Zai Lab (NASDAQ:ZLAB) Shares Gap Up - Should You Buy?

Zai Lab Limited (NASDAQ:ZLAB - Get Free Report)'s stock price gapped up prior to trading on Wednesday . The stock had previously closed at $24.79, but opened at $25.55. Zai Lab shares last traded at $25.68, with a volume of 32,536 shares trading hands.

Wall Street Analysts Forecast Growth

A number of research firms have commented on ZLAB. JPMorgan Chase & Co. reduced their target price on Zai Lab from $43.00 to $38.00 and set an "overweight" rating on the stock in a research report on Friday, July 12th. Cantor Fitzgerald restated an "overweight" rating on shares of Zai Lab in a research report on Wednesday, August 7th. Five analysts have rated the stock with a buy rating, According to data from MarketBeat.com, the company currently has an average rating of "Buy" and a consensus price target of $56.21.

Zai Lab Trading Up 5.6 %

The stock has a market cap of $2.61 billion, a PE ratio of -8.58 and a beta of 1.08. The company has a fifty day moving average of $20.68 and a 200-day moving average of $18.79.

Zai Lab (NASDAQ:ZLAB - Get Free Report) last posted its quarterly earnings data on Tuesday, August 6th. The company reported ($0.82) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.66) by ($0.16). The firm had revenue of $100.50 million during the quarter, compared to analysts' expectations of $94.46 million. Zai Lab had a negative net margin of 92.44% and a negative return on equity of 37.96%. As a group, research analysts anticipate that Zai Lab Limited will post -2.95 earnings per share for the current fiscal year.

Insider Activity at Zai Lab

In related news, insider Joshua L. Smiley sold 4,352 shares of the business's stock in a transaction on Friday, August 16th. The stock was sold at an average price of $16.67, for a total value of $72,547.84. Following the sale, the insider now owns 43,232 shares in the company, valued at approximately $720,677.44. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Company insiders own 13.88% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently bought and sold shares of ZLAB. BNP Paribas Financial Markets grew its stake in Zai Lab by 51.2% during the 1st quarter. BNP Paribas Financial Markets now owns 2,671 shares of the company's stock worth $43,000 after purchasing an additional 904 shares in the last quarter. Headlands Technologies LLC acquired a new position in Zai Lab during the 1st quarter worth $64,000. Swedbank AB acquired a new position in Zai Lab during the 1st quarter worth $244,000. Dimensional Fund Advisors LP acquired a new position in Zai Lab during the 2nd quarter worth $270,000. Finally, Tidal Investments LLC acquired a new position in shares of Zai Lab during the 1st quarter worth about $334,000. 41.65% of the stock is owned by institutional investors and hedge funds.

About Zai Lab

Zai Lab Limited develops and commercializes therapies to treat oncology, autoimmune disorders, infectious diseases, and neuroscience. Its commercial products include Zejula, an orally administered poly polymerase 1/2 inhibitor; Optune, a cancer therapy that uses electric fields tuned to specific frequencies to kill tumor cells; NUZYRA for acute bacterial skin and skin structure infections, and community acquired bacterial pneumonia; Qinlock to treat gastrointestinal stromal tumors, and VYVGART, a human IgG1 antibody fragment for myesthenia gravis.