Alector's (ALEC) "Sell (D-)" Rating Reiterated at Weiss Ratings

Key Points

• Alector's stock has been given a "Sell (D-)" rating by Weiss Ratings, indicating persistent concerns about its performance.
• Despite the negative outlook from Weiss, Mizuho recently upgraded Alector from a "neutral" to an "outperform" rating with a revised price target of $3.50.
• Alector reported earnings of ($0.30) per share, exceeding the consensus estimate of ($0.45) by $0.15, alongside significantly higher revenue than expected.

Alector (NASDAQ:ALEC - Get Free Report)'s stock had its "sell (d-)" rating reiterated by analysts at Weiss Ratings in a research note issued on Wednesday,Weiss Ratings reports.

A number of other equities research analysts have also issued reports on ALEC. Mizuho upgraded Alector from a "neutral" rating to an "outperform" rating and upped their price target for the company from $2.50 to $3.50 in a research report on Monday, July 28th. BTIG Research reaffirmed a "buy" rating and set a $5.00 price objective on shares of Alector in a report on Thursday, September 25th. Finally, Wall Street Zen lowered Alector from a "hold" rating to a "sell" rating in a report on Friday, September 26th. Four investment analysts have rated the stock with a Buy rating, one has given a Hold rating and three have given a Sell rating to the company. Based on data from MarketBeat, Alector has a consensus rating of "Hold" and an average price target of $4.17.

Alector Stock Performance

Shares of NASDAQ:ALEC traded down $0.01 during midday trading on Wednesday, reaching $3.07. 716,592 shares of the company's stock traded hands, compared to its average volume of 904,410. Alector has a one year low of $0.87 and a one year high of $6.14. The stock has a 50 day moving average of $2.53 and a 200 day moving average of $1.75. The company has a debt-to-equity ratio of 0.13, a quick ratio of 3.78 and a current ratio of 3.78. The company has a market cap of $310.21 million, a price-to-earnings ratio of -2.65 and a beta of 0.99.

Alector (NASDAQ:ALEC - Get Free Report) last released its quarterly 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 business had revenue of $7.87 million during the quarter, compared to analysts' expectations of $2.76 million. Alector had a negative return on equity of 112.06% and a negative net margin of 142.10%. Alector has set its FY 2025 guidance at EPS. As a group, equities research analysts anticipate that Alector will post -1.88 EPS for the current fiscal year.

Insider Activity

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

Institutional Inflows and Outflows

A number of institutional investors have recently modified their holdings of the stock. Hamilton Lane Advisors LLC bought a new position in Alector in the 3rd quarter worth about $43,000. State of Wyoming boosted its holdings in Alector by 13.4% in the second quarter. State of Wyoming now owns 223,092 shares of the company's stock worth $312,000 after acquiring an additional 26,278 shares in the last quarter. Boothbay Fund Management LLC lifted its holdings in shares of Alector by 67.2% during the second quarter. Boothbay Fund Management LLC now owns 458,863 shares of the company's stock worth $642,000 after purchasing an additional 184,503 shares during the period. Bridgeway Capital Management LLC purchased a new position in Alector during the second quarter valued at approximately $161,000. Finally, Bank of America Corp DE increased its position in shares of Alector by 1.8% during the second quarter. Bank of America Corp DE now owns 343,909 shares of the company's stock worth $481,000 after purchasing an additional 5,927 shares in the last quarter. Institutional investors and hedge funds 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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