Zymeworks (NASDAQ:ZYME) Trading Down 5.8% – Should You Sell?

Zymeworks Inc. (NASDAQ:ZYME)’s stock price was down 5.8% during mid-day trading on Monday . The company traded as low as $25.06 and last traded at $24.7820. 54,788 shares changed hands during trading, a decline of 92% from the average session volume of 709,559 shares. The stock had previously closed at $26.31.

Analyst Upgrades and Downgrades

Several analysts recently weighed in on ZYME shares. Citigroup reiterated a “buy” rating on shares of Zymeworks in a report on Tuesday, June 30th. Wells Fargo & Company upped their price objective on shares of Zymeworks from $34.00 to $37.00 and gave the stock an “overweight” rating in a report on Tuesday, June 30th. Truist Financial raised their target price on shares of Zymeworks from $28.00 to $31.00 and gave the stock a “buy” rating in a research report on Tuesday. HC Wainwright reaffirmed a “buy” rating and set a $46.00 target price on shares of Zymeworks in a research note on Wednesday, June 3rd. Finally, Weiss Ratings reissued a “sell (d-)” rating on shares of Zymeworks in a research note on Monday, April 20th. One analyst has rated the stock with a Strong Buy rating, eight have issued a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus target price of $37.33.

Zymeworks Trading Up 5.5%

The stock has a market cap of $1.95 billion, a P/E ratio of -19.50 and a beta of 1.13. The stock’s fifty day moving average price is $24.82 and its 200 day moving average price is $24.72.

Zymeworks (NASDAQ:ZYME) last issued its quarterly earnings results on Tuesday, March 31st. The company reported ($0.59) earnings per share (EPS) for the quarter. Zymeworks had a negative return on equity of 37.97% and a negative net margin of 126.92%.The business had revenue of $2.41 million during the quarter. As a group, sell-side analysts forecast that Zymeworks Inc. will post 1.1 earnings per share for the current year.

Zymeworks announced that its Board of Directors has approved a share repurchase program on Thursday, May 14th that authorizes the company to repurchase $125.00 million in outstanding shares. This repurchase authorization authorizes the company to purchase up to 7% of its shares through open market purchases. Shares repurchase programs are generally an indication that the company’s leadership believes its stock is undervalued.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in ZYME. Caitong International Asset Management Co. Ltd bought a new stake in Zymeworks in the fourth quarter worth $37,000. Quarry LP purchased a new position in shares of Zymeworks in the 3rd quarter worth about $50,000. Mirae Asset Global Investments Co. Ltd. boosted its stake in Zymeworks by 25.2% in the 4th quarter. Mirae Asset Global Investments Co. Ltd. now owns 3,637 shares of the company’s stock worth $96,000 after purchasing an additional 731 shares in the last quarter. Tower Research Capital LLC TRC boosted its stake in Zymeworks by 29.6% in the 2nd quarter. Tower Research Capital LLC TRC now owns 4,947 shares of the company’s stock worth $62,000 after purchasing an additional 1,131 shares in the last quarter. Finally, Allspring Global Investments Holdings LLC purchased a new stake in Zymeworks during the 4th quarter valued at about $205,000. Hedge funds and other institutional investors own 92.89% of the company’s stock.

About Zymeworks

Zymeworks Inc is a clinical-stage biopharmaceutical company dedicated to the discovery, development and commercialization of next-generation multifunctional biotherapeutics. The company specializes in engineered antibody and protein therapeutics designed to address a range of unmet medical needs in oncology and other serious diseases. Through its proprietary platforms, Zymeworks aims to create novel bispecific and multispecific molecules that can simultaneously engage multiple targets and recruit immune effector functions to enhance potency and specificity.

At the core of Zymeworks’ innovation is its Azymetric™ bispecific antibody platform, which enables the design of asymmetrical bispecific antibodies with controlled assembly and high stability.