Zenas BioPharma, Inc. (ZBIO) AI Stock Analysis

• Market Cap: $688.17M
• Dividend Yield: N/A
• Average Volume (3M): 170.16K
• Price to Earnings (P/E): ―
• Beta (1Y): 0.79
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: US
• Employees: 130
• Sector: Healthcare
• Sector Strength: 42
• Industry: Biotechnology
• EPS (TTM): -3.90
• Shares Outstanding: 41,834,183
• 10 Day Avg. Volume: 158,338
• 30 Day Avg. Volume: 170,162
• PEG Ratio: 2.35
• Price to Book (P/B): 2.42
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -5.00
• Enterprise Value/Market Cap: 0.72
• Enterprise Value/Revenue: 4.93
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: -7.30
• 1Y Price Target: $33.25
• Price Target Upside: 102.13% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4

• Rating: 58 Neutral
• Price Target: $16.50 ▲(0.30%Upside)

The overall score for Zenas BioPharma is primarily impacted by its weak financial performance, marked by revenue decline and cash flow issues. However, strong technical indicators and positive corporate events provide some optimism for future potential, despite current valuation concerns.

Positive Factors

Drug Administration

Obexelimab is designed for a self-administered subcutaneous injection regimen potentially offering convenience and safety differentiation.

Market Opportunity

The risk/reward into MS is particularly favorable with nothing in the stock and large market opportunity.

Product Differentiation

Obexelimab’s differentiated profile vs. competitive therapies.

Negative Factors

Clinical Trial Results

Topline results from the pivotal Phase 3 INDIGO trial in IgG4-related disease are anticipated around year-end 2025.

IPO Performance

Two pipeline readouts expected to cause the stock to meaningfully rerate to the upside following a news-light post-IPO period.

Zenas BioPharma, Inc. Business Overview & Revenue Model

Company Description

Zenas BioPharma, Inc., a clinical-stage biopharmaceutical company, engages in the development and commercialization of transformative immunology-based therapies. Its lead product candidate is obexelimab, a bifunctional monoclonal antibody for various indications, including immunoglobulin G4-related disease, multiple sclerosis, systemic lupus erythematosus, and warm autoimmune hemolytic anemia. The company also develops ZB002, an anti-TNFa monoclonal antibody; ZB004, a cytotoxic T-lymphocyte-associated antigen 4-immunoglobulin fusion; ZB001, an anti-insulin-like growth factor-1 receptor monoclonal antibody; and ZB005, an anti-active complement component 1s monoclonal antibody. Zenas BioPharma, Inc. was formerly known as Zenas BioPharma (Cayman) Limited and changed its name to Zenas BioPharma, Inc. in August 2023. The company was incorporated in 2019 and is based in Waltham, Massachusetts.

How the Company Makes Money

Zenas BioPharma, Inc. generates revenue primarily through the development and commercialization of its proprietary pharmaceutical products. The company earns money by selling its approved drugs directly to healthcare providers, hospitals, and distributors. Additionally, Zenas engages in strategic partnerships and licensing agreements with other pharmaceutical companies, which may include upfront payments, milestone payments, and royalties based on product sales. These collaborations often enhance the company's market reach and provide additional funding for research and development activities. Furthermore, Zenas may receive government grants or subsidies aimed at promoting innovation in the biotech sector.

Zenas BioPharma, Inc. Financial Statement Overview

Summary

Zenas BioPharma is facing severe financial challenges, with a significant revenue decline, persistent operating losses, and negative cash flow, indicating substantial operational inefficiency despite a strong equity recovery.

Income Statement

Zenas BioPharma has shown a significant decline in revenue from $50 million in 2023 to $5 million in 2024, indicating a severe contraction. The gross profit margin remains high due to zero cost of goods sold, yet the company faces substantial operating losses with negative EBIT and net income, highlighting ongoing profitability challenges.

Balance Sheet

The company has a strong equity position with a debt-to-equity ratio of only 0.003, suggesting low financial leverage. However, the negative equity in previous years indicates past difficulties, although recent improvements in stockholder's equity to $312 million show significant recovery. The equity ratio of approximately 84% is a positive indicator of financial stability.

Cash Flow

Zenas BioPharma's free cash flow remains negative, with a decline in operating cash flow from -$30 million to -$120 million. While financing activities have injected significant cash, the operational cash burn is a concern. The operating cash flow to net income ratio is negative, reflecting inefficiency in converting income into cash.

Breakdown	Dec 2024	Dec 2023	Dec 2022
Income Statement
Total Revenue	5.00M	50.00M	0.00
Gross Profit	5.00M	50.00M	0.00
EBITDA	-163.75M	-27.03M	-75.12M
Net Income	-156.99M	-37.12M	-119.28M
Balance Sheet
Total Assets	369.97M	68.18M	74.58M
Cash, Cash Equivalents and Short-Term Investments	350.77M	56.86M	67.21M
Total Debt	1.00M	21.11M	1.53M
Total Liabilities	57.51M	293.90M	266.87M
Stockholders Equity	312.46M	-225.72M	-192.29M
Cash Flow
Free Cash Flow	-119.81M	-30.55M	-67.85M
Operating Cash Flow	-119.67M	-30.53M	-65.65M
Investing Cash Flow	-30.55M	-17.00K	-2.20M
Financing Cash Flow	412.96M	20.12M	59.39M

Zenas BioPharma, Inc. Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 16.45
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ZBIO, the sentiment is Positive. The current price of 16.45 is above the 20-day moving average (MA) of 12.52, above the 50-day MA of 11.23, and above the 200-day MA of 11.10, indicating a bullish trend. The MACD of 1.52 indicates Negative momentum. The RSI at 73.29 is Negative, neither overbought nor oversold. The STOCH value of 89.49 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ZBIO.

Zenas BioPharma, Inc. Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
ETON	60 Neutral	$412.99M	―	-22.95%	―	40.88%	-579.73%
ZBIO	58 Neutral	$688.17M	―	-115.47%	―	―	―
AMLX	57 Neutral	$712.24M	―	-83.24%	―	-100.32%	-197.69%
Sector *	52 Neutral	$7.59B	0.18	-63.14%	2.16%	16.34%	0.64%
CKPT	45 Neutral	$370.71M	―	-1869.55%	―	-60.19%	56.60%
TRML	45 Neutral	$507.86M	―	-26.14%	―	―	74.59%
RAPP	44 Neutral	$585.79M	―	-33.14%	―	―	―

Zenas BioPharma, Inc. Corporate Events

Zenas BioPharma Announces Board Changes at Annual Meeting

On June 10, 2025, Zenas BioPharma, Inc. held its 2025 Annual Meeting of Stockholders. During this meeting, Ting (Tim) Xiao resigned from the Board of Directors, reducing the board size from nine to eight. Stockholders elected Leon O. Moulder, Jr. and Hongbo Lu, Ph.D. as Class I directors for a three-year term and ratified Ernst & Young LLP as the independent registered public accounting firm for the fiscal year ending December 31, 2025.

The most recent analyst rating on (ZBIO) stock is a Buy with a $40.00 price target. To see the full list of analyst forecasts on Zenas BioPharma, Inc. stock, see the ZBIO Stock Forecast page.

Zenas BioPharma to Present at Jefferies Conference

Zenas BioPharma announced its participation in the Jefferies Global Healthcare Conference in June 2025, where it will present its investor presentation. The company is advancing its clinical trials for Obexelimab, a potentially highly differentiated therapy for autoimmune diseases, with significant upcoming data readouts expected in late 2025 and mid-2026. These developments could position Zenas BioPharma as a competitive player in the biotechnology market, potentially impacting stakeholders positively.

The most recent analyst rating on (ZBIO) stock is a Buy with a $40.00 price target. To see the full list of analyst forecasts on Zenas BioPharma, Inc. stock, see the ZBIO Stock Forecast page.