Investor Slashes $70 Million From Zymeworks as Stock Jumps 60% in a Year

Company Overview - Zymeworks is a clinical-stage biotechnology company focused on developing innovative cancer therapies, particularly through bispecific antibodies and antibody-drug conjugates [6] - The company has a robust pipeline and strategic partnerships with major pharmaceutical firms, providing a competitive edge in targeted oncology therapeutics [6] - As of February 17, 2026, Zymeworks has a market capitalization of $1.74 billion and reported revenue of $134.48 million with a net income of -$63.43 million [4] Recent Developments - Redmile Group significantly reduced its stake in Zymeworks by 3,214,096 shares, valued at approximately $70.10 million, as disclosed in a February 17, 2026, SEC filing [2] - The quarter-end value of Redmile's position in Zymeworks decreased by $50.35 million due to share sales and stock price movements [2] - Following the sale, Zymeworks now accounts for 0.95% of Redmile's reportable 13F assets under management (AUM) [7] Performance Metrics - Zymeworks shares were priced at $23.07 as of February 17, 2026, reflecting a 60% increase over the past year, significantly outperforming the S&P 500's 13% gain during the same period [7] - The company is eligible for up to $440 million in regulatory milestone payments tied to approvals in major markets [9] - Zymeworks ended 2025 with approximately $270.6 million in cash and marketable securities, alongside a $125 million share repurchase authorization [9] Strategic Insights - The reduction in Redmile's position is interpreted as capital recycling rather than a loss of confidence, as Zymeworks is in a transition phase balancing royalty aggregation, internal R&D, and capital returns [10] - The company continues to focus on addressing unmet medical needs in cancer treatment through licensing agreements, research collaborations, and milestone payments from strategic partners [8]