Zai Lab CFO Chen Yajing sells $189,520 in shares

Published 03/04/2025, 22:12
Zai Lab CFO Chen Yajing sells $189,520 in shares

In a recent stock transaction, Chen Yajing, the Chief Financial Officer of Zai Lab Ltd (NASDAQ:ZLAB), sold American Depositary Shares (ADS) valued at $189,520. The sale occurred on April 2, 2025, with shares sold at an average price of $35.894 each. The transaction comes as Zai Lab shares have shown remarkable strength, delivering a 129% return over the past year, according to InvestingPro data. This transaction was part of a series of moves by Chen, who also acquired ADSs following the vesting of Restricted Share Units (RSUs) on April 1, 2025.

The sale of 5,280 ADSs was executed automatically to cover taxes upon the vesting of RSUs. Prior to this, Chen acquired a total of 15,257 ADSs through the vesting of RSUs, with no cash consideration involved, as each RSU represents a contingent right to receive one ADS.

Following these transactions, Chen’s direct ownership of Zai Lab shares stands at 25,471 ADSs. Each ADS represents ten ordinary shares of the company, and all transactions are reported in terms of ADSs. For deeper insights into Zai Lab’s financial health, valuation metrics, and 10+ additional ProTips, visit InvestingPro, where you’ll find comprehensive research reports and expert analysis.

In other recent news, Zai Lab has been the focus of several analyst reviews and projections. Cantor Fitzgerald reiterated an Overweight rating on Zai Lab, emphasizing the potential of Bemarituzumab as a growth driver. This drug is currently in Phase 3 trials for treating gastric and gastro-esophageal junction cancer. Scotiabank (TSX:BNS) initiated coverage with a Sector Outperform rating and set a one-year price target of $55, citing Zai Lab’s potential to become a global pharmaceutical player. The analyst at Scotiabank also projected that Zai Lab could become cash flow positive by the fourth quarter of 2025, which could lower its risk profile.

Meanwhile, BofA Securities downgraded Zai Lab from Buy to Neutral but raised the price target to $36.10, reflecting an adjusted revenue forecast starting in 2027. BofA noted the soft performance of some core products but acknowledged the promising sales ramp-up of VYVGART and progress in the pipeline. The firm also highlighted the potential of Optune, KarXT, and Bemarituzumab in Zai Lab’s development pipeline. These recent developments indicate that Zai Lab is navigating a complex landscape of opportunities and challenges.

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