Meridian Small Cap Growth Fund Trimmed Zenas BioPharma (ZBIO) Following Share Price Appreciation

Core Insights - Meridian Small Cap Growth Fund reported a strong performance in Q3 2025, with U.S. small caps gaining 12.4% compared to large caps at 5.3% [1] - The fund's return was 4.20% (net) for the quarter, underperforming the Russell 2000 Growth Index, which returned 12.19% [1] Company Highlights - Zenas BioPharma, Inc. (NASDAQ:ZBIO) is a clinical-stage biopharmaceutical company focused on autoimmune diseases, with a one-month return of 13.00% and a 52-week gain of 250.61% [2][3] - The stock closed at $34.50 on December 02, 2025, with a market capitalization of $1.852 billion [2] - Zenas BioPharma's lead drug, Obexelimab, is in Phase 3 trials, with potential approval and launch expected in 2027 [3] - The company secured up to $300 million in non-dilutive financing from Royalty Pharma to support its clinical trials and commercialization efforts [3] Investment Sentiment - Zenas BioPharma is not among the 30 most popular stocks among hedge funds, with 13 hedge fund portfolios holding the stock at the end of Q3, unchanged from the previous quarter [4] - While Zenas BioPharma shows potential, the company is viewed as having less upside compared to certain AI stocks, which are considered to carry less downside risk [4]