Zai LabZLAB +3.20%64 Debt-to-Equity is 0.35 as of Mar. 2026, which is 1650% above its 10-year median of 0.02. GuruFocus rates ZLAB with a GF Score™ of 64/100 and a GF Value™ of $30.27 (Possible Value Trap). The stock has 8 warning signs investors should review. Among 966 Biotechnology companies, Zai Lab ranks worse than 66.56% on this metric.
A high debt to equity ratio generally means that a company has been aggressive in financing its growth with debt. This can result in volatile earnings as a result of the additional interest expense.
The historical rank and industry rank for Zai Lab's Debt-to-Equity or its related term are showing as below:
ZLAB'
s Debt-to-Equity Range Over the Past 10 Years
Min: 0 Med: 0.02 Max: 0.35
Current: 0.35
During the past 11 years, the highest Debt-to-Equity Ratio of Zai Lab was 0.35. The lowest was 0.00. And the median was 0.02.
ZLAB's Debt-to-Equity is ranked worse than 66.56% of 966
companies
in the Biotechnology industry
Industry Median: 0.16
vs ZLAB: 0.35
Because a company can increase its ROE % by having more financial leverage, it is important to watch the leverage ratio when investing in high ROE % companies.
Zai Lab Debt-to-Equity Related Terms
Zai Lab Debt-to-Equity Historical Data
* Premium members only.
The historical data trend for Zai Lab's Debt-to-Equity 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-Equity Comparison
For the Biotechnology subindustry, Zai Lab's Debt-to-Equity, along with its competitors' market caps and Debt-to-Equity 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-Equity vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Zai Lab's Debt-to-Equity distribution charts can be found below:
* The bar in red indicates where Zai Lab's Debt-to-Equity 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.
Zai Lab (ZLAB) has a Debt-to-Equity of 0.35 as of Mar. 2026. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on Zai Lab and its competitors. This is 1650% above median its historical median of 0.02. According to the industry distribution chart, Zai Lab ranks #643 out of 966 companies in the Biotechnology industry, placing it in the top 66.6%.
Is Zai Lab's Debt-to-Equity too high?
Zai Lab's current Debt-to-Equity of 0.35 is 1650% above median its 10-year median of 0.02. The Biotechnology industry median Debt-to-Equity is 0.16. Zai Lab's value of 0.35 is 118.8% above this industry median. Based on the distribution chart, Zai Lab ranks #643 out of 966 companies in the Biotechnology industry, which is below the industry midpoint. 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-Equity compare to STOK and ADMA?
According to the Biotechnology industry distribution chart, Zai Lab ranks #643 out of 966 companies for Debt-to-Equity. This places Zai Lab in the lower half of its industry. The industry median Debt-to-Equity is 0.16. Zai Lab's value of 0.35 is 118.8% above this benchmark. While the company's 10-year median is 0.02 vs. the industry median of 0.16, Zai Lab has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Debt-to-Equity for a Biotechnology company?
The median Debt-to-Equity among Biotechnology companies is 0.16, based on 966 companies in the industry. Companies in the top quartile (top 25%) have a Debt-to-Equity significantly above this median, while those in the bottom quartile fall well below. However, Debt-to-Equity should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Zai Lab's current Debt-to-Equity of 0.35 is 118.8% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Debt-to-Equity mean?
A high Debt-to-Equity can signal that a stock is expensive relative to its fundamentals. Debt-to-Equity ratio represents the ratio of total debt to total company equity. View historical data on Zai Lab and its competitors. For the Biotechnology industry, the median Debt-to-Equity is 0.16 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Zai Lab's current Debt-to-Equity is 0.35, which is 1650% above median its own 10-year median of 0.02. 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 $30.27, compared to a current price of $19.00 — trading 37.2% below its estimated fair value. The current Debt-to-Equity is 0.35, which is 1650% above median its 10-year median of 0.02 and 118.8% above the Biotechnology industry median of 0.16. 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-Equity calculated?
Debt-to-Equity is calculated from a company's financial statements. For Zai Lab (ZLAB), the current Debt-to-Equity is 0.35 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 $19.00 is trading 37.2% below its estimated GF Value™ of $30.27.
GuruFocus considers Zai Lab to be Possible Value Trap.
Key valuation signals for ZLAB:
Debt-to-Equity: 0.35 (1650% above median its 10-year median of 0.02)
GF Value™: $30.27 vs. price of $19.00 (37.2% below fair value)
Industry Position: 118.8% above the Biotechnology median (#643 of 966)
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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