Based on the 15-minute chart for Twist Bioscience, there are several indicators that suggest a shift in the momentum of the stock price. Firstly, the Relative Strength Index (RSI) has reached overbought levels, indicating that the stock price has risen too rapidly and is no longer supported by fundamental analysis. Secondly, the KDJ Death Cross has been triggered, which suggests that the momentum of the stock price is shifting towards the downside and has the potential to further decrease.
Twist Bioscience Corporation (TWST) has experienced a significant shift in stock price momentum over the past few weeks, with key technical indicators suggesting a potential change in direction. The Relative Strength Index (RSI) has reached overbought levels, indicating that the stock price has risen too rapidly and may not be supported by underlying fundamentals. Additionally, the KDJ Death Cross has been triggered, signaling a potential shift in momentum towards the downside [1].
Despite these technical indicators, there is optimism among analysts regarding the company's prospects. Twist Bioscience reported a profitable third quarter with sales of $96.06 million and net income of $20.39 million, marking a significant milestone in its push for innovation and operational discipline [1]. The company also announced the launch of a new humanized transgenic mouse model for antibody discovery, which could boost differentiation and expand the addressable market in biopharma [1].
Moreover, Twist Bioscience's outlook anticipates $575.7 million in revenue and $81.3 million in earnings by 2028, requiring 16.7% annual revenue growth and a $166.5 million increase in earnings from the current level of -$85.2 million [1]. The company's recent profitability and strong revenue guidance have led to renewed optimism among investors, despite persistent risks around recurring margins and dilution.
Technical indicators, such as the RSI and KDJ Death Cross, are not the only factors influencing TWST's stock price. The consensus EPS estimate for the current year has increased by 4.3% over the last 30 days, with the stock currently holding a Zacks Rank #2 (Buy) [2]. This upward trend in earnings estimate revisions often translates into price appreciation in the near term.
In conclusion, while technical indicators suggest a potential shift in momentum towards the downside, analysts remain optimistic about Twist Bioscience's prospects. The company's recent profitability and strong revenue guidance, coupled with an upward trend in earnings estimates, provide a positive outlook for the stock. However, investors should remain vigilant and consider the potential risks associated with ongoing unprofitability and equity dilution.
References:
[1] Simply Wall St. "Could Twist Bioscience's TWST Return to Profitability? Redefining the Investment Narrative." Accessed July 2, 2025. https://simplywall.st/stocks/us/pharmaceuticals-biotech/nasdaq-twst/twist-bioscience/news/could-twist-biosciences-twst-return-to-profitability-redefin
[2] Yahoo Finance. "Plunging 33.8% in 4 Weeks, Twist Bioscience (TWST) Could Experience a Turnaround." Accessed July 2, 2025. https://finance.yahoo.com/news/plunging-33-8-4-weeks-133502932.html
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