Zymeworks (NASDAQ:ZYME) Hits New 12-Month High on Better-Than-Expected Earnings

Zymeworks Inc. (NASDAQ:ZYME)’s share price reached a new 52-week high during trading on Tuesday following a stronger than expected earnings report. The stock traded as high as $31.97 and last traded at $30.91, with a volume of 286,303 shares traded. The stock had previously closed at $30.81.

The company reported $2.28 EPS for the quarter, beating analysts’ consensus estimates of $2.27 by $0.01. Zymeworks had a negative return on equity of 72.30% and a negative net margin of 405.31%. The business had revenue of $512.92 million during the quarter, compared to analysts’ expectations of $227.40 million. During the same quarter in the prior year, the firm earned ($0.26) earnings per share. The business’s revenue was up 828.7% compared to the same quarter last year.

Zymeworks News Roundup

Here are the key news stories impacting Zymeworks this week:

• Positive Sentiment: HC Wainwright raised its price target to $56 from $55 and maintained a Buy rating, signaling substantial potential upside in the analyst’s view. Tickerreport article
• Positive Sentiment: Zymeworks raised its 2026 earnings guidance, a favorable update for the company’s near-term outlook. 2026 earnings guidance article
• Neutral Sentiment: Q3 results showed a sharp swing to profit, with EPS of $2.28 versus a loss a year earlier. Revenue was reported above estimates. A $250 million milestone payment from Jazz Pharmaceuticals contributed to the profit, so investors may view some of the results as nonrecurring. Milestone and earnings article
• Negative Sentiment: EPS beat one cited consensus estimate of $2.27 by a penny, but missed the Zacks estimate of $2.40, leaving the earnings comparison mixed. Zacks earnings article

Analyst Upgrades and Downgrades

ZYME has been the topic of a number of analyst reports. B. Riley Financial reiterated a “buy” rating and issued a $44.00 price objective (up from $40.00) on shares of Zymeworks in a research report on Monday, August 10th. JPMorgan Chase & Co. increased their price target on shares of Zymeworks from $31.00 to $33.00 and gave the stock an “overweight” rating in a report on Thursday, September 3rd. HC Wainwright lifted their price objective on Zymeworks from $55.00 to $56.00 and gave the company a “buy” rating in a report on Tuesday. TD Cowen initiated coverage on Zymeworks in a research report on Tuesday, September 29th. They set a “buy” rating and a $34.00 target price on the stock. Finally, Jefferies Financial Group restated a “buy” rating and set a $52.00 target price on shares of Zymeworks in a research report on Friday, October 23rd. Twelve investment analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $41.75.

Insider Transactions at Zymeworks

In other Zymeworks news, EVP Adam Schayowitz sold 13,832 shares of Zymeworks stock in a transaction dated Friday, October 9th. The stock was sold at an average price of $25.85, for a total value of $357,557.20. Following the completion of the sale, the executive vice president owned 23,205 shares in the company, valued at $599,849.25. The trade was a 37.35% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders own 37.73% of the company’s stock.

Hedge Funds Weigh In On Zymeworks

Large investors have recently modified their holdings of the company. Janney Montgomery Scott LLC increased its stake in shares of Zymeworks by 3.8% in the first quarter. Janney Montgomery Scott LLC now owns 11,487 shares of the company’s stock worth $288,000 after purchasing an additional 420 shares in the last quarter. Tema ETFs LLC increased its stake in Zymeworks by 0.7% during the second quarter. Tema ETFs LLC now owns 105,615 shares of the company’s stock worth $2,761,000 after acquiring an additional 684 shares during the last quarter. Tidal Investments LLC boosted its stake in Zymeworks by 0.7% during the second quarter. Tidal Investments LLC now owns 105,615 shares of the company’s stock worth $2,761,000 after buying an additional 684 shares during the period. Allspring Global Investments Holdings LLC raised its position in Zymeworks by 10.4% in the 1st quarter. Allspring Global Investments Holdings LLC now owns 8,507 shares of the company’s stock worth $221,000 after purchasing an additional 800 shares during the period. Finally, Nykredit A S bought a new position in Zymeworks in the 2nd quarter valued at $25,000. 92.89% of the stock is currently owned by hedge funds and other institutional investors.

Zymeworks Trading Up 1.3%

The company has a market cap of $2.20 billion, a PE ratio of -15.40 and a beta of 1.32. The company’s 50 day moving average is $27.46 and its 200 day moving average is $25.38.

Zymeworks Company Profile

Zymeworks Inc is a biotechnology company headquartered in Vancouver, Canada, that develops engineered medicines, with a focus on treatments for cancer and other serious diseases. Its antibody-engineering technologies are designed to create therapies that can engage multiple biological targets or modify immune responses.

The company’s lead program is zanidatamab, a HER2-targeted bispecific antibody. In the United States, it is marketed by partner Jazz Pharmaceuticals as Ziihera for certain adults with previously treated, unresectable or metastatic biliary tract cancer.