Zymeworks completes Theravance deal, adds YUPELRI cash flow and raises 2026 outlook. Zymeworks (NASDAQ:ZYME) said it has completed its acquisition of Theravance Biopharma, adding the COPD medicine YUPELRI, an acquired research portfolio, collaboration and royalty economics, Irish tax attributes and a commercial organization to its business. Management said the transaction represents an expansion of Zymeworks' strategy beyond its historical focus on research and development catalysts. The company now expects to operate with multiple sources of revenue and operating cash flow, including profit-sharing economics from YUPELRI and royalties associated with ZIIHERA. YUPELRI and commercial operations. Discover more Business Analysis Reports Business Strategy Insights Invest in Stocks YUPELRI is a once-daily nebulized long-acting muscarinic antagonist, or LAMA, for patients with chronic obstructive pulmonary disease who may have difficulty using handheld inhalers. Viatris is responsible for community promotion of the product, while Zymeworks has retained the hospital promotion organization acquired from Theravance. Scott Platshon, Zymeworks' chief business officer, said hospital sales for YUPELRI grew approximately 25% year over year in the second quarter of 2026. He said the hospital channel remains underpenetrated and offers opportunities both to bring new hospital accounts online and to expand use within existing accounts. "The answer is both," Platshon said in response to a question about whether growth is being driven by new accounts or existing hospitals. He noted that gaining hospital formulary access can take from six months to multiple years. Management said approximately 12% to 13% of YUPELRI volume currently comes from the hospital channel. Platshon also said the hospital setting can support community use after patients are discharged, as hospitals, payers and patients may have incentives to maintain treatment with YUPELRI. Zymeworks plans to add Stuart Knight as executive vice president and chief information officer, and Jesse Fecker as vice president of intellectual property. The company also plans to hire an experienced pharmaceutical executive to lead the Theravance commercial operations. Financing structure and expected returns. Zymeworks said its base-case underwriting anticipates a mid-teen internal rate of return over the long term, primarily driven by YUPELRI and with a smaller contribution from VIBATIV, an antibiotic sold by Cumberland. Management said the base case does not assign value to the acquired research portfolio, Irish tax attributes or certain potential milestones and business-development opportunities. The acquisition was financed in part through a $350 million non-recourse, royalty-backed note with OMERS Life Sciences. The financing is secured solely by YUPELRI cash flows, according to the company. YUPELRI is currently generating approximately $60 million in annualized cash flows at current run rates, Zymeworks said. During the note period, OMERS will receive 75% of YUPELRI profit-share cash flows to service interest and principal, while Zymeworks retains the residual economics. After repayment, the remaining cash flows will revert to Zymeworks. Chief Financial Officer Kristin Stafford said the company was not providing guidance on the timing of repayment. Stafford said YUPELRI economics are structured around a 35%/65% profit-sharing arrangement with Viatris. Viatris records 100% of product net sales, while Theravance historically reported net collaboration revenue reflecting its share of profits and losses and shared-cost adjustments. Guidance and capital allocation. Following the acquisition and a $250 million milestone payment triggered by FDA approval of ZIIHERA in gastroesophageal adenocarcinoma on Aug. 25, 2026, Zymeworks issued updated 2026 guidance. The company expects: * Total revenue of $278 million to $292 million. * Adjusted EBITDA of $114 million to $128 million, excluding the impact of future transactions. The company said it will use total revenue and adjusted EBITDA as key measures as it transitions to a business supported by several revenue sources. It expects to provide initial 2027 guidance with its 2026 annual results in the first quarter of 2027. Zymeworks said it may allocate cash flow among wholly owned research programs, acquired research assets, additional acquisitions, royalty streams, commercial assets and share repurchases. Management said it will assess these choices based on risk-adjusted returns, strategic fit and its financial position. The company said it accessed approximately $600 million of non-dilutive financing during 2026 through non-recourse notes, supporting the Theravance transaction and share repurchases. Zymeworks said its last public equity offering was in January 2022 and that it currently has no plans for another equity issuance. R&D portfolio and tax attributes. The acquisition includes an R&D portfolio focused broadly on autoimmune and inflammatory programs, according to management. Zymeworks said it will evaluate internal development, partnerships, licensing and spinout options, but will allocate capital only to programs with clear risk-adjusted value-creation potential. The company also acquired approximately $2.5 billion in Irish tax attributes. Stafford said Zymeworks has assigned no value to those attributes in its base-case return analysis or expected purchase accounting, and will evaluate potential uses involving future Irish revenue, intellectual property structuring, acquisitions or investments involving Irish legal entities. Management said it expects to provide more detail on the acquired research portfolio during an R&D day planned for the first quarter of 2027. Before then, Zymeworks expects phase I optimization data for ZW191 to be presented at ESMO in Madrid on Oct. 24. About Zymeworks (NASDAQ:ZYME). Zymeworks Inc (NASDAQ: ZYME) is a biopharmaceutical company focused on discovering, developing and commercializing engineered antibody-based therapeutics for cancer and other serious diseases. The company's technologies are designed to create bispecific and multispecific antibodies, as well as antibody-drug conjugates that can target tumor cells and deliver therapeutic payloads. Zymeworks' leading product is zanidatamab, marketed in the United States as Ziihera. The bispecific antibody targets two separate sites on the HER2 protein and received U.S.

J.M. Smucker and Zymeworks shares reached 52-week highs on Wednesday following strong corporate developments. Smucker rose 4.1% after reporting first-quarter net sales of $2.2 billion, beating estimates of $2.13 billion. The food company raised its fiscal 2027 adjusted earnings forecast to between $10.50 and $11 per share, up from previous guidance of $9.75 to $10.25 per share. Zymeworks climbed 6%, hitting its highest level in nearly five years. The biotech firm received a $250 million milestone payment after the US Food and Drug Administration approved two Ziihera-based treatments for advanced HER2-positive gastroesophageal cancer. H.C. Wainwright raised Zymeworks' price target to $55 from $51, maintaining a buy rating.

Zymeworks (NASDAQ:ZYME) given "market outperform" Rating at Citizens Jmp. August 26, 2026 Key points. * Citizens JMP reiterated its "market outperform" rating on Zymeworks and maintained a $32 price target, implying 16.49% upside from the reported share price. * Analyst sentiment remains favorable overall, with nine Buy ratings, one Hold and one Sell; the consensus rating is "Moderate Buy" with an average price target of $40.22. * Zymeworks reported a quarterly loss of $0.62 per share versus the $0.56 expected and revenue of $3.23 million, down 90.6% year over year. The company also authorized a $125 million share buyback covering up to 7% of outstanding shares. * Interested in Zymeworks? Here are five stocks we like better. Zymeworks (NASDAQ:ZYME - Get Free Report)'s stock had its "market outperform" rating restated by investment analysts at Citizens Jmp in a research report issued to clients and investors on Wednesday,Benzinga reports. They currently have a $32.00 price objective on the stock. Citizens Jmp's price objective suggests a potential upside of 16.49% from the stock's current price. Several other research firms also recently issued reports on ZYME. HC Wainwright lifted their price target on Zymeworks from $51.00 to $55.00 and gave the company a "buy" rating in a research note on Wednesday. Wells Fargo & Company upped their price objective on Zymeworks from $37.00 to $40.00 and gave the stock an "overweight" rating in a research report on Friday, August 7th. Weiss Ratings restated a "sell (d-)" rating on shares of Zymeworks in a research note on Friday, July 17th. Citigroup reaffirmed a "market outperform" rating on shares of Zymeworks in a research report on Wednesday. Finally, Deutsche Bank Aktiengesellschaft set a $32.00 price objective on shares of Zymeworks in a report on Wednesday. Nine analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the company has an average rating of "Moderate Buy" and an average price target of $40.22. Zymeworks stock down 4.5%. Shares of ZYME stock opened at $27.47 on Wednesday. The firm has a fifty day moving average of $24.60 and a 200-day moving average of $24.72. Zymeworks has a 12-month low of $13.60 and a 12-month high of $30.50. The company has a market capitalization of $1.95 billion, a price-to-earnings ratio of -13.60 and a beta of 1.15. Zymeworks (NASDAQ:ZYME - Get Free Report) last posted its quarterly earnings data on Friday, August 7th. The company reported ($0.62) EPS for the quarter, missing the consensus estimate of ($0.56) by ($0.06). The company had revenue of $3.23 million during the quarter, compared to the consensus estimate of $4.54 million. Zymeworks had a negative net margin of 405.31% and a negative return on equity of 72.30%. The company's revenue was down 90.6% compared to the same quarter last year. During the same period in the prior year, the firm posted $0.03 earnings per share. On average, equities analysts expect that Zymeworks will post 1.25 EPS for the current year. Zymeworks announced that its Board of Directors has initiated a share buyback plan on Thursday, May 14th that permits the company to repurchase $125.00 million in outstanding shares. This repurchase authorization permits the company to purchase up to 7% of its shares through open market purchases. Shares repurchase plans are generally an indication that the company's board believes its shares are undervalued. Hedge funds weigh in on Zymeworks. A number of institutional investors have recently bought and sold shares of the business. BlackRock Inc. acquired a new stake in shares of Zymeworks during the 2nd quarter valued at $111,122,000. Siren L.L.C. bought a new position in Zymeworks in the fourth quarter valued at about $44,238,000. Rubric Capital Management LP boosted its stake in shares of Zymeworks by 21.7% during the first quarter. Rubric Capital Management LP now owns 7,000,000 shares of the company's stock valued at $175,280,000 after purchasing an additional 1,250,000 shares in the last quarter. Perceptive Advisors LLC boosted its stake in shares of Zymeworks by 56.0% during the fourth quarter. Perceptive Advisors LLC now owns 3,261,850 shares of the company's stock valued at $85,885,000 after purchasing an additional 1,171,187 shares in the last quarter. Finally, Millennium Management LLC boosted its stake in shares of Zymeworks by 851.6% during the third quarter. Millennium Management LLC now owns 1,104,813 shares of the company's stock valued at $18,870,000 after purchasing an additional 988,711 shares in the last quarter. Institutional investors and hedge funds own 92.89% of the company's stock. About Zymeworks. Zymeworks Inc is a clinical-stage biopharmaceutical company dedicated to the discovery, development and commercialization of next-generation multifunctional biotherapeutics. The company specializes in engineered antibody and protein therapeutics designed to address a range of unmet medical needs in oncology and other serious diseases. Through its proprietary platforms, Zymeworks aims to create novel bispecific and multispecific molecules that can simultaneously engage multiple targets and recruit immune effector functions to enhance potency and specificity. At the core of Zymeworks' innovation is its Azymetric(TM) bispecific antibody platform, which enables the design of asymmetrical bispecific antibodies with controlled assembly and high stability. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. Continue following MarketBeat Before you consider Zymeworks, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. MarketBeat has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and Zymeworks wasn't on the list. While Zymeworks currently has a Moderate Buy rating among analysts, top-rated analysts believe these five stocks are better buys. Robotics and automation are rapidly becoming essential infrastructure across healthcare, manufacturing, logistics, and many other industries. "Physical AI" is coming. Learn which seven companies are most positioned to benefit as intelligent robots enter the workforce.