Zai LabZLAB +2.28%64 Debt-to-EBITDA is -1.32 as of Mar. 2026. GuruFocus rates ZLAB with a GF Score™ of 64/100 and a GF Value™ of $30.30 (Possible Value Trap). The stock has 8 warning signs investors should review. Among 292 Biotechnology companies, Zai Lab ranks worse than 342465.41% on this metric.
Debt-to-EBITDA measures a company's ability to pay off its debt.
A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt. According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.
The historical rank and industry rank for Zai Lab's Debt-to-EBITDA or its related term are showing as below:
ZLAB'
s Debt-to-EBITDA Range Over the Past 10 Years
Min: -1.46 Med: -0.06 Max: -0.02
Current: -1.46
During the past 11 years, the highest Debt-to-EBITDA Ratio of Zai Lab was -0.02. The lowest was -1.46. And the median was -0.06.
ZLAB's Debt-to-EBITDA is ranked worse than 100% of 292
companies
in the Biotechnology industry
Industry Median: 1.215
vs ZLAB: -1.46
A high Debt-to-EBITDA ratio generally means that a company may spend more time to paying off its debt.
According to Joel Tillinghast's BIG MONEY THINKS SMALL: Biases, Blind Spots, and Smarter Investing, a ratio of Debt-to-EBITDA exceeding four is usually considered scary unless tangible assets cover the debt.
Zai Lab Debt-to-EBITDA Related Terms
Zai Lab Debt-to-EBITDA Historical Data
* Premium members only.
The historical data trend for Zai Lab's Debt-to-EBITDA can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
ZLAB vs STOK, ADMA, VRDN: Debt-to-EBITDA Comparison
For the Biotechnology subindustry, Zai Lab's Debt-to-EBITDA, along with its competitors' market caps and Debt-to-EBITDA data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Zai Lab Debt-to-EBITDA vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Zai Lab's Debt-to-EBITDA distribution charts can be found below:
* The bar in red indicates where Zai Lab's Debt-to-EBITDA falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual Debt-to-EBITDA, the EBITDA of the last fiscal year is used. In calculating the annualized quarterly data,
the EBITDA data used here is four times the quarterly (Mar. 2026) EBITDA data.
Zai Lab (ZLAB) has a Debt-to-EBITDA of -1.32 as of Mar. 2026. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Zai Lab. According to the industry distribution chart, Zai Lab ranks #999999 out of 292 companies in the Biotechnology industry.
Is Zai Lab's Debt-to-EBITDA too high?
Zai Lab's current Debt-to-EBITDA is -1.32. Based on the distribution chart, Zai Lab ranks #999999 out of 292 companies in the Biotechnology industry, which is in the bottom quartile relative to peers. Overall, Zai Lab has a GF Score™ of 64/100 and is considered Possible Value Trap, reflecting its overall financial health beyond just this single metric.
How does Zai Lab's Debt-to-EBITDA compare to STOK and ADMA?
According to the Biotechnology industry distribution chart, Zai Lab ranks #999999 out of 292 companies for Debt-to-EBITDA. This places Zai Lab in the lower half of its industry. The industry median Debt-to-EBITDA is 1.22. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Debt-to-EBITDA for a Biotechnology company?
The median Debt-to-EBITDA among Biotechnology companies is 1.22, based on 292 companies in the industry. Companies in the top quartile (top 25%) have a Debt-to-EBITDA significantly above this median, while those in the bottom quartile fall well below. However, Debt-to-EBITDA should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Debt-to-EBITDA mean?
A high Debt-to-EBITDA can signal that a stock is expensive relative to its fundamentals. Debt-to-EBITDA ratio represents the ratio of total debt to total earnings before interest, taxes, depreciation and amortization. View historical data on Zai Lab. For the Biotechnology industry, the median Debt-to-EBITDA is 1.22 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zai Lab's current Debt-to-EBITDA is -1.32. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Zai Lab stock overvalued right now?
Based on GuruFocus' analysis, Zai Lab (ZLAB) is currently considered Possible Value Trap. The stock's GF Value™ is $30.30, compared to a current price of $18.41 — trading 39.2% below its estimated fair value. The current Debt-to-EBITDA is -1.32. Zai Lab's overall GF Score™ is 64/100 with 8 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Debt-to-EBITDA calculated?
Debt-to-EBITDA is calculated from a company's financial statements. For Zai Lab (ZLAB), the current Debt-to-EBITDA is -1.32 as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Zai Lab (ZLAB) Overvalued in 2026?
Based on GuruFocus' analysis, Zai Lab stock appears to be undervalued.
The current stock price of $18.41 is trading 39.2% below its estimated GF Value™ of $30.30.
GuruFocus considers Zai Lab to be Possible Value Trap.
Key valuation signals for ZLAB:
Debt-to-EBITDA: -1.32
GF Value™: $30.30 vs. price of $18.41 (39.2% below fair value)
No single metric tells the full story. See the ZLAB stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Zai Lab Ltd is a biopharmaceutical company focusing on discovering or licensing, developing, and commercializing proprietary therapeutics that address areas of unmet medical need including in the fields of oncology, autoimmune and infectious diseases. Zai Lab has a diverse pipeline of potentially first-in-class product candidates developed through in-house R&D and global partnerships. The company has successfully commercialized several products in China, including Zejula, Optune, Qinlock, and Nuzyra, with plans for further expansion The pipeline of proprietary drug candidates of the company includes ZL-1222, ZL-1311, ZL-6201 and many others.
64GF Score
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