Zymeworks (NYSE:ZYME) Shares Gap Down - Here's What Happened

Key Points

• Zymeworks Inc. experienced a significant **stock price drop**, opening at $13.91 after closing at $14.81, with last trades at $14.64 and a volume of 88,616 shares.
• Analysts show mixed sentiments, with HC Wainwright issuing a **neutral rating** at a $13.00 price target while Citigroup set a higher target of **$22.00** along with a "buy" rating, resulting in an overall average price target of **$21.43**.
• The company reported **$0.03 earnings per share**, surpassing estimates of ($0.52), alongside impressive revenue growth of **153.2%** year over year, reaching **$48.73 million** for the latest quarter.

Shares of Zymeworks Inc. (NYSE:ZYME - Get Free Report) gapped down before the market opened on Tuesday . The stock had previously closed at $14.81, but opened at $13.91. Zymeworks shares last traded at $14.64, with a volume of 88,616 shares traded.

Analyst Ratings Changes

Several research analysts have weighed in on ZYME shares. HC Wainwright reaffirmed a "neutral" rating and set a $13.00 target price on shares of Zymeworks in a research note on Thursday, July 3rd. Citigroup lifted their price objective on Zymeworks from $19.00 to $22.00 and gave the company a "buy" rating in a research note on Monday, August 11th. TD Cowen assumed coverage on Zymeworks in a research note on Tuesday, May 20th. They issued a "buy" rating for the company. Finally, TD Securities assumed coverage on Zymeworks in a research note on Tuesday, May 20th. They issued a "buy" rating for the company. One investment analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating and two have assigned a Hold rating to the company. According to MarketBeat.com, Zymeworks has an average rating of "Moderate Buy" and an average target price of $21.43.

Zymeworks Price Performance

The business's 50 day moving average is $13.63 and its 200 day moving average is $12.65. The stock has a market cap of $1.13 billion, a price-to-earnings ratio of -10.03 and a beta of 1.27.

Zymeworks (NYSE:ZYME - Get Free Report) last released its quarterly earnings data on Thursday, August 7th. The company reported $0.03 earnings per share for the quarter, topping analysts' consensus estimates of ($0.52) by $0.55. Zymeworks had a negative net margin of 182.75% and a negative return on equity of 23.00%. The company had revenue of $48.73 million for the quarter, compared to analysts' expectations of $17.18 million. During the same quarter last year, the company earned ($0.49) earnings per share. The firm's revenue for the quarter was up 153.2% on a year-over-year basis. As a group, analysts forecast that Zymeworks Inc. will post -1.39 earnings per share for the current year.

Hedge Funds Weigh In On Zymeworks

A number of institutional investors have recently modified their holdings of ZYME. CWM LLC increased its stake in Zymeworks by 1,091.2% in the 1st quarter. CWM LLC now owns 2,299 shares of the company's stock valued at $27,000 after buying an additional 2,106 shares during the period. Tower Research Capital LLC TRC lifted its holdings in Zymeworks by 29.6% in the second quarter. Tower Research Capital LLC TRC now owns 4,947 shares of the company's stock valued at $62,000 after acquiring an additional 1,131 shares during the period. GAMMA Investing LLC lifted its holdings in Zymeworks by 1,113.3% in the first quarter. GAMMA Investing LLC now owns 6,467 shares of the company's stock valued at $77,000 after acquiring an additional 5,934 shares during the period. BNP Paribas Financial Markets acquired a new stake in Zymeworks in the fourth quarter valued at $108,000. Finally, Northwest & Ethical Investments L.P. lifted its holdings in Zymeworks by 83.3% in the first quarter. Northwest & Ethical Investments L.P. now owns 10,030 shares of the company's stock valued at $119,000 after acquiring an additional 4,559 shares during the period. 92.89% of the stock is owned by institutional investors and hedge funds.

About Zymeworks

Zymeworks Inc, a clinical-stage biopharmaceutical company, discovers, develops, and commercializes biotherapeutics for the treatment of cancer. The company's lead product candidates include zanidatamab, a human epidermal growth factor receptor 2 (HER2) that is in Phase 1, Phase 2, and Phase 3 clinical trials, including certain ongoing pivotal clinical trials; and zanidatamab zovodotin, a HER2 -targeted antibody-drug conjugate that is in Phase 2 clinical trial for the treatment of advanced or metastatic HER2-expressing tumors.