Zai LabZLAB -2.81%64 Return-on-Tangible-Asset is -19.34% 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 1,422 Biotechnology companies, Zai Lab ranks better than 64.84% on this metric.
Return-on-Tangible-Asset is calculated as Net Income divided by its average total tangible assets. Total tangible assets equals to Total Assets minus Intangible Assets. Zai Lab's annualizedNet Income for the quarter that ended in Mar. 2026 was $-204.1 Mil. Zai Lab's average total tangible assets for the quarter that ended in Mar. 2026 was $1,055.2 Mil. Therefore, Zai Lab's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was -19.34%.
The historical rank and industry rank for Zai Lab's Return-on-Tangible-Asset or its related term are showing as below:
ZLAB'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -72.95 Med: -32.22 Max: -15.81
Current: -16.4
During the past 11 years, Zai Lab's highest Return-on-Tangible-Asset was -15.81%. The lowest was -72.95%. And the median was -32.22%.
ZLAB's Return-on-Tangible-Asset is ranked better than 64.84% of 1422
companies
in the Biotechnology industry
Industry Median: -35.915
vs ZLAB: -16.40
Return-on-Tangible-Asset measures the rate of return on the average total tangible assets (total assets minus intangible assets). Tangible means physical in nature. Intangible Assets are assets that are not physical in nature, and typically "derive their value from legal or intellectual rights." Return-on-Tangible-Asset measures a firm's efficiency at generating profits from its tangible assets. It shows how well a company uses what it has to generate earnings. Return-on-Tangible-Assets can vary drastically across industries. Therefore, Return-on-Tangible-Asset should not be used to compare companies in different industries.
Be Aware
Like ROE and ROA, Return-on-Tangible-Asset is calculated with only 12 months data. Fluctuations in the companys earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. Return-on-Tangible-Asset can be affected by events such as stock buyback or issuance, and by a companys tax rate and its interest payment. Return-on-Tangible-Asset may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high Return-on-Tangible-Asset may indicate vulnerability in the durability of the competitive advantage.
Zai Lab Return-on-Tangible-Asset Related Terms
Zai Lab Return-on-Tangible-Asset Historical Data
* Premium members only.
The historical data trend for Zai Lab's Return-on-Tangible-Asset 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 TYRA, TRVI, OCUL: Return-on-Tangible-Asset Comparison
For the Biotechnology subindustry, Zai Lab's Return-on-Tangible-Asset, along with its competitors' market caps and Return-on-Tangible-Asset 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 Return-on-Tangible-Asset vs Biotechnology Industry
For the Biotechnology industry and Healthcare sector, Zai Lab's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where Zai Lab's Return-on-Tangible-Asset 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 Return-on-Tangible-Asset, the net income of the last fiscal year and the average total tangible assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is four times the quarterly (Mar. 2026) net income data.
What does a Return-on-Tangible-Asset of -19.34% mean?
Zai Lab (ZLAB) has a Return-on-Tangible-Asset of -19.34% as of Mar. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Zai Lab and its competitors. According to the industry distribution chart, Zai Lab ranks #500 out of 1422 companies in the Biotechnology industry, placing it in the top 35.2%.
Is Zai Lab's Return-on-Tangible-Asset too high?
Zai Lab's current Return-on-Tangible-Asset is -19.34%. Based on the distribution chart, Zai Lab ranks #500 out of 1422 companies in the Biotechnology industry, which is above 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 Return-on-Tangible-Asset compare to TYRA and TRVI?
According to the Biotechnology industry distribution chart, Zai Lab ranks #500 out of 1422 companies for Return-on-Tangible-Asset. This puts Zai Lab in the upper half of its industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Asset for a Biotechnology company?
A good Return-on-Tangible-Asset depends on the Biotechnology industry context. However, Return-on-Tangible-Asset 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 Return-on-Tangible-Asset mean?
A high Return-on-Tangible-Asset can signal that a stock is expensive relative to its fundamentals. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on Zai Lab and its competitors. Zai Lab's current Return-on-Tangible-Asset is -19.34%. 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 $18.00 — trading 40.6% below its estimated fair value. The current Return-on-Tangible-Asset is -19.34%. 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 Return-on-Tangible-Asset calculated?
Return-on-Tangible-Asset is calculated from a company's financial statements. For Zai Lab (ZLAB), the current Return-on-Tangible-Asset is -19.34% 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 $18.00 is trading 40.6% below its estimated GF Value™ of $30.30.
GuruFocus considers Zai Lab to be Possible Value Trap.
Key valuation signals for ZLAB:
Return-on-Tangible-Asset: -19.34%
GF Value™: $30.30 vs. price of $18.00 (40.6% 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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