday, May 12th. The stock was sold at an average price of $56.12, for a total value of $673,440.00. Following the completion of the sale, the director directly owned 17,754 shares in the company, valued at approximately $996,354.48. This represents a 40.33% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last ninety days, insiders have sold 50,211 shares of company stock valued at $4,199,331. 3.08% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Twist Bioscience

A number of institutional investors have recently modified their holdings of the stock. Quarry LP bought a new position in shares of Twist Bioscience during the third quarter valued at $28,000. National Bank of Canada FI bought a new position in Twist Bioscience in the 3rd quarter worth about $46,000. Truvestments Capital LLC grew its position in Twist Bioscience by 167.0% during the 4th quarter. Truvestments Capital LLC now owns 1,773 shares of the company’s stock valued at $56,000 after purchasing an additional 1,109 shares during the last quarter. Empowered Funds LLC purchased a new stake in Twist Bioscience during the 4th quarter valued at about $58,000. Finally, Smartleaf Asset Management LLC increased its stake in Twist Bioscience by 83.1% during the 4th quarter. Smartleaf Asset Management LLC now owns 1,955 shares of the company’s stock valued at $63,000 after purchasing an additional 887 shares in the last quarter.

Analyst Ratings Changes

TWST has been the topic of several research reports. Guggenheim lifted their price objective on Twist Bioscience from $60.00 to $107.00 and gave the company a “buy” rating in a research report on Monday, June 29th. Evercore lowered Twist Bioscience from an “outperform” rating to an “in-line” rating and set a $102.00 target price for the company. in a research report on Monday, July 6th. Canaccord Genuity Group raised their target price on Twist Bioscience from $90.00 to $120.00 and gave the company a “buy” rating in a research note on Tuesday, July 14th. UBS Group set a $89.00 price target on Twist Bioscience in a research report on Monday, June 15th. Finally, Piper Sandler started coverage on Twist Bioscience in a research note on Thursday, June 11th. They issued an “overweight” rating and a $85.00 price target on the stock. Eight analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has given a Sell rating to the company. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average target price of $90.30.

Key Twist Bioscience News

Here are the key news stories impacting Twist Bioscience this week:

• Positive Sentiment: Twist raised its fiscal 2026 revenue guidance to $456 million-$457 million, up from the previous range of $442 million-$447 million and above the analyst consensus of $446.5 million. Twist Bioscience fiscal 2026 outlook article
• Positive Sentiment: Fourth-quarter revenue guidance of $123 million-$124 million also topped the $117.5 million consensus estimate, signaling continued demand across Twist’s synthetic biology and sequencing-related businesses.
• Positive Sentiment: Fiscal third-quarter revenue rose 23.2% year over year to $118.38 million, exceeding the $114.55 million consensus estimate. Investors appeared to give greater weight to the growth and outlook than to the earnings miss. Twist Bioscience fiscal third-quarter results
• Neutral Sentiment: Management continues to target adjusted EBITDA breakeven in the fourth quarter of fiscal 2026, an important milestone for the loss-making growth company.
• Negative Sentiment: Twist reported a fiscal third-quarter loss of $0.56 per share, wider than the $0.51 consensus loss and the $0.33-per-share profit recorded a year earlier. The company remains unprofitable, with a negative net margin and return on equity.
• Negative Sentiment: Reported insider activity shows extensive selling and no open-market purchases during the past six months. In addition, the median recent analyst price target of $89.50 is below the stock’s reported trading level, which may limit near-term upside.

About Twist Bioscience

Twist Bioscience Corporation is a synthetic biology company specializing in the development and commercialization of DNA-based products and solutions. Founded in 2013 and headquartered in South San Francisco, California, the company has pioneered a proprietary silicon-based DNA synthesis platform designed for high-throughput production of synthetic genes and oligonucleotides. Twist leverages semiconductor manufacturing techniques to enable precise, scalable synthesis of DNA at speeds and volumes unattainable with traditional methods.

At the core of Twist’s offering is its proprietary platform that automates the synthesis of custom DNA fragments, gene libraries, and long oligonucleotides.