Zymeworks (NYSE:ZYME) - Share price, News & Analysis

ZYME fundamental analysis
Snowflake Score
Valuation	1/6
Future Growth	2/6
Past Performance	0/6
Financial Health	6/6
Dividends	0/6

ZYME Stock Overview

Zymeworks Inc., a clinical-stage biopharmaceutical company, discovers, develops, and commercializes biotherapeutics for the treatment of cancer.

Rewards

Revenue is forecast to grow 49.11% per year

Risk Analysis

Currently unprofitable and not forecast to become profitable over the next 3 years

Volatile share price over the past 3 months

Shareholders have been diluted in the past year

Zymeworks Competitors

AbbVie

NYSE:ABBV

US$269.4b

Merus

NasdaqGM:MRUS

US$688.5m

Genmab

CPSE:GMAB

kr.139.3b

AbCellera Biologics

NasdaqGS:ABCL

US$2.3b

Price History & Performance

Summary of all time highs, changes and price drops for Zymeworks
Historical stock prices
Current Share Price	US$5.17
52 Week High	US$39.41
52 Week Low	US$4.56
Beta	1.06
1 Month Change	-3.36%
3 Month Change	-26.77%
1 Year Change	-82.12%
3 Year Change	-70.73%
5 Year Change	-60.56%
Change since IPO	-60.23%

Recent News & Updates

May 17

Zymeworks And The Blue Falcon Elucidation

Zymeworks shares have fallen, but the pipeline remains intact. Moreover, a special situation is brewing. Positive expectation with ZYME.

Shareholder Returns

	ZYME	US Biotechs	US Market
7D	0.2%	5.7%	0.5%
1Y	-82.1%	-21.4%	-11.5%

Return vs Industry: ZYME underperformed the US Biotechs industry which returned -19.5% over the past year.

Return vs Market: ZYME underperformed the US Market which returned -8.1% over the past year.

Price Volatility

Is ZYME's price volatile compared to industry and market?
ZYME volatility
ZYME Average Weekly Movement	14.0%
Biotechs Industry Average Movement	12.4%
Market Average Movement	7.9%
10% most volatile stocks in US Market	17.0%
10% least volatile stocks in US Market	3.0%

Stable Share Price: ZYME is more volatile than 75% of US stocks over the past 3 months, typically moving +/- 14% a week.

Volatility Over Time: ZYME's weekly volatility (14%) has been stable over the past year, but is still higher than 75% of US stocks.

About the Company

Founded	Employees	CEO	Website
2003	327	Ken Galbraith	https://www.zymeworks.com

Zymeworks Inc., a clinical-stage biopharmaceutical company, discovers, develops, and commercializes biotherapeutics for the treatment of cancer. The company’s lead product candidates include zanidatamab, a novel bispecific antibody that is in Phase 1 and Phase 2 clinical trials for the treatment of biliary tract, gastroesophageal adenocarcinomas, breast, and colorectal cancer; and ZW49, a biparatopic anti-human epidermal growth factor receptor 2 (HER2) antibody-drug conjugate that is in Phase 1 clinical trial for the treatment of advanced or metastatic HER2-expressing tumors. The company has strategic partnerships with Merck Sharp & Dohme Research Ltd.; Eli Lilly and Company; Bristol-Myers Squibb company; GlaxoSmithKline Intellectual Property Development Ltd.; Daiichi Sankyo Co., Ltd.; Janssen Biotech, Inc.; BeiGene, Ltd.; and Exelixis, Inc. It also has licensing and research collaboration with LEO Pharma A/S to research, develop, and commercialize bispecific antibodies; and Iconic Therapeutics, Inc. Zymeworks Inc. was incorporated in 2003 and is headquartered in Vancouver, Canada.

Zymeworks Fundamentals Summary

How do Zymeworks's earnings and revenue compare to its market cap?
ZYME fundamental statistics
Market Cap	US$298.68m
Earnings (TTM)	-US$239.88m
Revenue (TTM)	US$27.95m

10.7x

P/S Ratio

-1.2x

P/E Ratio

Is ZYME overvalued?

See Fair Value and valuation analysis

Earnings & Revenue

Key profitability statistics from the latest earnings report
ZYME income statement (TTM)
Revenue	US$27.95m
Cost of Revenue	US$217.74m
Gross Profit	-US$189.79m
Other Expenses	US$50.09m
Earnings	-US$239.88m

Last Reported Earnings

Mar 31, 2022

Next Earnings Date

n/a

Earnings per share (EPS)	-4.15
Gross Margin	-678.98%
Net Profit Margin	-858.18%
Debt/Equity Ratio	0%

How did ZYME perform over the long term?

See historical performance and comparison

Valuation

Is Zymeworks undervalued compared to its fair value and its price relative to the market?

Valuation Score

1/6

Valuation Score 1/6

Below Fair Value
Significantly Below Fair Value
PE vs Industry
PE vs Market
PEG Ratio
PB vs Industry

1.06x

Price to Book (PB) ratio

Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate ZYME's fair value for valuation analysis.

Significantly Below Fair Value: Insufficient data to calculate ZYME's fair value for valuation analysis.

Price To Earnings Ratio

PE vs Industry: ZYME is unprofitable, so we can't compare its PE Ratio to the US Biotechs industry average.

PE vs Market: ZYME is unprofitable, so we can't compare its PE Ratio to the US market.

Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate ZYME's PEG Ratio to determine if it is good value.

Price to Book Ratio

PB vs Industry: ZYME is good value based on its PB Ratio (1.1x) compared to the US Biotechs industry average (1.5x).

Future Growth

How is Zymeworks forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

Earnings vs Savings Rate
Earnings vs Market
High Growth Earnings
Revenue vs Market
High Growth Revenue
Future ROE

9.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts

Analyst Future Growth Forecasts

Earnings vs Savings Rate: ZYME is forecast to remain unprofitable over the next 3 years.

Earnings vs Market: ZYME is forecast to remain unprofitable over the next 3 years.

High Growth Earnings: ZYME is forecast to remain unprofitable over the next 3 years.

Revenue vs Market: ZYME's revenue (49.1% per year) is forecast to grow faster than the US market (7.8% per year).

High Growth Revenue: ZYME's revenue (49.1% per year) is forecast to grow faster than 20% per year.

Earnings per Share Growth Forecasts

Future Return on Equity

Future ROE: ZYME is forecast to be unprofitable in 3 years.

Past Performance

How has Zymeworks performed over the past 5 years?

Past Performance Score

0/6

Past Performance Score 0/6

Quality Earnings
Growing Profit Margin
Earnings Trend
Accelerating Growth
Earnings vs Industry
High ROE

-44.7%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: ZYME is currently unprofitable.

Growing Profit Margin: ZYME is currently unprofitable.

Past Earnings Growth Analysis

Earnings Trend: ZYME is unprofitable, and losses have increased over the past 5 years at a rate of 44.7% per year.

Accelerating Growth: Unable to compare ZYME's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: ZYME is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (96.9%).

Return on Equity

High ROE: ZYME has a negative Return on Equity (-84.93%), as it is currently unprofitable.

Financial Health

How is Zymeworks's financial position?

Financial Health Score

6/6

Financial Health Score 6/6

Short Term Liabilities
Long Term Liabilities
Debt Level
Reducing Debt
Stable Cash Runway
Forecast Cash Runway

Financial Position Analysis

Short Term Liabilities: ZYME's short term assets ($324.0M) exceed its short term liabilities ($80.0M).

Long Term Liabilities: ZYME's short term assets ($324.0M) exceed its long term liabilities ($67.6M).

Debt to Equity History and Analysis

Debt Level: ZYME is debt free.

Reducing Debt: ZYME has no debt compared to 5 years ago when its debt to equity ratio was 8.8%.

Balance Sheet

Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: ZYME has sufficient cash runway for more than a year based on its current free cash flow.

Forecast Cash Runway: ZYME has sufficient cash runway for 2.7 years if free cash flow continues to reduce at historical rates of 45.4% each year.

Dividend

What is Zymeworks's current dividend yield, its reliability and sustainability?

Dividend Score

0/6

Dividend Score 0/6

Notable Dividend
High Dividend
Stable Dividend
Growing Dividend
Earnings Coverage
Future Dividend Coverage

Dividend Yield vs Market

Notable Dividend: Unable to evaluate ZYME's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate ZYME's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.

Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if ZYME's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ZYME's dividend payments have been increasing.

Earnings Payout to Shareholders

Earnings Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.

Cash Payout to Shareholders

Cash Flow Coverage: Unable to calculate sustainability of dividends as ZYME has not reported any payouts.

Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

0.3yrs

Average management tenure

CEO

Ken Galbraith (58 yo)

0.33

Tenure

US$166,711

Compensation

Mr. Kenneth H. Galbraith, also known as Ken, C.A., serves as Chief Executive Officer & Chairman of the Board at Zymeworks Inc since January 15, 2022 and serves as its President since January 15, 2022. He s...

Leadership Team

Experienced Management: ZYME's management team is not considered experienced ( 0.3 years average tenure), which suggests a new team.

Board Members

Experienced Board: ZYME's board of directors are considered experienced (3.8 years average tenure).

Ownership

Who are the major shareholders and have insiders been buying or selling?

Insider Trading Volume

Insider Buying: ZYME insiders have bought more shares than they have sold in the past 3 months.

Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 25.1%.

Data	Last Updated (UTC time)
Company Analysis	2022/05/18 00:00
End of Day Share Price	2022/05/18 00:00
Earnings	2022/03/31
Annual Earnings	2021/12/31