Zai Lab (NASDAQ:ZLAB) Trading Down 3.5% – Here’s What Happened

Zai Lab Limited (NASDAQ:ZLAB) shares dropped 3.5% on Wednesday . The stock traded as low as $35.58 and last traded at $35.99. Approximately 110,429 shares were traded during mid-day trading, a decline of 86% from the average daily volume of 766,441 shares. The stock had previously closed at $37.29.

Analysts Set New Price Targets

Several equities research analysts have recently issued reports on the stock. JPMorgan Chase & Co. raised their target price 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 restated a “neutral” rating and set a $36.10 target price (up previously from $29.00) on shares of Zai Lab in a research report on Monday, March 3rd. Scotiabank assumed coverage on Zai Lab in a report on Friday, March 7th. They issued a “sector outperform” rating and a $55.00 price target on the stock. Finally, Cantor Fitzgerald restated an “overweight” rating on shares of Zai Lab in a report on Thursday, March 27th.

Zai Lab Trading Down 4.7 %

The company has a market capitalization of $3.90 billion, a PE ratio of -12.85 and a beta of 1.07. The firm’s 50-day simple moving average is $32.19 and its 200-day simple moving average is $28.58.

Zai Lab (NASDAQ:ZLAB) last announced its quarterly earnings results on Thursday, February 27th. The company reported ($0.80) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.61) by ($0.19). The firm had revenue of $109.07 million during the quarter, compared to analysts’ expectations of $110.15 million. Zai Lab had a negative net margin of 76.14% and a negative return on equity of 36.97%. As a group, analysts anticipate that Zai Lab Limited will post -2.58 EPS for the current year.

Insider Activity at Zai Lab

In related news, CEO Ying Du sold 50,000 shares of the business’s stock in a transaction that occurred on Friday, February 28th. The shares were sold at an average price of $34.47, for a total value of $1,723,500.00. Following the completion of the transaction, the chief executive officer now owns 494,117 shares of the company’s stock, valued at $17,032,212.99. The trade was a 9.19 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at the SEC website. Also, insider Rafael Amado sold 3,000 shares of the stock in a transaction 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 sale, the insider now directly owns 30,834 shares in the company, valued at $1,184,333.94. This trade represents a 8.87 % decrease in their position. The disclosure for this sale can be found here. Insiders sold 117,544 shares of company stock worth $3,940,391 over the last three months. 13.88% of the stock is owned by corporate insiders.

Institutional Trading of Zai Lab

Several hedge funds have recently modified their holdings of the company. Principal Financial Group Inc. bought a new position in shares of Zai Lab during the 4th quarter worth approximately $46,172,000. Geode Capital Management LLC lifted its holdings in shares of Zai Lab by 26.4% during the 3rd quarter. Geode Capital Management LLC now owns 43,626 shares of the company’s stock valued at $1,053,000 after purchasing an additional 9,107 shares during the last quarter. Alberta Investment Management Corp boosted its position in shares of Zai Lab by 42.9% in the 4th quarter. Alberta Investment Management Corp now owns 232,293 shares of the company’s stock worth $6,084,000 after purchasing an additional 69,740 shares in the last quarter. Hennion & Walsh Asset Management Inc. grew its stake in Zai Lab by 28.9% during the 4th quarter. Hennion & Walsh Asset Management Inc. now owns 183,317 shares of the company’s stock worth $4,801,000 after buying an additional 41,128 shares during the last quarter. Finally, SG Americas Securities LLC acquired a new position in Zai Lab during the 4th quarter valued at about $511,000. 41.65% of the stock is owned by hedge funds and other institutional investors.

About Zai Lab

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.