Alight (NYSE:ALIT) Reaches New 52-Week Low - Time to Sell?

Key Points

• Alight, Inc. (NYSE:ALIT) shares hit a new 52-week low, trading at $3.05, down from a previous close of $3.18, with a trading volume of over 21 million shares.
• Recent analyst reports show a lowered consensus price target for Alight, with Needham & Company reducing their target from $8.00 to $6.00 while maintaining a "buy" rating, and UBS lowering from $10.00 to $6.50 but also keeping a "buy" rating.
• Alight reported quarterly earnings that met analysts' expectations, with EPS of $0.10 and revenue slightly down 1.9%, while also declaring a quarterly dividend of $0.04 per share, yielding 5.2% annually.

Alight, Inc. (NYSE:ALIT - Get Free Report) shares reached a new 52-week low during mid-day trading on Thursday . The stock traded as low as $3.05 and last traded at $3.06, with a volume of 21012491 shares changing hands. The stock had previously closed at $3.18.

Wall Street Analysts Forecast Growth

A number of analysts recently issued reports on ALIT shares. Needham & Company LLC lowered their target price on Alight from $8.00 to $6.00 and set a "buy" rating on the stock in a research report on Wednesday, August 6th. Weiss Ratings reissued a "sell (d-)" rating on shares of Alight in a research report on Wednesday. Wedbush lowered their price target on Alight from $9.00 to $7.00 and set an "outperform" rating on the stock in a research report on Wednesday, August 6th. Finally, UBS Group lowered their price target on Alight from $10.00 to $6.50 and set a "buy" rating on the stock in a research report on Wednesday, August 6th. Six investment analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the stock. According to MarketBeat, Alight presently has a consensus rating of "Moderate Buy" and a consensus price target of $8.75.

Alight Trading Down 3.9%

The stock has a market capitalization of $1.65 billion, a P/E ratio of -1.38 and a beta of 1.02. The firm's 50 day moving average price is $3.68 and its 200 day moving average price is $4.85. The company has a debt-to-equity ratio of 0.64, a current ratio of 1.16 and a quick ratio of 1.16.

Alight (NYSE:ALIT - Get Free Report) last released its quarterly earnings results on Tuesday, August 5th. The company reported $0.10 earnings per share (EPS) for the quarter, hitting analysts' consensus estimates of $0.10. Alight had a negative net margin of 50.37% and a positive return on equity of 6.26%. The company had revenue of $528.00 million during the quarter, compared to the consensus estimate of $525.26 million. During the same period in the prior year, the firm earned $0.05 earnings per share. Alight's revenue was down 1.9% on a year-over-year basis. Alight has set its FY 2025 guidance at 0.580-0.640 EPS. As a group, equities research analysts expect that Alight, Inc. will post 0.54 earnings per share for the current fiscal year.

Alight Announces Dividend

The company also recently declared a quarterly dividend, which was paid on Monday, September 15th. Stockholders of record on Tuesday, September 2nd were issued a dividend of $0.04 per share. The ex-dividend date was Tuesday, September 2nd. This represents a $0.16 dividend on an annualized basis and a dividend yield of 5.2%. Alight's dividend payout ratio is presently -7.24%.

Institutional Investors Weigh In On Alight

Several institutional investors and hedge funds have recently added to or reduced their stakes in ALIT. Nomura Holdings Inc. bought a new stake in shares of Alight during the 2nd quarter valued at $32,050,000. Norges Bank bought a new stake in shares of Alight during the 2nd quarter valued at $28,596,000. Man Group plc raised its position in shares of Alight by 155.4% during the 2nd quarter. Man Group plc now owns 3,830,799 shares of the company's stock valued at $21,682,000 after purchasing an additional 2,331,077 shares during the period. American Century Companies Inc. raised its position in shares of Alight by 50.4% during the 1st quarter. American Century Companies Inc. now owns 6,920,646 shares of the company's stock valued at $41,039,000 after purchasing an additional 2,319,685 shares during the period. Finally, Alberta Investment Management Corp bought a new stake in shares of Alight during the 2nd quarter valued at $12,028,000. Hedge funds and other institutional investors own 96.74% of the company's stock.

Alight Company Profile

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.