Zai Lab (NASDAQ:ZLAB) Posts Earnings Results, Hits Estimates

Key Points

• Zai Lab reported a quarterly EPS of ($0.37), matching analyst expectations but falling short on revenue with $109.98 million compared to the estimated $125.66 million.
• The stock price of Zai Lab has recently seen a slight increase of 2.6%, trading at $34.96 with a 12-month range between $16.01 and $44.34.
• Insider trading activity includes Director William Lis selling 13,814 shares and CEO Ying Du selling 7,072 shares, indicating a decrease in their ownership stakes in the company.

Zai Lab (NASDAQ:ZLAB - Get Free Report) announced its quarterly earnings results on Thursday. The company reported ($0.37) EPS for the quarter, meeting the consensus estimate of ($0.37), Zacks reports. Zai Lab had a negative net margin of 49.68% and a negative return on equity of 27.32%. The company had revenue of $109.98 million for the quarter, compared to analyst estimates of $125.66 million. Zai Lab updated its FY 2025 guidance to EPS.

Zai Lab Stock Up 3.4%

Shares of NASDAQ:ZLAB traded up $1.16 during trading on Wednesday, reaching $35.47. 106,514 shares of the company traded hands, compared to its average volume of 990,103. The firm has a fifty day simple moving average of $36.77 and a 200 day simple moving average of $33.37. The firm has a market cap of $3.94 billion, a P/E ratio of -17.42 and a beta of 1.03. Zai Lab has a 1-year low of $16.03 and a 1-year high of $44.34.

Insider Activity at Zai Lab

In other Zai Lab news, insider Rafael Amado sold 3,000 shares of Zai Lab stock in a transaction on Friday, August 8th. The shares were sold at an average price of $35.00, for a total transaction of $105,000.00. Following the completion of the sale, the insider owned 42,178 shares of the company's stock, valued at $1,476,230. This trade represents a 6.64% decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this hyperlink. Also, CEO Ying Du sold 50,000 shares of Zai Lab stock in a transaction on Monday, August 11th. The shares were sold at an average price of $34.64, for a total transaction of $1,732,000.00. Following the sale, the chief executive officer directly owned 536,962 shares of the company's stock, valued at $18,600,363.68. This trade represents a 8.52% decrease in their position. The disclosure for this sale can be found here. Over the last 90 days, insiders sold 170,862 shares of company stock worth $5,941,273. Corporate insiders own 4.96% of the company's stock.

Institutional Inflows and Outflows

An institutional investor recently raised its position in Zai Lab stock. Royal Bank of Canada grew its holdings in shares of Zai Lab Limited Unsponsored ADR (NASDAQ:ZLAB - Free Report) by 214.3% during the first quarter, according to its most recent filing with the Securities and Exchange Commission. The institutional investor owned 13,771 shares of the company's stock after purchasing an additional 9,390 shares during the quarter. Royal Bank of Canada's holdings in Zai Lab were worth $498,000 as of its most recent filing with the Securities and Exchange Commission. 41.65% of the stock is currently owned by institutional investors and hedge funds.

Analyst Ratings Changes

ZLAB has been the topic of several recent research reports. Leerink Partners set a $75.00 price target on shares of Zai Lab and gave the stock an "outperform" rating in a research report on Monday, June 30th. Wall Street Zen lowered shares of Zai Lab from a "buy" rating to a "hold" rating in a research report on Friday, June 27th. Finally, Citigroup restated a "buy" rating and issued a $69.00 price target (up previously from $66.00) on shares of Zai Lab in a research report on Monday. Two research analysts have rated the stock with a hold rating and five have assigned a buy rating to the stock. According to MarketBeat.com, the company has a consensus rating of "Moderate Buy" and a consensus price target of $57.22.

Zai Lab Company Profile

Zai Lab Limited develops and commercializes therapies to treat oncology, autoimmune disorders, infectious diseases, and neuroscience. Its commercial products include Zejula, an orally administered poly polymerase 1/2 inhibitor; Optune, a cancer therapy that uses electric fields tuned to specific frequencies to kill tumor cells; NUZYRA for acute bacterial skin and skin structure infections, and community acquired bacterial pneumonia; Qinlock to treat gastrointestinal stromal tumors, and VYVGART, a human IgG1 antibody fragment for myesthenia gravis.