Zymeworks is a clinical-stage biotech concentrated in a single drug (zanidatamab, sold as Ziihera) and a single counterparty (Jazz Pharmaceuticals), with a quality score below investment thresholds and recent earnings misses including a -484% surprise — but analyst consensus targets 47% upside based on the commercial launch trajectory of zanidatamab.
Thesis pillars
- Single Drug Counterparty Concentration↓Deteriorating
- Severe Earnings Miss Cash Burn↓Deteriorating
- Quality Below Minimum Threshold↓Deteriorating
- +1 more pillar — see the Why tab for full reasoning
Pillars as of Jul 3, 2026, based on the 10-K filed Mar 2, 2026· older than 90 days
Zymeworks Inc. (ZYME) Stock Analysis
Healthcare · Biotechnology
Sell if holding. Engine safety override at $30.94: a dimension score below its floor triggers a hard block regardless of the otherwise-positive setup — overall score 5.7/10. Specifically: High short interest: 12%; Below-average business quality.
Zymeworks is a clinical-stage biotechnology company with one commercially approved product, zanidatamab (Ziihera), licensed to Jazz Pharmaceuticals and BeOne for global commercialization in HER2+ cancers. Revenue is earned from royalties and milestone payments; in 2025, the... Read more
Sell if holding. Engine safety override at $30.94: a dimension score below its floor triggers a hard block regardless of the otherwise-positive setup — overall score 5.7/10. Specifically: High short interest: 12%; Below-average business quality. Chart setup: No clear chart pattern; technical signals are mixed. Score 5.7/10, moderate confidence.
Passes 5/8 gates (positive momentum, clean insider activity, news events none recent, semi cycle peak clear, materials cycle peak clear). Fails on favorable risk/reward ratio and earnings proximity 4d<=7d. Suitability: speculative.
About Zymeworks Inc.
About Zymeworks Inc.
Zymeworks' only approved medicine, zanidatamab (Ziihera), has received regulatory clearance for HER2+ biliary tract cancer in the United States, China, Europe, and Canada, with Jazz Pharmaceuticals targeting an sBLA submission for first-line gastroesophageal adenocarcinoma in Q1 2026 under the FDA's real-time oncology review program. In 2025, the company earned $69.9 million in milestone payments, option exercise fees, and collaboration payments from partners including BMS, GSK, Daiichi Sankyo, J&J, and BeOne. Johnson & Johnson initiated multiple Phase 3 trials of pasritamig — a bispecific T cell engager built on the Azymetric platform — in castration-resistant prostate cancer in September 2025.
Zymeworks earns income through royalties and milestones rather than direct product sales. Under the Jazz Collaboration Agreement, tiered royalties range from 10% to high-teens percentage on zanidatamab net sales up to $2.0 billion and 20% above that threshold for markets outside certain Asian territories; the BeOne arrangement covers Asia (excluding Japan), Australia, and New Zealand at mid-single to mid-double digit percentages up to $1.0 billion and 19.5% above. In March 2026, the company sold 30% of future Ziihera royalties from the Jazz agreement to a special-purpose subsidiary, which borrowed $250 million from Royalty Pharma at a fixed rate maturing December 31, 2042, with total repayment of approximately $481.3 million unless repaid by December 31, 2033 ($412.5 million). Wholly-owned clinical programs include ZW191 (FRα-targeting ADC in Phase 1 for ovarian, endometrial, and NSCLC) and ZW251 (GPC3-targeting ADC in Phase 1 for hepatocellular carcinoma).
Show full overview
The GEA regulatory pathway represents the largest identifiable near-term cash event: up to $250 million upon FDA approval of zanidatamab for first-line HER2+ GEA, with Jazz pursuing FDA submission under real-time oncology review in Q1 2026. An additional $100 million is contingent on EU approval, $75 million on Japan, and $15 million on China — totaling up to $440 million in regulatory milestones from GEA alone. The 10-K notes that Zymeworks depends on Jazz for all commercialization activities in major markets and that zanidatamab's commercial viability is largely beyond Zymeworks' control, making the regulatory and commercial trajectory of a single molecule the primary determinant of near-term financial outcomes.
See also: Healthcare · Biotechnology
From Zymeworks Inc.'s most recent 10-K filing, extracted June 16, 2026.
Recent developments
updated Oct 28, 2026Recent Developments — Zymeworks Inc.
Latest news
- NEWS Truist Securities Maintains Buy on Zymeworks, Raises Price Target to $35 — benzinga Oct 28, 2026 positive
- NEWS Faeth Therapeutics Appoints Zymeworks Executive Adam Schayowitz to Board of Directors — fiscal.ai Oct 27, 2026 neutral
- NEWS Zymeworks Announced Saturday At ESMO, Phase 1 ZW191 Data Showing 64.5% Confirmed Objective Response Rate At 6.4 Mg/Kg Do — benzinga Oct 25, 2026 positive
- NEWS Zymeworks Presents Phase 1 Clinical Data for ZW191 at ESMO Congress 2026 — fiscal.ai Oct 24, 2026 neutral
- NEWS Zymeworks Enters into Exclusive Global License and Collaboration Agreement with Roche for ZW209 — fiscal.ai Oct 23, 2026 positive
Latest item Oct 28, 2026 · Generated 2026-11-05T11:49:12Z.
Upcoming dated catalysts
Thesis
Key Metrics
Quality Signals
Options Flow
Concentration Risks(10-K Item 1A)
- HIGHcounterpartyJazz10-K Item 1A: 'We depend on Jazz to develop and commercialize zanidatamab in the territories covered by the Amended Jazz Collaboration Agreement'
- HIGHProductzanidatamab (Ziihera)10-K Item 1A: 'We have only one product approved for commercial sale...other than the receipt of royalties relating to sales of zanidatamab'
Material Events(8-K, last 90d)
- 2026-04-01Item 5.02LOWKristin Stafford, age 44, appointed EVP and CFO of Zymeworks effective April 1, 2026. Previously served as SVP, Chief Accounting Officer at Royalty Pharma since December 2018. No family relationships or material interests disclosed.SEC filing →
Model-generated analysis — not investment advice. Not a registered investment advisor. Past performance does not guarantee future results. How we score · Editorial policy
Show full disclosure ▾Hide full disclosure ▴
About TrendMatrix. TrendMatrix is a publisher of general securities research and market commentary. We publish on a regular schedule. All content is the same for every subscriber in a tier — we do not provide personalized investment advice and we do not take into account any individual subscriber's financial situation, investment objectives, risk tolerance, tax situation, or holdings.
Not investment advice. TrendMatrix is not a registered investment adviser. Our content is for informational and educational purposes only. Consult your own licensed investment adviser, broker, or tax professional before making any investment decision.
Conflicts and positions. People who build TrendMatrix, or entities they control, may hold positions, long or short, in securities it covers, and may trade them at any time. Positions are not disclosed individually. Verdicts are generated by an automated model applied by the same rules to every covered stock, and are not adjusted for any position held by the people who build TrendMatrix. We do not accept payment from issuers for coverage.
No paid promotion. TrendMatrix does not accept payment from any issuer, broker, or third party in exchange for coverage of any security.
No fiduciary duty. No fiduciary, advisory, or agency relationship is created between you and TrendMatrix by reading our content or subscribing to our service.
Performance. Past performance is not indicative of future results. Performance figures reflect the published model only and do not reflect any individual subscriber's actual results.
Rating Breakdown
4 floor-breakers·1 ceiling hit
Ranks in the bottom of its industry peers on the composite signal. Better names in the same sector exist.static
Quality below the gate floor. Component breakdown shows what dragged the score down.static
No near-term catalyst priced in. Thesis progression will come from fundamentals grinding, not event reaction.static
Technicals below the gate floor. Component breakdown shows what dragged the score down.static
Price Targets
Position Sizing
Risk Alerts
Earnings
Verdict History
Frequently Asked Questions
Sell if holding. Engine safety override at $30.94: a dimension score below its floor triggers a hard block regardless of the otherwise-positive setup — overall score 5.7/10. Specifically: High short interest: 12%; Below-average business quality. Chart setup: No clear chart pattern; technical signals are mixed. Prior stop was $28.77. Score 5.7/10, moderate confidence.
Analyst target: $36.10 (+16.7% upside). Prior stop was $28.77. Stop-loss: $28.77.
Concentration risk — Counterparty: Jazz; Concentration risk — Product: zanidatamab (Ziihera); Quality below floor (2.2 < 4.0).
Zymeworks Inc. trades at a P/E of N/A (forward 25.5). TrendMatrix value score: 7.5/10. Verdict: Sell.
19 analysts rate ZYME, with a consensus score of 4.3/5. 14 analysts publish price targets averaging $42.
What does Zymeworks Inc. do?Zymeworks is a clinical-stage biotechnology company with one commercially approved product, zanidatamab (Ziihera),...
Zymeworks is a clinical-stage biotechnology company with one commercially approved product, zanidatamab (Ziihera), licensed to Jazz Pharmaceuticals and BeOne for global commercialization in HER2+ cancers. Revenue is earned from royalties and milestone payments; in 2025, the company received $69.9 million in milestones and fees from partners including BMS, GSK, Daiichi Sankyo, J&J, and BeOne. The wholly-owned pipeline includes two Phase 1 ADCs and earlier-stage multispecific programs.