Zymeworks (NASDAQ:ZYME) Releases Quarterly Earnings Results, Misses Expectations By $0.49 EPS

Zymeworks (NASDAQ:ZYME) posted its quarterly earnings results on Thursday. The company reported ($0.59) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.10) by ($0.49), FiscalAI reports. Zymeworks had a negative net margin of 76.56% and a negative return on equity of 26.00%. The business had revenue of $2.41 million during the quarter, compared to the consensus estimate of $24.38 million. During the same period last year, the firm earned ($0.30) EPS. The business’s revenue for the quarter was down 91.1% on a year-over-year basis.

Here are the key takeaways from Zymeworks’ conference call:

• Zanidatamab regulatory catalysts: U.S. PDUFA is set for August 25, 2026 for first‑line HER2+ GEA and an sBLA was completed in China, creating near‑term commercialization visibility and expected partner milestone payments (approximately $250M U.S., $50M China).
• Pan‑RAS ADC platform progress: AACR disclosed three new pan‑RAS ADC candidates with a proprietary payload showing tumor‑selective accumulation, durable pathway inhibition, and encouraging non‑human primate tolerability, supporting further development across RAS‑driven cancers.
• ZW191 clinical signal: Phase I data showed strong activity in heavily pretreated ovarian (ORR 56% overall; 61% at 6.4–9.6 mg/kg) and endometrial cancer (ORR 40% overall; 57% at 6.4–9.6 mg/kg) with manageable cytopenias/GI events and ongoing dose optimization.
• Financial results show volatility: revenue fell to $2.4M (Q1 2026) from $27.1M a year earlier and net loss widened to $44.2M, driven by the absence of non‑recurring 2025 milestones and declines in development support.
• Balance sheet and capital deployment: Cash and marketable securities were $403.8M at March 31, 2026, ~$95.8M of a $125M buyback executed (≈3.93M shares), and management expects runway beyond 2028 assuming anticipated milestone payments (~$440M), supporting buybacks, partnerships, or M&A optionality.

Zymeworks Price Performance

NASDAQ ZYME traded down $1.01 during trading on Thursday, reaching $26.60. The company’s stock had a trading volume of 707,366 shares, compared to its average volume of 534,479. The stock has a market capitalization of $1.96 billion, a PE ratio of -24.63 and a beta of 1.20. The firm has a fifty day moving average of $25.62 and a 200 day moving average of $24.06. Zymeworks has a one year low of $10.86 and a one year high of $29.75.

Wall Street Analysts Forecast Growth

Several analysts have recently issued reports on the stock. Weiss Ratings reissued a “sell (d-)” rating on shares of Zymeworks in a research report on Monday, April 20th. Leerink Partners upped their target price on shares of Zymeworks from $52.00 to $58.00 and gave the stock an “outperform” rating in a report on Tuesday, March 3rd. Truist Financial raised shares of Zymeworks to a “strong-buy” rating in a report on Monday, April 27th. HC Wainwright raised their price target on shares of Zymeworks from $32.00 to $46.00 and gave the company a “buy” rating in a report on Friday, March 6th. Finally, Stifel Nicolaus raised their price target on shares of Zymeworks from $40.00 to $47.00 and gave the company a “buy” rating in a report on Tuesday, March 3rd. Two equities research analysts have rated the stock with a Strong Buy rating, nine have assigned a Buy rating, one has given a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat, Zymeworks presently has an average rating of “Moderate Buy” and a consensus target price of $37.89.

Hedge Funds Weigh In On Zymeworks

Institutional investors have recently added to or reduced their stakes in the business. Russell Investments Group Ltd. increased its holdings in shares of Zymeworks by 1.6% in the 4th quarter. Russell Investments Group Ltd. now owns 58,350 shares of the company’s stock worth $1,536,000 after buying an additional 902 shares during the last quarter. Campbell & CO Investment Adviser LLC increased its holdings in shares of Zymeworks by 3.4% in the 4th quarter. Campbell & CO Investment Adviser LLC now owns 33,588 shares of the company’s stock worth $884,000 after buying an additional 1,095 shares during the last quarter. Swiss National Bank increased its holdings in shares of Zymeworks by 1.5% in the 4th quarter. Swiss National Bank now owns 74,200 shares of the company’s stock worth $1,954,000 after buying an additional 1,100 shares during the last quarter. Tower Research Capital LLC TRC increased its holdings in shares of 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 buying an additional 1,131 shares during the last quarter. Finally, O Shaughnessy Asset Management LLC increased its holdings in shares of Zymeworks by 3.1% in the 4th quarter. O Shaughnessy Asset Management LLC now owns 43,052 shares of the company’s stock worth $1,134,000 after buying an additional 1,284 shares during the last quarter. 92.89% of the stock is currently owned by institutional investors.

Zymeworks Company Profile

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.