Why Ginkgo Bioworks Holdings Shares Are Up 9% Today

Specialist in bioengineering Ginkgo Bioworks Holdings (DNA 9.31%) provided much-needed good news to investors on Tuesday. These people rewarded the company commensurately by trading its stock during the day’s session, and it closed the price more than 9% higher. That was more than enough to crush the broader market on the day, at least on the downside S&P 500 index.

Two new products introduced

The Ginkgo news was related to its efforts in the field of artificial intelligence (AI). While this technology isn’t as hot for investors as it was a few months ago, there’s still plenty of interest in its power and potential.

The company unveiled two new AI-related products on Tuesday. The first is a large protein language model (LLM) that he developed with his partner in the technology industry Alphabetits Google Cloud consulting unit. According to biotechnology, this LLM “will give individual researchers and enterprise companies the ability to develop medicines with information from Ginkgo’s private data.”

The company also released its application programming interface (API; a piece of software that allows different applications to work together). The API, which has been made publicly available on Ginkgo’s website, enables researchers to work efficiently with biological AI models, the company said.

Hope for the future

Ginkgo did not provide any financial details — costs, prices, etc. — for no offer. Regardless, it’s clear that investors are excited by its assertive push into AI and its continued focus on the technology’s power to help drug development. Shareholders will hope that management can turn such efforts into significant revenue generators soon.