Alector's (ALEC) "Buy" Rating Reaffirmed at BTIG Research

Key Points

• BTIG Research reaffirmed a "Buy" rating for Alector (ALEC) and set a target price of $5.00, indicating a potential upside of 58.23% from its last close.
• Mizuho upgraded Alector from a "neutral" to an "outperform" rating, increasing their price target from $2.50 to $3.50.
• Alector reported earnings of ($0.30) per share for the last quarter, beating estimates and achieving revenue of $7.87 million, significantly exceeding expectations of $2.76 million.

Alector (NASDAQ:ALEC - Get Free Report)'s stock had its "buy" rating reissued by investment analysts at BTIG Research in a research note issued to investors on Thursday,Benzinga reports. They presently have a $5.00 target price on the stock. BTIG Research's price target would indicate a potential upside of 58.23% from the stock's previous close.

Other equities research analysts also recently issued reports about the stock. Mizuho upgraded shares of Alector from a "neutral" rating to an "outperform" rating and lifted their price objective for the stock from $2.50 to $3.50 in a research note on Monday, July 28th. Wall Street Zen upgraded shares of Alector from a "sell" rating to a "hold" rating in a research note on Saturday, September 13th. Four investment analysts have rated the stock with a Buy rating, one has issued a Hold rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of "Hold" and a consensus target price of $4.17.

Alector Price Performance

Shares of ALEC opened at $3.16 on Thursday. The company has a market cap of $319.83 million, a price-to-earnings ratio of -2.72 and a beta of 0.99. Alector has a twelve month low of $0.87 and a twelve month high of $6.14. The company has a quick ratio of 3.78, a current ratio of 3.78 and a debt-to-equity ratio of 0.13. The company has a 50 day moving average of $2.28 and a two-hundred day moving average of $1.64.

Alector (NASDAQ:ALEC - Get Free Report) last announced its earnings results on Thursday, August 7th. The company reported ($0.30) earnings per share for the quarter, beating the consensus estimate of ($0.45) by $0.15. The company had revenue of $7.87 million during the quarter, compared to the consensus estimate of $2.76 million. Alector had a negative net margin of 142.10% and a negative return on equity of 112.06%. Alector has set its FY 2025 guidance at EPS. As a group, analysts predict that Alector will post -1.88 earnings per share for the current fiscal year.

Insider Activity

In related news, Director Paula Hammond sold 14,000 shares of the firm's stock in a transaction on Tuesday, August 26th. The shares were sold at an average price of $2.36, for a total transaction of $33,040.00. Following the completion of the transaction, the director owned 74,909 shares of the company's stock, valued at $176,785.24. This trade represents a 15.75% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. 9.70% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in ALEC. Acadian Asset Management LLC increased its holdings in Alector by 50.7% in the second quarter. Acadian Asset Management LLC now owns 2,170,388 shares of the company's stock valued at $3,033,000 after buying an additional 729,727 shares in the last quarter. TD Asset Management Inc grew its position in shares of Alector by 483.3% in the second quarter. TD Asset Management Inc now owns 651,738 shares of the company's stock valued at $912,000 after purchasing an additional 540,000 shares during the period. Vestal Point Capital LP acquired a new stake in shares of Alector in the first quarter valued at about $621,000. Jacobs Levy Equity Management Inc. grew its position in shares of Alector by 25.9% in the first quarter. Jacobs Levy Equity Management Inc. now owns 1,334,032 shares of the company's stock valued at $1,641,000 after purchasing an additional 274,341 shares during the period. Finally, State of Wyoming acquired a new stake in shares of Alector in the first quarter valued at about $242,000. Hedge funds and other institutional investors own 85.83% of the company's stock.

Alector Company Profile

Alector, Inc, a clinical stage biopharmaceutical company, develops therapies for the treatment of neurodegeneration diseases. Its products include AL001, an immune activity in the brain with genetic links to multiple neurodegenerative disorders, which is in Phase III clinical trial for the treatment of frontotemporal dementia, Alzheimer's, Parkinson's, and amyotrophic lateral sclerosis diseases; and AL101 that is in Phase I clinical trial for the treatment of neurodegenerative diseases, including Alzheimer's and Parkinson's diseases.

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