Conestoga Capital Advisors released its second-quarter 2025 investor letter, noting a 15.65% net-of-fees appreciation in the Conestoga Micro Cap Composite. The firm underperformed the Russell Microcap Growth Index’s 20.92% return due to a highly volatile market led by high-beta and lower-quality stocks. Review their top 5 holdings for key insights into their selections.

In the second quarter 2025 investor letter, Conestoga Capital Advisors highlighted Twist Bioscience Corporation (NASDAQ:TWST). The company manufactures synthetic DNA-based products, with shares losing 37.34% value in the last 52 weeks. Twist Bioscience Corporation (TWST) stock closed at $35.99 per share on July 25, 2025, with a market capitalization of $2.16 billion.

Conestoga Capital Advisors views Twist Bioscience Corporation (TWST) as a rapidly growing synthetic biology company with robust fundamentals and upgraded management. Conestoga sold its shares in 2020 due to market cap limits, but is reinvesting now. The company’s disruptive DNA synthesis platform is poised for profitability in the near future.

According to Insider Monkey, 30 hedge fund portfolios held Twist Bioscience Corporation (TWST) at the end of the first quarter, up from 26 in the previous quarter. In the second quarter of 2025, TWST reported revenue of $92.8 million, a 23% increase year-over-year. While TWST has potential, certain AI stocks may offer greater upside potential with less downside risk.

Read more at Yahoo Finance: Is Twist Bioscience Corp. (TWST) Nearing Profitability?