Zai Lab (NASDAQ:ZLAB) Sees Large Volume Increase – Here’s Why

Zai Lab Limited Unsponsored ADR (NASDAQ:ZLAB) shares saw unusually-strong trading volume on Monday . Approximately 553,897 shares were traded during mid-day trading, a decline of 32% from the previous session’s volume of 814,806 shares.The stock last traded at $20.12 and had previously closed at $20.49.

Analysts Set New Price Targets

Several research firms have recently issued reports on ZLAB. JPMorgan Chase & Co. cut their price objective on shares of Zai Lab from $39.00 to $32.00 and set an “overweight” rating on the stock in a report on Wednesday, March 18th. Zacks Research upgraded shares of Zai Lab from a “strong sell” rating to a “hold” rating in a research note on Tuesday, July 7th. Wall Street Zen downgraded shares of Zai Lab from a “hold” rating to a “sell” rating in a research report on Saturday, May 16th. Weiss Ratings upgraded shares of Zai Lab from a “sell (e+)” rating to a “sell (d-)” rating in a research note on Friday, June 26th. Finally, Citigroup decreased their price target on shares of Zai Lab from $47.00 to $44.00 and set a “buy” rating for the company in a report on Friday, May 8th. One analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, one has given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $40.00.

Zai Lab Stock Performance

The company has a 50 day simple moving average of $18.67 and a two-hundred day simple moving average of $19.07. The firm has a market cap of $2.26 billion, a PE ratio of -12.25 and a beta of 0.76.

Zai Lab (NASDAQ:ZLAB) last announced its quarterly earnings data on Wednesday, April 1st. The company reported ($0.50) earnings per share (EPS) for the quarter. Zai Lab had a negative return on equity of 24.32% and a negative net margin of 39.29%.The firm had revenue of $99.61 million during the quarter. As a group, research analysts predict that Zai Lab Limited Unsponsored ADR will post -2.23 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Zai Lab news, CEO Ying Du sold 50,000 shares of the firm’s stock in a transaction that occurred on Thursday, May 14th. The shares were sold at an average price of $20.09, for a total transaction of $1,004,500.00. Following the completion of the transaction, the chief executive officer directly owned 1,122,626 shares of the company’s stock, valued at approximately $22,553,556.34. This trade represents a 4.26% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, CFO Yajing Chen sold 2,264 shares of Zai Lab stock in a transaction that occurred on Friday, June 26th. The shares were sold at an average price of $17.46, for a total transaction of $39,529.44. Following the sale, the chief financial officer owned 35,691 shares of the company’s stock, valued at approximately $623,164.86. The trade was a 5.96% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last quarter, insiders have sold 90,873 shares of company stock worth $1,730,096. 4.88% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A hedge fund recently raised its stake in Zai Lab stock. SG Americas Securities LLC raised its holdings in Zai Lab Limited Unsponsored ADR (NASDAQ:ZLAB) by 6.6% during the 4th quarter, according to the company in its most recent Form 13F filing with the SEC. The fund owned 10,396 shares of the company’s stock after purchasing an additional 642 shares during the quarter. SG Americas Securities LLC’s holdings in Zai Lab were worth $183,000 at the end of the most recent reporting period. 41.65% of the stock is owned by hedge funds and other institutional investors.

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.