Alignment Healthcare (NASDAQ:ALHC) Now Covered by Wolfe Research

Key Points

• Wolfe Research initiated coverage with an Outperform rating and a $24 price target (≈15.3% upside); MarketBeat shows a consensus rating of "Moderate Buy" with a $24.67 consensus target.
• Q4 results showed revenue of $1.01 billion (up 44.4% YoY) and an EPS beat (loss of $0.05 vs. -$0.15 expected), but the company still reported a negative net margin and return on equity and is forecast to post about -$0.69 EPS for the year.
• Insiders have been net sellers, offloading 1.47 million shares (~$28.7M) in the past 90 days while owning roughly 7% of the company, and institutional investors hold about 86% of the stock.

Wolfe Research assumed coverage on shares of Alignment Healthcare (NASDAQ:ALHC - Get Free Report) in a report released on Friday. The firm set an "outperform" rating and a $24.00 price target on the stock. Wolfe Research's price target points to a potential upside of 15.27% from the stock's current price.

Several other equities analysts have also commented on the stock. UBS Group increased their price target on shares of Alignment Healthcare from $18.00 to $21.00 and gave the company a "neutral" rating in a research note on Wednesday, January 14th. Piper Sandler upped their price objective on shares of Alignment Healthcare from $20.00 to $30.00 and gave the company an "overweight" rating in a research note on Tuesday, January 6th. JPMorgan Chase & Co. raised their price objective on Alignment Healthcare from $23.00 to $26.00 and gave the stock an "overweight" rating in a report on Thursday, February 5th. Weiss Ratings reissued a "sell (d-)" rating on shares of Alignment Healthcare in a report on Wednesday, January 21st. Finally, KeyCorp restated an "overweight" rating and set a $28.00 price target on shares of Alignment Healthcare in a research note on Thursday, January 22nd. One analyst has rated the stock with a Strong Buy rating, six have given a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the stock. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and a consensus target price of $24.67.

Alignment Healthcare Stock Down 0.5%

NASDAQ ALHC opened at $20.82 on Friday. Alignment Healthcare has a 52 week low of $11.63 and a 52 week high of $23.87. The firm has a market cap of $4.25 billion, a PE ratio of -2,079.92, a P/E/G ratio of 3.06 and a beta of 1.20. The company has a quick ratio of 1.71, a current ratio of 1.71 and a debt-to-equity ratio of 1.80. The business's fifty day simple moving average is $19.21 and its 200-day simple moving average is $19.12.

Alignment Healthcare (NASDAQ:ALHC - Get Free Report) last posted its quarterly earnings results on Thursday, February 26th. The company reported ($0.05) EPS for the quarter, topping the consensus estimate of ($0.15) by $0.10. The company had revenue of $1.01 billion during the quarter, compared to analysts' expectations of $1 billion. Alignment Healthcare had a negative net margin of 0.02% and a negative return on equity of 0.49%. The firm's revenue was up 44.4% on a year-over-year basis. During the same quarter in the previous year, the business posted ($0.16) EPS. As a group, equities analysts anticipate that Alignment Healthcare will post -0.69 earnings per share for the current year.

Insiders Place Their Bets

In other Alignment Healthcare news, insider Andreas P. Wagner sold 11,602 shares of Alignment Healthcare stock in a transaction that occurred on Thursday, March 19th. The stock was sold at an average price of $18.22, for a total value of $211,388.44. Following the transaction, the insider directly owned 148,628 shares in the company, valued at approximately $2,708,002.16. This trade represents a 7.24% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, CFO James M. Head sold 11,100 shares of the company's stock in a transaction that occurred on Tuesday, April 7th. The stock was sold at an average price of $21.08, for a total value of $233,988.00. Following the sale, the chief financial officer owned 173,495 shares of the company's stock, valued at $3,657,274.60. This trade represents a 6.01% decrease in their position. The SEC filing for this sale provides additional information. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last ninety days, insiders sold 1,474,097 shares of company stock valued at $28,679,550. 7.00% of the stock is owned by insiders.

Hedge Funds Weigh In On Alignment Healthcare

A number of large investors have recently bought and sold shares of ALHC. Summit Securities Group LLC purchased a new stake in shares of Alignment Healthcare in the fourth quarter valued at about $26,000. Parallel Advisors LLC increased its position in Alignment Healthcare by 87.7% during the 4th quarter. Parallel Advisors LLC now owns 1,654 shares of the company's stock worth $33,000 after purchasing an additional 773 shares during the period. Larson Financial Group LLC purchased a new position in shares of Alignment Healthcare during the 3rd quarter worth approximately $33,000. First Horizon Corp acquired a new stake in shares of Alignment Healthcare in the 4th quarter valued at approximately $39,000. Finally, GAMMA Investing LLC increased its stake in shares of Alignment Healthcare by 83.8% during the 4th quarter. GAMMA Investing LLC now owns 2,165 shares of the company's stock worth $43,000 after purchasing an additional 987 shares in the last quarter. Hedge funds and other institutional investors own 86.19% of the company's stock.

About Alignment Healthcare

Alignment Healthcare, Inc NASDAQ: ALHC is a health care company specializing in value-based care for Medicare Advantage beneficiaries. The company leverages an integrated care model that combines in-home clinical services, telehealth capabilities and digital health tools to manage chronic conditions, improve outcomes and enhance patient experience.

At the core of Alignment Healthcare's approach is a proprietary technology platform that aggregates real-time clinical and claims data to support preventive care, risk stratification and personalized care plans.

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