Zai Lab (NASDAQ:ZLAB) Shares Gap Up – Here’s Why

Shares of Zai Lab Limited Unsponsored ADR (NASDAQ:ZLAB) gapped up prior to trading on Wednesday . The stock had previously closed at $18.20, but opened at $19.14. Zai Lab shares last traded at $18.99, with a volume of 181,962 shares.

Wall Street Analysts Forecast Growth

ZLAB has been the topic of several research reports. UBS Group assumed coverage on Zai Lab in a research report on Wednesday. They issued a “buy” rating and a $35.00 target price on the stock. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Zai Lab in a research note on Wednesday, October 8th. Seven investment analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and an average price target of $53.30.

Zai Lab Trading Up 4.9%

The stock has a market capitalization of $2.14 billion, a PE ratio of -9.82 and a beta of 0.83. The firm’s fifty day moving average is $20.06 and its 200-day moving average is $28.86.

Zai Lab (NASDAQ:ZLAB) last announced its quarterly earnings data on Thursday, November 6th. The company reported ($0.33) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.28) by ($0.05). Zai Lab had a negative net margin of 46.83% and a negative return on equity of 25.83%. The company had revenue of $116.10 million during the quarter, compared to analysts’ expectations of $150.24 million. As a group, equities analysts predict that Zai Lab Limited Unsponsored ADR will post -2.58 EPS for the current year.

Insider Activity

In other news, insider Rafael Amado sold 10,787 shares of the firm’s stock in a transaction dated Wednesday, December 31st. The stock was sold at an average price of $17.43, for a total transaction of $188,017.41. Following the sale, the insider owned 52,391 shares of the company’s stock, valued at approximately $913,175.13. This trade represents a 17.07% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Corporate insiders own 4.96% of the company’s stock.

Institutional Investors Weigh In On Zai Lab

Several hedge funds and other institutional investors have recently bought and sold shares of ZLAB. Acadian Asset Management LLC purchased a new position in shares of Zai Lab during the first quarter worth about $1,073,000. Royal Bank of Canada increased its position in Zai Lab by 214.3% during the first quarter. Royal Bank of Canada now owns 13,771 shares of the company’s stock worth $498,000 after buying an additional 9,390 shares during the period. Finally, SG Americas Securities LLC purchased a new stake in Zai Lab in the third quarter valued at approximately $331,000. 41.65% of the stock is currently owned by institutional investors and hedge funds.

About Zai Lab

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.