Evaluating Ginkgo Bioworks Holdings: Insights From 4 Financial Analysts

4 analysts have expressed a variety of opinions on Ginkgo Bioworks Holdings DNA over the past quarter, offering a diverse set of opinions from bullish to bearish.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Providing deeper insights, analysts have established 12-month price targets, indicating an average target of $1.8, along with a high estimate of $2.50 and a low estimate of $1.10. Marking an increase of 44.0%, the current average surpasses the previous average price target of $1.25.

Analyzing Analyst Ratings: A Detailed Breakdown

An in-depth analysis of recent analyst actions unveils how financial experts perceive Ginkgo Bioworks Holdings. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Ginkgo Bioworks Holdings. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Delving into assessments, analysts assign qualitative values, from 'Outperform' to 'Underperform'. These ratings communicate expectations for the relative performance of Ginkgo Bioworks Holdings compared to the broader market.
• Price Targets: Analysts predict movements in price targets, offering estimates for Ginkgo Bioworks Holdings's future value. Examining the current and prior targets offers insights into analysts' evolving expectations.

Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of Ginkgo Bioworks Holdings's market standing. Stay informed and make data-driven decisions with our Ratings Table.

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Get to Know Ginkgo Bioworks Holdings Better

Ginkgo Bioworks Holdings Inc is the platform for cell programming, providing flexible, end-to-end services that solve challenges for organizations across diverse markets, from food and agriculture to pharmaceuticals to industrial and specialty chemicals. The Company reorganized its operations into two operating and reportable segments: Foundry and Biosecurity. The Biosecurity segment generates the majority of revenue.

Unraveling the Financial Story of Ginkgo Bioworks Holdings

Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.

Revenue Challenges: Ginkgo Bioworks Holdings's revenue growth over 3 months faced difficulties. As of 30 September, 2023, the company experienced a decline of approximately -16.52%. This indicates a decrease in top-line earnings. As compared to competitors, the company encountered difficulties, with a growth rate lower than the average among peers in the Materials sector.

Net Margin: Ginkgo Bioworks Holdings's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of -546.44%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Ginkgo Bioworks Holdings's ROE falls below industry averages, indicating challenges in efficiently using equity capital. With an ROE of -21.98%, the company may face hurdles in generating optimal returns for shareholders.

Return on Assets (ROA): Ginkgo Bioworks Holdings's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of -14.03%, the company may face hurdles in achieving optimal financial returns.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.32.

The Significance of Analyst Ratings Explained

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.

This article was generated by Benzinga's automated content engine and reviewed by an editor.