Critical Contrast: Zenas Biopharma (ZBIO) and Its Rivals

Zenas Biopharma (NASDAQ:ZBIO) is one of 422 public companies in the “Biotechnology” industry, but how does it contrast to its peers? We will compare Zenas Biopharma to similar businesses based on the strength of its dividends, risk, valuation, institutional ownership, earnings, profitability and analyst recommendations.

Analyst Ratings

This is a breakdown of current ratings and price targets for Zenas Biopharma and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Zenas Biopharma	0	0	2	0	3.00
Zenas Biopharma Competitors	826	2266	4730	56	2.51

Zenas Biopharma currently has a consensus price target of $40.00, suggesting a potential upside of 389.60%. As a group, “Biotechnology” companies have a potential upside of 52.12%. Given Zenas Biopharma’s stronger consensus rating and higher possible upside, analysts clearly believe Zenas Biopharma is more favorable than its peers.

Dividends

Zenas Biopharma pays an annual dividend of $0.05 per share and has a dividend yield of 0.6%. Zenas Biopharma pays out -1.4% of its earnings in the form of a dividend. As a group, “Biotechnology” companies pay a dividend yield of 4.4% and pay out 119.0% of their earnings in the form of a dividend.

Earnings and Valuation

This table compares Zenas Biopharma and its peers revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Zenas Biopharma	$5.00 million	N/A	-2.30
Zenas Biopharma Competitors	$154.14 million	-$11.26 million	-57.26

Zenas Biopharma’s peers have higher revenue, but lower earnings than Zenas Biopharma. Zenas Biopharma is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Profitability

This table compares Zenas Biopharma and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Zenas Biopharma	N/A	N/A	N/A
Zenas Biopharma Competitors	-14,682.20%	39.10%	-32.41%

Institutional and Insider Ownership

29.3% of shares of all “Biotechnology” companies are held by institutional investors. 22.5% of shares of all “Biotechnology” companies are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Summary

Zenas Biopharma beats its peers on 7 of the 13 factors compared.

Zenas Biopharma Company Profile

Zenas BioPharma, Inc. is a clinical-stage global biopharmaceutical company. The firm is mainly engaged in the development and commercialization of transformative immunology-based therapies for patients. The company was founded by Lonnie O. Moulder Jr on November 12, 2019 and is headquartered in Waltham, MA.