ZLAB Stock Analysis: Zai Lab | NASDAQ
Biotechnology | NASDAQ, USA | Market Cap: 1.992m USD | 12M Return: -45.7% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 17.8M
Qual. Beats: 0
Rev. Trend: 97.3%
Qual. Beats: 0
Warnings
Tailwinds
Seasonality 8.8 years of data
Average return per month, with how dependable it is below — did the month move the same way every year (high) or randomly (low). Above 60 is a pattern worth trusting; under 40 is noise.
Zai Lab Limited is a Shanghai- and Pudong-headquartered biopharmaceutical company that develops and commercializes therapies across oncology, immunology, neuroscience, and infectious diseases. Its commercial portfolio spans Zejula (ovarian cancer), VYVGART (myasthenia gravis and CIDP), NUZYRA (pneumonia and skin infections), Optune (glioblastoma), Qinlock (GIST), Xacduro (hospital-acquired pneumonia), and Augtyro (NSCLC). The company partners with multiple global drug developers, including Pfizer, Amgen, and Boehringer Ingelheim, to in-license and advance therapeutic candidates for commercialization.
Operating within the GICS Biotechnology sub-industry, Zai Labs business model centers on acquiring rights to late-stage and commercial assets from Western biopharma partners and commercializing them across China and broader Asia-Pacific markets, where it leverages local regulatory and commercial infrastructure rather than conducting early discovery work. Founded in 2013 and listed on Nasdaq since 2017, the company has grown into a mid-cap China-based biopharma player whose revenue mix is increasingly weighted toward its own commercial launches alongside partnered products.
- VYVGART and Zejula commercial sales drive China revenue growth
- NRDL pricing pressure compresses margins on key therapies
- Domestic Chinese biotech competition intensifies in oncology market
| Net Income: -178.1m TTM > 0 and > 6% of Revenue |
| FCF/TA: -0.12 > 0.02 and ΔFCF/TA 8.56 > 1.0 |
| NWC/Revenue: 121.7% < 20% (prev 172.6%; Δ -50.88% < -1%) |
| CFO/TA -0.09 > 3% & CFO -101.0m > Net Income -178.1m |
| Net Debt/EBITDA: error (EBITDA <= 0) |
| Current Ratio: 2.40 > 1.5 & < 3 |
| Outstanding Shares: last quarter (110.7m) vs 12m ago 2.46% < -2% |
| Gross Margin: 57.91% > 18% (prev 63.45%; Δ -5.54% > 0.5%) |
| Asset Turnover: 39.95% > 50% (prev 35.65%; Δ 4.30% > 0%) |
| Interest Coverage Ratio: -30.73 > 6 (EBIT TTM -173.9m / Interest Expense TTM 5.66m) |
| A: 0.50 (Total Current Assets 944.7m - Total Current Liabilities 393.0m) / Total Assets 1.10b |
| B: -2.45 (Retained Earnings -2.68b / Total Assets 1.10b) |
| C: -0.15 (EBIT TTM -173.9m / Avg Total Assets 1.13b) |
| D: 1.53 (Book Value of Equity 662.0m / Total Liabilities 433.8m) |
| Altman-Z'' = -4.10 = D |
| DSRI: 0.57 (Receivables 54.1m/87.7m, Revenue 453.3m/418.3m) |
| GMI: 1.10 (GM 63.45% / 57.91%) |
| AQI: 1.47 (AQ_t 0.08 / AQ_t-1 0.05) |
| SGI: 1.08 (Revenue 453.3m / 418.3m) |
| TATA: -0.07 (NI -178.1m - CFO -101.0m) / TA 1.10b) |
| Beneish M = -2.96 (Cap -4..+1) = A |
As of July 01, 2026, the stock is trading at USD 19.00 with a total of 733,876 shares traded. Over the past week, the price has changed by +2.76%, over one month by +11.18%, over three months by +1.01% and over the past year by -45.67%.
Current recommended Stop Loss: 17.90 (which is 5.8% or 1.4 ATR below the current price).
Zai Lab has received a consensus analysts rating of 4.50. Therefore, it is recommended to buy ZLAB.
- StrongBuy: 7
- Buy: 4
- Hold: 1
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 33.3 | 75.3% |
P/S = 4.3945
P/B = 3.1592
Revenue TTM = 453.3m USD
EBIT TTM = -173.9m USD
EBITDA TTM = -158.4m USD
Long Term Debt = 12.1m USD (estimated: total debt 231.9m - short term 219.8m)
Short Term Debt = 219.8m USD (from shortTermDebt, last quarter)
Debt = 250.0m USD (from shortLongTermDebtTotal, last quarter) + Leases 18.1m
Net Debt = -411.3m USD (calculated: Debt 250.0m - CCE 661.3m)
Enterprise Value = 1.58b USD (1.99b + Debt 250.0m - CCE 661.3m)
Interest Coverage Ratio = -30.73 (Ebit TTM -173.9m / Interest Expense TTM 5.66m)
EV/FCF = -12.23x (Enterprise Value 1.58b / FCF TTM -129.2m)
FCF Yield = -8.18% (FCF TTM -129.2m / Enterprise Value 1.58b)
FCF Margin = -28.51% (FCF TTM -129.2m / Revenue TTM 453.3m)
Net Margin = -39.29% (Net Income TTM -178.1m / Revenue TTM 453.3m)
Gross Margin = 57.91% ((Revenue TTM 453.3m - Cost of Revenue TTM 190.8m) / Revenue TTM)
Gross Margin QoQ = 61.52% (prev 51.15%)
Tobins Q-Ratio = 1.44 (Enterprise Value 1.58b / Total Assets 1.10b)
Interest Expense / Debt = 2.26% (Interest Expense 5.66m / Debt 250.0m)
Taxrate = 21.0% (US federal default 21%)
NOPAT = -137.4m (EBIT -173.9m * (1 - 21.00%)) [loss with tax shield]
Current Ratio = 2.40 (Total Current Assets 944.7m / Total Current Liabilities 393.0m)
Debt / Equity = 0.38 (Debt 250.0m / totalStockholderEquity, last quarter 662.0m)
Debt / EBITDA = 2.60 (negative EBITDA) (Net Debt -411.3m / EBITDA -158.4m)
Debt / FCF = 3.18 (negative FCF - burning cash) (Net Debt -411.3m / FCF TTM -129.2m)
Total Stockholder Equity = 732.3m (last 4 quarters mean from totalStockholderEquity)
RoA = -15.70% (Net Income -178.1m / Total Assets 1.10b)
RoE = -24.32% (Net Income TTM -178.1m / Total Stockholder Equity 732.3m)
RoCE = -23.37% (EBIT -173.9m / Capital Employed (Equity 732.3m + L.T.Debt 12.1m))
RoIC = -15.27% (negative operating profit) (NOPAT -137.4m / Invested Capital 899.9m)
WACC = 7.27% (E(1.99b)/V(2.24b) * Re(7.96%) + D(250.0m)/V(2.24b) * Rd(2.26%) * (1-Tc(0.21)))
Discount Rate = 7.96% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -8.99 | Cagr: -61.89%
[DCF] Fair Price = unknown (Cash Flow -129.2m)
EPS Correlation: N/A | EPS CAGR: N/A | SUE: -0.80 | # QB: 0
Revenue Correlation: 97.31 | Revenue CAGR: 28.33% | SUE: -0.25 | # QB: 0
EPS next Quarter (2026-09-30): EPS=-0.53 | Chg30d=-12.42% | Revisions=-25% | Analysts=6
EPS current Year (2026-12-31): EPS=-2.17 | Chg30d=-0.78% | Revisions=-54% | GrowthEPS=-35.7% | GrowthRev=-2.5%
EPS next Year (2027-12-31): EPS=-1.75 | Chg30d=-2.58% | Revisions=-69% | GrowthEPS=+19.6% | GrowthRev=+32.7%
[Analyst] Revisions Ratio: -69%