* Note: Prices are in Million (M) USD.
Description:
Twist Bioscience Corporation (TWST) is a leading synthetic biology firm specializing in the development and production of synthetic DNA products for a variety of applications, including pharmaceuticals, agriculture, and industrial biotechnology. Headquartered in South San Francisco, California, the company leverages its proprietary DNA synthesis technology to deliver high-quality, scalable, and cost-effective solutions to its diverse customer base. With a strong emphasis on innovation, Twist is at the forefront of the rapidly evolving synthetic biology landscape, positioning itself as a key player in advancing genetic discovery and application across multiple sectors.
These criteria used Company's Cash, EBITDA and Debt balance to determines its fair value:
Cash : $201 M
Debt : $16 M
EBITDA : $-123 M
Since Ebitda is less than 0, 0 points assigned.
This criteria used industry in which company operates:
Sector: Life sciences
Industry: Biological products, (no disgnostic substances)
Based on industry, 3 points assigned.
This criteria used Company's Price To Earning (P/E) Ratio to determines its fair value:
Message: Cannot calculate PE Ratio since EPS is either 0 or negative.
Using default values for calculation.
Forward PE Ratio (using default values): 20.00
Since Forward PE Ratio is between 20 - 25, 2 points assigned.
This criteria used Company's ability to convert Sales into free cash flow to determine fair value:
Using last 9 overlapping fiscal years (max 20).Average Free Cash Flow: $-115 M
Average Revenue: $120 M
Revenue Converted To Free Cash Flow (%): -95.9%
Since Free Cash Flow (FCF) to Revenue percentage is non-positive, 0 point assigned.
This criteria used company's growth potential to calculate its fair value:
Latest Revenue (2024-09-30): $313 M
Revenue 5 Years Ago (2019-09-30): $54 M
Total Growth over 5 Years: 475.5%
5-Year Revenue CAGR (Historical): 41.9%
Forward 5-Year CAGR (Tapered): 21.0%
Since historical Revenue CAGR is greater than 20, 5 points assigned.
This criteria used Company's ability to buy back its own share:
Latest Share Count (2024-09-30): $58 M
Share Count 5 Years Ago (2020-09-30): $39 M
Company is not buying back its own shares, 0 points assigned.
This criteria used Company's dividend payout ratio to determine its fair value:
Next Year Earnings Per Share (EPS): $-1.76
Trailing 12-Month Earnings Per Share (EPS): $0.00
Average Earnings Per Share (EPS): $0.00
Dividend Per Share (DPS): $0
Payout Ratio: 0%
Dividend Yield: 0%
⚠️ Caution: Negative earnings detected — Further research is recommended - Next Fiscal Yr EPS: $-1.76
Since Dividend Per Share is less than or equal to 0, 0 point assigned.
Since Dividend Yield is less than 1, 0 point assigned.
This criteria used Company's Return On Equity (ROE%) to determine its fair value:
Using last 6 valid ROE years (max 20).Average ROE: -40.5%
Since Average ROE is non-positive, 0 point assigned.
This criteria used Company's current price to its 52 week low price to determines its fair value:
Current Price: $31.07
52-Week Low: $24.07
Threshold Price (15% Above 52-Week Low): $27.68
Since Current price is not within 15% threshold, 0 point assigned.
This criteria used Company's Market Cap to determines its fair value:
Market Capitalization: $1,852 M
Since Market Cap is less than 10B, 1 point assigned.
% Exposure to Total Portfolio
Based on the market cap, we recommend do not exceed 2% exposure of Total Portfolio.
Warren Buffett's Owners' Earnings:
No positive free cash flow found (TTM or annual) to compute Owners' Earnings per share.
Note: Many fast-growing companies reinvest heavily, so Owners' Earnings may appear low.
Consider other factors in your valuation.
Value-Trade has assigned 11 points to above Twist Bioscience Corp (TWST) stock.
Fair Value PE 12, Industry Based PE 18, Growth Based PE 20.95, Risk-Free Anchored PE (25% MoS) 18.2. Based on these 4 values, average assigned is 17.29. The fair value of Twist Bioscience Corp (TWST) stock cannot be calculated since EBITDA and EPS are either 0 or negative.
