ZBIO Should I Buy
-
$
0.000
0.000(0.000%)
At close0.000(0.000%)Aft-market
ET
Loading...
Zenas Biopharma Inc (ZBIO) is not a strong buy for a beginner, long-term investor at this time. Despite some positive analyst sentiment and potential for FDA approval of its drug pipeline, the stock's recent performance, ongoing legal investigations, and lack of strong trading signals suggest caution. The technical indicators are mixed, and the financials show significant losses, making it a risky investment for a beginner investor seeking long-term stability.
The stock shows bullish moving averages (SMA_5 > SMA_20 > SMA_200), and the MACD is above 0, indicating a positive trend. However, RSI is neutral at 65.957, and the stock is down 4.29% in regular trading, suggesting a lack of strong momentum. Key support is at 21.54, and resistance is at 28.408.
Wedbush added ZBIO to its Best Ideas List, citing a buying opportunity for a clinically de-risked drug with high FDA approval potential.
Positive long-term growth prospects from the drug pipeline.
Legal investigations into potential fiduciary breaches and securities fraud.
Disappointing Phase 3 trial results for obexelimab, leading to downgrades and reduced price targets from analysts.
Financial losses and no revenue growth in the latest quarter.
In Q3 2025, the company reported no revenue growth (0% YoY), a net loss of $51.5M (up 33.4% YoY), and an EPS of -1.22 (up 32.61% YoY). Gross margin remains at 100%, but the financials indicate significant losses and no profitability.
Analyst sentiment is mixed. Wedbush is bullish, adding ZBIO to its Best Ideas List with an Outperform rating. Citi maintains a Buy rating but lowered its price target to $43 from $46. Morgan Stanley downgraded the stock to Equal Weight, reducing the price target to $19 from $37 due to weaker trial results compared to competitors.
