Zai Lab (NASDAQ:ZLAB) Stock Price Down 6.3% – Time to Sell?

Zai Lab Limited Unsponsored ADR (NASDAQ:ZLAB)’s share price dropped 6.3% on Tuesday. The company traded as low as $23.02 and last traded at $23.0440. Approximately 179,278 shares were traded during trading, a decline of 79% from the average session volume of 855,420 shares. The stock had previously closed at $24.59.

Analysts Set New Price Targets

Several equities research analysts recently weighed in on ZLAB shares. Weiss Ratings raised Zai Lab from a “sell (e+)” rating to a “sell (d-)” rating in a report on Wednesday, July 29th. Citigroup increased their price objective on Zai Lab from $44.00 to $45.00 and gave the stock a “buy” rating in a report on Friday, August 7th. Zacks Research raised shares of Zai Lab from a “strong sell” rating to a “hold” rating in a report on Tuesday, July 7th. Wall Street Zen raised shares of Zai Lab from a “sell” rating to a “hold” rating in a research note on Saturday, September 26th. Finally, Cantor Fitzgerald reissued an “overweight” rating on shares of Zai Lab in a report on Tuesday, October 6th. One research analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat, the stock has a consensus rating of “Moderate Buy” and an average price target of $37.25.

Zai Lab Stock Performance

The stock has a market capitalization of $2.60 billion, a P/E ratio of -13.41 and a beta of 0.73. The business has a 50-day moving average price of $25.16 and a 200 day moving average price of $21.51.

Zai Lab (NASDAQ:ZLAB) last announced its quarterly earnings results on Tuesday, June 30th. The company reported ($0.50) EPS for the quarter. The company had revenue of $106.31 million during the quarter. Zai Lab had a negative return on equity of 27.43% and a negative net margin of 41.86%. As a group, research analysts forecast that Zai Lab Limited Unsponsored ADR will post -2.37 earnings per share for the current fiscal year.

Insider Transactions at Zai Lab

In other Zai Lab news, Director William Lis sold 8,506 shares of the business’s stock in a transaction that occurred on Wednesday, August 12th. The stock was sold at an average price of $25.00, for a total transaction of $212,650.00. Following the sale, the director directly owned 41,931 shares of the company’s stock, valued at $1,048,275. The trade was a 16.86% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. Insiders have sold a total of 9,385 shares of company stock worth $235,145 over the last quarter. 4.88% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Zai Lab

Hedge funds have recently bought and sold shares of the business. Nykredit A S purchased a new stake in shares of Zai Lab during the second quarter valued at $79,000. Seven Fleet Capital Management LP grew its stake in Zai Lab by 74.7% in the second quarter. Seven Fleet Capital Management LP now owns 136,016 shares of the company’s stock worth $2,584,000 after purchasing an additional 58,158 shares in the last quarter. Finally, Headlands Technologies LLC lifted its holdings in shares of Zai Lab by 142.0% in the 2nd quarter. Headlands Technologies LLC now owns 68,010 shares of the company’s stock worth $1,292,000 after buying an additional 39,901 shares during the period. Institutional investors own 41.65% of the company’s stock.

About Zai Lab

Zai Lab Ltd. (NASDAQ: ZLAB) is a biopharmaceutical company focused on discovering, developing and commercializing medicines for serious diseases with significant unmet medical needs. The company’s research and development activities span oncology, autoimmune and inflammatory disorders, infectious diseases, and neuroscience.

Founded in 2014 by Samantha Du, Zai Lab has built a portfolio through internal research as well as licensing and collaboration agreements with international pharmaceutical and biotechnology companies.