Zai Lab Stock Buy Hold or Sell Recommendation
| ZLAB Stock | USD 28.09 1.66 6.28% |
Given the investment horizon of 90 days and your typical level of risk aversion, our recommendation regarding Zai Lab is 'Hold'. Macroaxis provides Zai Lab buy-hold-or-sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding Zai Lab positions.
Check out Zai Lab Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For information on how to trade Zai Stock refer to our How to Trade Zai Stock guide. In addition, we conduct extensive research on individual companies such as Zai and provide practical buy, sell, or hold advice based on investors' investing horizon and their risk tolerance towards Zai Lab. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in nation.
Zai |
Execute Zai Lab Buy or Sell Advice
The Zai recommendation should be used to complement the buy-or-sell advice compiled from the current analysts' consensus on Zai Lab. Macroaxis does not own or have any residual interests in Zai Lab or other equities on which the buy-or-sell advice is provided. Please provide your input below to execute Zai Lab's advice using the current market data and latest reported fundamentals.
Time Horizon
Risk Tolerance
 |  |
Hold
Market Performance | Good | Details | |
Volatility | Very steady | Details | |
Hype Condition | Over hyped | Details | |
Current Valuation | Undervalued | Details | |
Odds Of Distress | Below Average | Details | |
Economic Sensitivity | Follows the market closely | Details | |
Investor Sentiment | Impartial | Details | |
Analyst Consensus | Strong Buy | Details | |
Financial Strenth (F Score) | Healthy | Details | |
Financial Leverage | Not Rated | Details | |
Reporting Quality (M-Score) | Unlikely Manipulator | Details |
Zai Lab Trading Alerts and Improvement Suggestions
| Zai Lab appears to be risky and price may revert if volatility continues | |
| The company reported the previous year's revenue of 266.72 M. Net Loss for the year was (334.62 M) with loss before overhead, payroll, taxes, and interest of (145.39 M). | |
| Zai Lab currently holds about 1.26 B in cash with (198.18 M) of positive cash flow from operations. This results in cash-per-share (CPS) ratio of 13.1. | |
| Latest headline from businesswire.com: Zai Lab and Pfizer Announce Strategic Collaboration on the Novel Antibacterial Drug XACDURO |
Zai Lab Returns Distribution Density
The distribution of Zai Lab's historical returns is an attempt to chart the uncertainty of Zai Lab's future price movements. The chart of the probability distribution of Zai Lab daily returns describes the distribution of returns around its average expected value. We use Zai Lab price's Value At Risk and its Upside Potential as a relative measure of the distribution. The graph of the distribution of Zai Lab returns is essential to provide solid investment advice for Zai Lab.
| Mean Return | 0.70 | Value At Risk | -5.73 | Potential Upside | 6.26 | Standard Deviation | 4.04 |
Return Density |
| Distribution |
Investment risk management requires an estimate of the probability of extreme price changes. Therefore, the correct representation of the distribution of Zai Lab historical returns presented in an easy-to-digest graphical form helps investors and money managers understand the risk-reward trade-off of different investement strategies.
Zai Stock Institutional Investors
| Shares | Blackrock Inc | 2024-06-30 | 660.6 K | Fmr Inc | 2024-09-30 | 644.9 K | Superstring Capital Management Lp | 2024-09-30 | 626.9 K | Adar1 Capital Management Llc | 2024-09-30 | 532.5 K | Allianz Asset Management Ag | 2024-06-30 | 521.8 K | Cam Group Holding A/s | 2024-09-30 | 500 K | Connor Clark & Lunn Inv Mgmt Ltd | 2024-06-30 | 478.6 K | M&g Plc | 2024-06-30 | 437.3 K | Candriam Luxembourg S.c.a. | 2024-06-30 | 365 K | Wellington Management Company Llp | 2024-06-30 | 7.1 M | Hhg Plc | 2024-06-30 | 6.5 M |
Zai Lab Cash Flow Accounts
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 (projected) | ||
| Change To Inventory | (6.0M) | (7.2M) | (7.2M) | (15.4M) | (14.9M) | (14.2M) | |
| Investments | 350K | (544.2M) | 268.9M | 420.0M | (29.6M) | (28.1M) | |
| Change In Cash | 13.5M | 366.4M | 522.0M | 44.4M | (218.0M) | (207.1M) | |
| Free Cash Flow | (206.3M) | (226.7M) | (568.2M) | (392.6M) | (206.7M) | (217.0M) | |
| Depreciation | 3.8M | 4.6M | 6.5M | 8.2M | 9.0M | 9.5M | |
| Other Non Cash Items | 2.5M | 4.0M | 67.8M | 72.4M | 8.2M | 7.8M | |
| Capital Expenditures | 15.2M | 10.7M | 18.9M | 25.0M | 8.5M | 12.3M | |
| Net Income | (195.1M) | (268.9M) | (704.5M) | (443.3M) | (334.6M) | (351.4M) | |
| End Period Cash Flow | 76.4M | 442.9M | 964.9M | 1.0B | 791.3M | 449.1M | |
| Change To Netincome | 23.6M | 30.0M | 125.6M | 133.7M | 153.7M | 161.4M |
Zai Lab Greeks
Most traded equities are subject to two types of risk - systematic (i.e., market) and unsystematic (i.e., nonmarket or company-specific) risk. Unsystematic risk is the risk that events specific to Zai Lab or Biotechnology sector will adversely affect the stock's price. This type of risk can be diversified away by owning several different stocks in different industries whose stock prices have shown a small correlation to each other. On the other hand, systematic risk is the risk that Zai Lab's price will be affected by overall stock market movements and cannot be diversified away. So, no matter how many positions you have, you cannot eliminate market risk. However, you can measure a Zai stock's historical response to market movements and buy it if you are comfortable with its volatility direction. Beta and standard deviation are two commonly used measures to help you make the right decision.
α | Alpha over Dow Jones | 0.60 | |
β | Beta against Dow Jones | 0.73 | |
σ | Overall volatility | 4.12 | |
Ir | Information ratio | 0.14 |
Zai Lab Volatility Alert
Zai Lab shows above-average downside volatility for the selected time horizon. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Zai Lab's stock risk against market volatility during both bullish and bearish trends. The higher level of volatility that comes with bear markets can directly impact Zai Lab's stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different financial instruments as prices fall.Zai Lab Fundamentals Vs Peers
Comparing Zai Lab's fundamentals to the average values of its peers is one of the most widely used and accepted methods of equity analyses. It helps to analyze Zai Lab's direct or indirect competition across all of the common fundamentals between Zai Lab and the related equities. This way, we can detect undervalued stocks with similar characteristics as Zai Lab or determine the stocks which would be an excellent addition to an existing portfolio. Peer analysis of Zai Lab's fundamental indicators could also be used in its relative valuation, which is a method of valuing Zai Lab by comparing valuation metrics with those of similar companies.
| Better Than Average | Worse Than Average | Compare Zai Lab to competition |
| Fundamentals | Zai Lab | Peer Average |
| Return On Equity | -0.35 | -0.31 |
| Return On Asset | -0.21 | -0.14 |
| Profit Margin | (0.76) % | (1.27) % |
| Operating Margin | (0.66) % | (5.51) % |
| Current Valuation | 2.24 B | 16.62 B |
| Shares Outstanding | 107.45 M | 571.82 M |
| Shares Owned By Insiders | 1.96 % | 10.09 % |
| Shares Owned By Institutions | 44.39 % | 39.21 % |
| Number Of Shares Shorted | 4.66 M | 4.71 M |
| Price To Book | 4.25 X | 9.51 X |
| Price To Sales | 7.98 X | 11.42 X |
| Revenue | 266.72 M | 9.43 B |
| Gross Profit | (145.39 M) | 27.38 B |
| EBITDA | (366.57 M) | 3.9 B |
| Net Income | (334.62 M) | 570.98 M |
| Cash And Equivalents | 1.26 B | 2.7 B |
| Cash Per Share | 13.10 X | 5.01 X |
| Total Debt | 15.15 M | 5.32 B |
| Debt To Equity | 0.02 % | 48.70 % |
| Current Ratio | 7.91 X | 2.16 X |
| Book Value Per Share | 6.80 X | 1.93 K |
| Cash Flow From Operations | (198.18 M) | 971.22 M |
| Short Ratio | 4.97 X | 4.00 X |
| Earnings Per Share | (2.80) X | 3.12 X |
| Price To Earnings To Growth | (0.17) X | 4.89 X |
| Target Price | 51.81 | |
| Number Of Employees | 2.17 K | 18.84 K |
| Beta | 1.04 | -0.15 |
| Market Capitalization | 2.84 B | 19.03 B |
| Total Asset | 1.04 B | 29.47 B |
| Retained Earnings | (2.2 B) | 9.33 B |
| Working Capital | 736.54 M | 1.48 B |
| Net Asset | 1.04 B |
Note: Disposition of 167 shares by Yajing Chen of Zai Lab at 30.662 subject to Rule 16b-3 [view details]
Zai Lab Market Momentum
Traders often use several daily momentume indicators to supplement a more traditional technical analysis when analyzing securities such as Zai . With many different options, investors must choose the best indicators for them and familiarize themselves with how they work. We suggest combining traditional momentum indicators with more near-term forms of technical analysis such as Accumulation Distribution or Daily Balance Of Power. With their quantitative nature, daily value technical indicators can also be incorporated into your automated trading systems.
About Zai Lab Buy or Sell Advice
When is the right time to buy or sell Zai Lab? Buying financial instruments such as Zai Stock isn't very hard. However, what challenging for most investors is doing it at the right time to beat the market. Proper market timing is something most people cannot do without sophisticated tools, which help to isolate the right opportunities. Macroaxis provides hands-on modules to deliver winning trades and diversify your portfolios on a daily basis. Most of our advising modules are very easy to use and apply.
Please read more on our stock advisor page.
Use Investing Ideas to Build Portfolios
In addition to having Zai Lab in your portfolios, you can quickly add positions using our predefined set of ideas and optimize them against your very unique investing style. A single investing idea is a collection of funds, stocks, ETFs, or cryptocurrencies that are programmatically selected from a pull of investment themes. After you determine your investment opportunity, you can then find an optimal portfolio that will maximize potential returns on the chosen idea or minimize its exposure to market volatility.Did You Try This Idea?
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Check out Zai Lab Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for multiple equity instruments, please use the Instant Ratings tool. For information on how to trade Zai Stock refer to our How to Trade Zai Stock guide.You can also try the Stock Screener module to find equities using a custom stock filter or screen asymmetry in trading patterns, price, volume, or investment outlook..
Is Biotechnology space expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Zai Lab. If investors know Zai will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Zai Lab listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Earnings Share (2.80) | Revenue Per Share 3.647 | Quarterly Revenue Growth 0.477 | Return On Assets (0.21) | Return On Equity (0.35) |
The market value of Zai Lab is measured differently than its book value, which is the value of Zai that is recorded on the company's balance sheet. Investors also form their own opinion of Zai Lab's value that differs from its market value or its book value, called intrinsic value, which is Zai Lab's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Zai Lab's market value can be influenced by many factors that don't directly affect Zai Lab's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Zai Lab's value and its price as these two are different measures arrived at by different means. Investors typically determine if Zai Lab is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Zai Lab's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.