Thread by @Biotech2k1

1/ Bargain Hunting in #SyntheticBiology:

These are the companies that rank in my top picks for people to use as a jumping off point to do their own research.

2/ My first top pick in this space is $DNA. I get that this company is really expensive at just over $7 billion, but they will quickly grow into and surpass that valuation in my opinion.

3/ They already have a very successful commercial platform that is expanding the amount of programs very quickly. They have over 100 programs in development. The biggest risk I see here is their very high level of Biosecurity sales.

4/ They get a majority of sales from their Covid testing programs which could quickly dry up if Coved begins to die out. They have about $1.6 billion of their market cap in just cash.

5/ I think its expensive and has some short term risks around Biosecurity, but the long term seems to be very strong.

6/ My second pick is $TWST. I think they have a very powerful platform around DNA. They have 2 very strong commercial programs around DNA synthesis and NGS. They are developing 2 new programs around clinical development and DNA storage.

7/ The big potential here for them is the future of using their technology to help companies develop drugs which will lead to downstream milestones and royalties.

8/ The DNA storage is still in development and has a long way to go before it works if it ever works. Overall, $TWST looks really cheap based on its long term potential.

9/ My 3rd pick is a bit up for grabs between $AMRS and $CDXS. When I look at $CDXS, they have a very strong enzyme business. This has potential, but not as big as many of the other spaces since enzymes don't make really big money.

10/ What I do like is they are getting into developing enzymes for genetic disease as enzyme replacement therapies. This seems like a dying space to jump into with gene editing, but there are a lot of indications where editing can't even go due to delivery.

11/ I think the potential is there for $CDXS, but it still needs to play out more before I am sure its going to be big enough long term potential to warrant a long term investment. Right now, the company has a very cheap valuation if it does work out as anticipated.

12/ $AMRS has a lot of potential, but they have been very disappointing for years as they weak management. They also have a business model that might limit their potential long term. They focus on synthetic biology from lab to market.

13/ That takes a lot of time and slows the potential for the number of projects they can bring to market. I think there is a ton of execution risk here. It is insanely cheap if they ever get their execution right.

14/ $BLI is my long shot bet in this space. Its been crushed on negative reports which seem to be completely fabricated. They do have weak management and are in a mess with trying to find a new one.

15/ I think there machines could be a game changer for the cell therapy companies, but they have to get their house in order before they can even focus on the commercial business.

16/ The company is absolutely priced for complete failure. That makes it worth a spec position for me should it work out.