Zai Lab (NASDAQ:ZLAB) Hits New 1-Year High – Should You Buy?

Zai Lab Limited (NASDAQ:ZLAB)’s share price reached a new 52-week high during mid-day trading on Tuesday . The stock traded as high as $39.98 and last traded at $39.50, with a volume of 22132 shares traded. The stock had previously closed at $37.87.

Analyst Upgrades and Downgrades

A number of analysts have recently issued reports on the stock. JPMorgan Chase & Co. raised their price target on shares of Zai Lab from $44.00 to $51.00 and gave the stock an “overweight” rating in a report on Thursday, March 13th. Bank of America reissued a “neutral” rating and set a $36.10 target price (up previously from $29.00) on shares of Zai Lab in a research note on Monday, March 3rd. Scotiabank started coverage on Zai Lab in a research note on Friday, March 7th. They issued a “sector outperform” rating and a $55.00 price target on the stock. Finally, Cantor Fitzgerald reiterated an “overweight” rating on shares of Zai Lab in a report on Thursday, March 27th.

Zai Lab Trading Up 3.5%

The company has a market capitalization of $4.57 billion, a PE ratio of -14.95 and a beta of 0.96. The business has a fifty day moving average of $31.22 and a 200 day moving average of $30.31.

Zai Lab (NASDAQ:ZLAB) last posted its quarterly earnings data on Thursday, May 8th. The company reported ($0.45) EPS for the quarter, beating the consensus estimate of ($0.50) by $0.05. Zai Lab had a negative net margin of 76.14% and a negative return on equity of 36.97%. The business had revenue of $106.49 million during the quarter, compared to analyst estimates of $118.40 million. Equities analysts forecast that Zai Lab Limited will post -2.58 EPS for the current fiscal year.

Insider Transactions at Zai Lab

In other Zai Lab news, insider Frazor Titus Edmondson III sold 4,369 shares of the company’s stock in a transaction on Wednesday, April 2nd. The shares were sold at an average price of $35.89, for a total transaction of $156,803.41. Following the completion of the transaction, the insider now owns 27,217 shares in the company, valued at approximately $976,818.13. This represents a 13.83% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, insider Rafael Amado sold 3,000 shares of Zai Lab stock in a transaction that occurred on Monday, March 17th. The shares were sold at an average price of $38.41, for a total value of $115,230.00. Following the completion of the sale, the insider now directly owns 30,834 shares in the company, valued at $1,184,333.94. This represents a 8.87% decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders sold 130,207 shares of company stock valued at $3,880,239. 4.96% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in the company. Acadian Asset Management LLC acquired a new stake in Zai Lab during the 1st quarter valued at $1,073,000. MPM Bioimpact LLC grew its holdings in shares of Zai Lab by 4.2% during the first quarter. MPM Bioimpact LLC now owns 833,659 shares of the company’s stock worth $30,128,000 after buying an additional 33,659 shares in the last quarter. Frazier Life Sciences Management L.P. acquired a new position in shares of Zai Lab in the first quarter valued at approximately $12,649,000. Cubist Systematic Strategies LLC lifted its stake in shares of Zai Lab by 29.0% during the first quarter. Cubist Systematic Strategies LLC now owns 93,645 shares of the company’s stock valued at $3,384,000 after buying an additional 21,026 shares during the period. Finally, Royal Bank of Canada grew its stake in Zai Lab by 214.3% in the 1st quarter. Royal Bank of Canada now owns 13,771 shares of the company’s stock worth $498,000 after acquiring an additional 9,390 shares during the period. Institutional investors and hedge funds own 41.65% of the company’s stock.

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.