UBS Group Issues Pessimistic Forecast for Alight (NYSE:ALIT) Stock Price

Key Points

• UBS Group has reduced Alight's price target from $10.00 to $6.50, while maintaining a "buy" rating, indicating a potential upside of 53.48% from its previous close.
• Alight's stock recently traded at $4.24, with a twelve-month high of $8.93 and a low of $4.09, alongside a market capitalization of $2.28 billion.
• The company's last quarterly earnings met expectations, reporting $0.10 earnings per share and $528 million in revenue, though revenue declined by 1.9% year-over-year.

Alight (NYSE:ALIT - Free Report) had its price target cut by UBS Group from $10.00 to $6.50 in a research report report published on Wednesday morning,Benzinga reports. They currently have a buy rating on the stock.

ALIT has been the subject of several other reports. Wedbush decreased their price target on shares of Alight from $11.00 to $9.00 and set an "outperform" rating for the company in a report on Friday, May 9th. Needham & Company LLC decreased their price target on shares of Alight from $8.00 to $6.00 and set a "buy" rating for the company in a report on Wednesday. One analyst has rated the stock with a hold rating and seven have issued a buy rating to the company's stock. According to MarketBeat, Alight has a consensus rating of "Moderate Buy" and an average target price of $8.94.

Alight Stock Down 4.3%

NYSE:ALIT traded down $0.17 during mid-day trading on Wednesday, reaching $3.82. The stock had a trading volume of 16,804,401 shares, compared to its average volume of 8,169,079. The company has a debt-to-equity ratio of 0.64, a current ratio of 1.16 and a quick ratio of 1.16. The company has a market capitalization of $2.06 billion, a price-to-earnings ratio of 7.94 and a beta of 1.00. Alight has a 1-year low of $3.80 and a 1-year high of $8.93. The stock's 50 day simple moving average is $5.42 and its two-hundred day simple moving average is $5.75.

Alight (NYSE:ALIT - Get Free Report) last issued its earnings results on Tuesday, August 5th. The company reported $0.10 EPS for the quarter, hitting the consensus estimate of $0.10. The company had revenue of $528.00 million during the quarter, compared to analyst estimates of $525.26 million. Alight had a positive return on equity of 6.26% and a negative net margin of 50.37%. The business's revenue was down 1.9% on a year-over-year basis. During the same quarter last year, the firm earned $0.05 EPS. Equities analysts anticipate that Alight will post 0.54 EPS for the current year.

Alight Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Monday, September 15th. Investors of record on Tuesday, September 2nd will be given a $0.04 dividend. The ex-dividend date is Tuesday, September 2nd. This represents a $0.16 annualized dividend and a yield of 4.2%. Alight's dividend payout ratio (DPR) is currently -7.24%.

Insiders Place Their Bets

In other news, Director David D. Guilmette acquired 50,000 shares of the business's stock in a transaction that occurred on Tuesday, May 20th. The shares were purchased at an average cost of $5.69 per share, for a total transaction of $284,500.00. Following the transaction, the director directly owned 600,750 shares in the company, valued at $3,418,267.50. This trade represents a 9.08% increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. In the last 90 days, insiders have bought 55,216 shares of company stock valued at $307,636. Company insiders own 1.93% of the company's stock.

Institutional Trading of Alight

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Strs Ohio bought a new stake in shares of Alight in the 1st quarter worth approximately $25,000. CWM LLC raised its holdings in shares of Alight by 364.8% in the 1st quarter. CWM LLC now owns 5,104 shares of the company's stock worth $30,000 after purchasing an additional 4,006 shares in the last quarter. Caitong International Asset Management Co. Ltd raised its holdings in shares of Alight by 82.8% in the 1st quarter. Caitong International Asset Management Co. Ltd now owns 5,184 shares of the company's stock worth $31,000 after purchasing an additional 2,348 shares in the last quarter. GAMMA Investing LLC raised its holdings in shares of Alight by 5,505.8% in the 1st quarter. GAMMA Investing LLC now owns 7,792 shares of the company's stock worth $46,000 after purchasing an additional 7,653 shares in the last quarter. Finally, Public Employees Retirement System of Ohio raised its holdings in shares of Alight by 40.8% in the 4th quarter. Public Employees Retirement System of Ohio now owns 7,101 shares of the company's stock worth $49,000 after purchasing an additional 2,059 shares in the last quarter. 96.74% of the stock is currently owned by institutional investors.

About Alight

Alight, Inc provides cloud-based integrated digital human capital and business solutions worldwide. The company operates through two segments, Employer Solutions and Professional Services. The Employer Solutions segment offers employee wellbeing, integrated benefits administration, healthcare navigation, financial wellbeing, leave of absence management, retiree healthcare and payroll; and operates AI-led capabilities software.