(ZLAB) Zai Lab - Overview

Sector: Healthcare | Industry: Biotechnology | Exchange: NASDAQ (USA) | Market Cap: 2.075m USD | Total Return: -45% in 12m

Oncology Drugs, Immunology Treatments, Antibiotics, Medical Devices
Total Rating 8
Safety 16
Buy Signal -0.73
Biotechnology
Industry Rotation: -8.5
Market Cap: 2.07B
Avg Turnover: 15.9M
Risk 3d forecast
Volatility59.1%
VaR 5th Pctl10.1%
VaR vs Median3.92%
Reward TTM
Sharpe Ratio-0.87
Rel. Str. IBD5.6
Rel. Str. Peer Group4.3
Character TTM
Beta0.550
Beta Downside0.851
Hurst Exponent0.505
Drawdowns 3y
Max DD62.12%
CAGR/Max DD-0.33
CAGR/Mean DD-0.64
EPS (Earnings per Share) EPS (Earnings per Share) of ZLAB over the last years for every Quarter: "2021-06": -1.76, "2021-09": -1.01, "2021-12": -2.17, "2022-03": -0.86, "2022-06": -1.44, "2022-09": -1.68, "2022-12": -0.65, "2023-03": -0.51, "2023-06": -1.25, "2023-09": -0.71, "2023-12": -0.98, "2024-03": -0.5, "2024-06": -0.82, "2024-09": -0.42, "2024-12": -0.8, "2025-03": -0.45, "2025-06": -0.37, "2025-09": -0.33, "2025-12": -0.46, "2026-03": -0.46,
Last SUE: -0.80
Qual. Beats: 0
Revenue Revenue of ZLAB over the last years for every Quarter: 2021-06: 36.935, 2021-09: 43.103, 2021-12: 44.171, 2022-03: 46.724, 2022-06: 48.176, 2022-09: 57.54, 2022-12: 62.601, 2023-03: 62.797, 2023-06: 68.864, 2023-09: 69.228, 2023-12: 65.83, 2024-03: 87.149, 2024-06: 100.504, 2024-09: 102.265, 2024-12: 109.07, 2025-03: 106.487, 2025-06: 109.977, 2025-09: 116.095, 2025-12: 127.597, 2026-03: 99.611,
Rev. CAGR: 28.33%
Rev. Trend: 97.3%
Last SUE: -0.25
Qual. Beats: 0

Warnings

Interest Coverage Ratio -30.7 is critical

Altman Z'' -4.10 < 1.0 - financial distress zone

Below Avwap Earnings

Tailwinds

Shakeout

Description: ZLAB Zai Lab

Zai Lab Limited is a China-based biopharmaceutical company specializing in the development and commercialization of therapies for oncology, immunology, neuroscience, and infectious diseases. Its commercial portfolio features several specialized treatments, including Zejula for ovarian cancer and VYVGART for autoimmune conditions, alongside anti-infectives like NUZYRA and Xacduro.

The company utilizes a partnership-heavy business model, securing licensing agreements with global pharmaceutical leaders such as Pfizer and Amgen to bring innovative therapies to the Chinese market. This strategy allows the firm to mitigate the high R&D risks typical of the biotechnology sector by leveraging clinically validated assets from international collaborators.

To better understand how these partnerships impact long-term valuation, consider exploring the detailed financial metrics available on ValueRay.

Founded in 2013 and headquartered in Pudong, Zai Lab operates within the high-growth biotechnology sub-industry, where success is primarily driven by regulatory approvals and the expansion of clinical pipelines.

Headlines to Watch Out For
  • VYVGART commercial launch scales revenue in the Chinese autoimmune disease market
  • NRDL inclusion and pricing negotiations impact gross margins for oncology portfolio
  • Expansion of late-stage pipeline assets accelerates R&D expenditure and cash burn
  • Strategic licensing partnerships dictate future milestone payments and capital requirements
  • Geopolitical tensions and Chinese regulatory shifts influence investor sentiment and valuation
Piotroski VR-10 (Strict) 1.0
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)
Altman Z'' -4.10
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
Beneish M -2.96
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
What is the price of ZLAB shares?

As of June 03, 2026, the stock is trading at USD 17.15 with a total of 1,768,813 shares traded.
Over the past week, the price has changed by -7.05%, over one month by -19.18%, over three months by -6.89% and over the past year by -45.01%.

Is ZLAB a buy, sell or hold?

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

What are the forecasts/targets for the ZLAB price?
Analysts Target Price 33.8 97%
Zai Lab (ZLAB) - Fundamental Data Overview as of 01 June 2026
Market Cap USD = 2.07b (2.07b USD * 1.0 USD.USD)
P/S = 4.5769
P/B = 3.1721
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 = 1.66b USD (2.07b + Debt 250.0m - CCE 661.3m)
Interest Coverage Ratio = -30.73 (Ebit TTM -173.9m / Interest Expense TTM 5.66m)
EV/FCF = -12.87x (Enterprise Value 1.66b / FCF TTM -129.2m)
FCF Yield = -7.77% (FCF TTM -129.2m / Enterprise Value 1.66b)
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 = 1.52 (Enterprise Value 1.66b / 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 = 7.26% (E(2.07b)/V(2.32b) * Re(7.92%) + D(250.0m)/V(2.32b) * Rd(2.26%) * (1-Tc(0.21)))
Discount Rate = 7.92% (= 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 current Quarter (2026-06-30): EPS=-0.67 | Chg30d=-37.00% | Revisions=-50% | Analysts=6
EPS next Quarter (2026-09-30): EPS=-0.53 | Chg30d=-12.42% | Revisions=-25% | Analysts=6
EPS current Year (2026-12-31): EPS=-2.16 | Chg30d=-12.56% | Revisions=-54% | GrowthEPS=-35.2% | GrowthRev=-2.1%
EPS next Year (2027-12-31): EPS=-1.75 | Chg30d=-25.08% | Revisions=-69% | GrowthEPS=+19.3% | GrowthRev=+32.6%
[Analyst] Revisions Ratio: -69%