Zai Lab (NASDAQ:ZLAB) Trading 6.9% Higher – Time to Buy?

Zai Lab Limited Unsponsored ADR (NASDAQ:ZLAB)’s share price shot up 6.9% during mid-day trading on Wednesday . The company traded as high as $17.91 and last traded at $17.80. 186,073 shares traded hands during trading, a decline of 76% from the average session volume of 786,726 shares. The stock had previously closed at $16.65.

Analyst Upgrades and Downgrades

A number of brokerages have recently issued reports on ZLAB. Weiss Ratings lowered shares of Zai Lab from a “sell (d-)” rating to a “sell (e+)” rating in a research note on Thursday, June 4th. Citigroup dropped their target price on shares of Zai Lab from $47.00 to $44.00 and set a “buy” rating for the company in a report on Friday, May 8th. Wall Street Zen cut shares of Zai Lab from a “hold” rating to a “sell” rating in a report on Saturday, May 16th. Cantor Fitzgerald dropped their target price on shares of Zai Lab from $55.00 to $37.00 and set an “overweight” rating for the company in a report on Friday, February 27th. Finally, JPMorgan Chase & Co. dropped their target price on shares of Zai Lab from $39.00 to $32.00 and set an “overweight” rating for the company in a report on Wednesday, March 18th. One investment analyst has rated the stock with a Strong Buy rating, five have given a Buy rating and two have given a Sell rating to the stock. According to MarketBeat.com, Zai Lab currently has a consensus rating of “Moderate Buy” and an average price target of $45.83.

Zai Lab Price Performance

The firm’s 50-day moving average price is $20.10 and its 200 day moving average price is $19.13. The firm has a market capitalization of $1.98 billion, a price-to-earnings ratio of -10.77 and a beta of 0.78.

Zai Lab (NASDAQ:ZLAB) last announced its earnings results on Wednesday, April 1st. The company reported ($0.50) earnings per share (EPS) for the quarter. Zai Lab had a negative return on equity of 24.32% and a negative net margin of 39.29%.The firm had revenue of $99.61 million for the quarter. On average, analysts predict that Zai Lab Limited Unsponsored ADR will post -2.23 earnings per share for the current fiscal year.

Insider Activity

In related news, CFO Yajing Chen sold 5,199 shares of the business’s stock in a transaction dated Thursday, April 2nd. The shares were sold at an average price of $20.39, for a total transaction of $106,007.61. Following the completion of the sale, the chief financial officer owned 32,558 shares of the company’s stock, valued at $663,857.62. This represents a 13.77% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Ying Du sold 50,000 shares of the business’s stock in a transaction dated Thursday, May 14th. The shares were sold at an average price of $20.09, for a total transaction of $1,004,500.00. Following the sale, the chief executive officer directly owned 1,122,626 shares of the company’s stock, valued at approximately $22,553,556.34. This represents a 4.26% decrease in their position. The SEC filing for this sale provides additional information. Over the last 90 days, insiders have sold 96,187 shares of company stock worth $1,935,147. 4.88% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

An institutional investor recently raised its position in Zai Lab stock. Royal Bank of Canada increased its stake in Zai Lab Limited Unsponsored ADR (NASDAQ:ZLAB) by 214.3% in the 1st quarter, according to its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor owned 13,771 shares of the company’s stock after acquiring an additional 9,390 shares during the period. Royal Bank of Canada’s holdings in Zai Lab were worth $498,000 at the end of the most recent reporting period. Hedge funds and other institutional investors own 41.65% of the company’s stock.

Zai Lab Company Profile

Zai Lab Ltd (NASDAQ: ZLAB) is a biopharmaceutical company focused on the research, development, manufacturing and commercialization of innovative therapies. Headquartered in Shanghai, China, Zai Lab operates R&D centers in Asia and the United States and maintains commercial offices across Greater China, North America, Europe and Australia. The company’s end-to-end platform encompasses discovery biology, translational development, clinical research and global supply chain management.

The company’s marketed portfolio is anchored by Brukinsa (zanubrutinib), a next-generation Bruton’s tyrosine kinase inhibitor approved for several B-cell malignancies.