Ginkgo Bioworks (NYSE:DNA) Shares Down 7.5% – Should You Sell?

Ginkgo Bioworks Holdings, Inc. (NYSE:DNA) dropped 7.5% during mid-day trading on Friday. The stock traded as low as $10.96 and last traded at $10.8740. Approximately 311,020 shares were traded during mid-day trading, a decline of 78% from the average session volume of 1,425,167 shares. The stock had previously closed at $11.76.

Wall Street Analysts Forecast Growth

DNA has been the subject of a number of recent research reports. Oppenheimer set a $5.00 price objective on Ginkgo Bioworks in a research note on Wednesday, September 9th. BTIG Research reiterated a “sell” rating and issued a $5.00 target price on shares of Ginkgo Bioworks in a research note on Friday, September 4th. TD Cowen raised their target price on Ginkgo Bioworks from $9.00 to $11.00 and gave the company a “hold” rating in a research note on Tuesday. Weiss Ratings reissued a “sell (d-)” rating on shares of Ginkgo Bioworks in a report on Thursday. Finally, Wall Street Zen raised shares of Ginkgo Bioworks from a “sell” rating to a “hold” rating in a report on Saturday, September 26th. Two research analysts have rated the stock with a Hold rating and two have issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Reduce” and a consensus price target of $7.00.

Ginkgo Bioworks Trading Down 12.9%

The firm’s 50-day simple moving average is $8.77 and its 200 day simple moving average is $8.51. The stock has a market cap of $690.10 million, a P/E ratio of -2.05 and a beta of 1.79.

Ginkgo Bioworks (NYSE:DNA) last released its quarterly earnings results on Wednesday, August 5th. The company reported ($0.75) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.90) by $0.15. Ginkgo Bioworks had a negative return on equity of 60.27% and a negative net margin of 259.96%. The company had revenue of $20.16 million for the quarter, compared to analysts’ expectations of $24.05 million. On average, analysts anticipate that Ginkgo Bioworks Holdings, Inc. will post -3.20 EPS for the current year.

Insider Transactions at Ginkgo Bioworks

In related news, Director Christian O. Henry sold 5,000 shares of the firm’s stock in a transaction that occurred on Tuesday, September 15th. The shares were sold at an average price of $7.08, for a total transaction of $35,400.00. Following the transaction, the director owned 19,310 shares in the company, valued at $136,714.80. This trade represents a 20.57% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Steven P. Coen sold 2,403 shares of the firm’s stock in a transaction that occurred on Monday, October 5th. The shares were sold at an average price of $15.00, for a total transaction of $36,045.00. Following the transaction, the insider owned 49,448 shares in the company, valued at $741,720. This represents a 4.63% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 7,733 shares of company stock worth $73,748 over the last 90 days. 12.69% of the stock is owned by insiders.

Hedge Funds Weigh In On Ginkgo Bioworks

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the company. Balance Capital Partners L.P. acquired a new position in shares of Ginkgo Bioworks during the 2nd quarter valued at $1,972,179. Renaissance Technologies LLC acquired a new stake in shares of Ginkgo Bioworks in the first quarter valued at $616,000. Q Fund Management Hong Kong Ltd acquired a new stake in shares of Ginkgo Bioworks in the third quarter valued at $505,000. Inspire Investing LLC lifted its holdings in shares of Ginkgo Bioworks by 46.4% in the first quarter. Inspire Investing LLC now owns 83,905 shares of the company’s stock valued at $514,000 after buying an additional 26,612 shares during the period. Finally, AXQ Capital LP bought a new position in shares of Ginkgo Bioworks during the 2nd quarter valued at about $262,000. 78.63% of the stock is owned by institutional investors.

About Ginkgo Bioworks

Ginkgo Bioworks, Inc is a biotechnology company that develops biological engineering technologies and services. Its platform is designed to help customers program cells and microorganisms to produce products or perform functions for applications in areas such as pharmaceuticals, agriculture, food, chemicals and materials.

The company combines biological research, laboratory automation, genetic engineering, data analysis and software through its cell-programming platform and foundry operations.