Zenas BioPharma Inc. Common Stock (ZBIO)

FairStock Score: 20/100 — RISKY

Key Financials

AI Analysis

AI-generated, general educational analysis — not personal investment advice.

As a value investor, I look for durable businesses with consistent earnings and a margin of safety. Zenas BioPharma is not that today. It is a clinical-stage immunology company with 167 employees and a lead candidate, obexelimab, plus other pipeline assets. In fiscal Q2 2026, the quarter ended 2026-06-30, it reported revenue of $1.0M and a net loss of $111.5M. For FY2025, period ended 2025-12-31, revenue was $10.0M and net loss was $377.7M; FY2024 revenue was $5.0M and net loss $157.0M; FY2023 revenue was $50.0M and net loss $37.1M. Revenue has not compounded—it went from $50.0M to $5.0M to $10.0M—while losses have widened sharply. Trailing free cash flow was -$291.0M, a -17.7% FCF yield, per FairStock. The balance sheet quality looks poor: debt-to-equity 1.21, ROE -199.04%, ROCE -34.42%, Piotroski 1/9, Altman Z 0.90, and FairStock Score 20/100. At the 2026-10-13 close of $25.16, P/B is 6.45 and market cap is $1.6B; the P/E of -2.61 simply reflects losses. A biotech moat can come from patents, clinical data, and approvals, but Zenas has no commercial profit engine and depends on future trial success and external capital. The growth trajectory is currently driven by spending, not revenue. If obexelimab succeeds in IgG4-related disease, multiple sclerosis, or lupus, the picture could change. Until then, the current price rests on hope rather than demonstrated earning power.

In plain English: Zenas BioPharma is a drug developer still testing its main medicines, including obexelimab for immune-system diseases. The business looks weak today: it earns very little revenue and loses large amounts of money, with no yearly profit in the last three years. At the 2026-10-13 close of $25.16, the $1.6 billion market value looks expensive relative to those current sales and losses.

The full AI analysis, bull and bear case and key monitorables are in FairStock Pro.

Data as of 2026-10-13 close · note generated 2026-10-15 · model deepseek-flash

Sources (SEC EDGAR): fiscal Q2 2026 10-Q (period ended 2026-06-30) · fiscal Q1 2026 10-Q (period ended 2026-03-31) · fiscal Q3 2025 10-Q (period ended 2025-09-30) · fiscal Q2 2025 10-Q (period ended 2025-06-30) · FY2025 10-K (period ended 2025-12-31) · FY2024 10-K (period ended 2024-12-31) · FY2023 10-K (period ended 2023-12-31)

Fundamentals from company filings and market-data providers; prices are end-of-day, not real-time. AI-generated analysis is general and educational — not personal investment advice. Scoring methodology · Score test · Disclaimer