The synthetic biology firm projects $125M-$150M in cash burn for FY26, spooking investors and dragging shares lower.
Ginkgo Bioworks (DNA) shares fell nearly 14% after the company forecast FY26 cash burn of $125M to $150M in its first-quarter results. The stock traded at $8.97 at midday, paring earlier losses of up to 17% in post-market trading on Thursday.
The guidance reflects elevated spending as the company scales operations, though no prior FY26 projections were provided for comparison. Analysts had anticipated a more conservative burn rate, contributing to the sell-off.
The decline underscores investor sensitivity to cash flow projections amid broader market volatility in biotech stocks.