Allogene Therapeutics (NASDAQ:ALLO) Shares Gap Up - Time to Buy?

Key Points

• Shares gapped up premarket, opening at $4.09 from a $2.72 close and trading near $4.00 on heavy volume (~44.5M shares), indicating strong short‑term buying interest.
• Analyst sentiment is broadly positive with a MarketBeat consensus of Moderate Buy and an average price target of $8.30, while several firms have recently raised ratings and targets (e.g., Canaccord $14, UBS $8, Truist strong‑buy).
• Allogene remains unprofitable despite beating quarterly EPS estimates ($‑0.17 vs. $‑0.25); insiders have been net sellers (278,452 shares sold) even as institutional investors materially increased stakes, leaving ~13.2% insider and ~83.6% institutional ownership.

Allogene Therapeutics, Inc. (NASDAQ:ALLO - Get Free Report)'s stock price gapped up prior to trading on Monday . The stock had previously closed at $2.72, but opened at $4.09. Allogene Therapeutics shares last traded at $3.9990, with a volume of 44,505,226 shares changing hands.

Analyst Upgrades and Downgrades

Several analysts have issued reports on the stock. Canaccord Genuity Group reaffirmed a "buy" rating and issued a $14.00 price objective on shares of Allogene Therapeutics in a research report on Friday, March 13th. UBS Group assumed coverage on shares of Allogene Therapeutics in a research report on Wednesday, January 7th. They issued a "buy" rating and a $8.00 price objective for the company. Wall Street Zen raised shares of Allogene Therapeutics from a "sell" rating to a "hold" rating in a research report on Sunday, February 22nd. Piper Sandler increased their price objective on shares of Allogene Therapeutics from $7.00 to $8.00 and gave the company an "overweight" rating in a research report on Friday, March 13th. Finally, Truist Financial raised shares of Allogene Therapeutics to a "strong-buy" rating in a research report on Wednesday, March 25th. One research analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and two have issued a Sell rating to the company. According to MarketBeat, the company presently has a consensus rating of "Moderate Buy" and an average price target of $8.30.

Allogene Therapeutics Price Performance

The firm has a market cap of $849.57 million, a price-to-earnings ratio of -4.04 and a beta of 0.53. The business's 50-day moving average price is $2.27 and its two-hundred day moving average price is $1.69.

Allogene Therapeutics (NASDAQ:ALLO - Get Free Report) last released its quarterly earnings results on Thursday, March 12th. The company reported ($0.17) earnings per share for the quarter, topping analysts' consensus estimates of ($0.25) by $0.08. Equities analysts predict that Allogene Therapeutics, Inc. will post -1.28 earnings per share for the current fiscal year.

Insider Activity at Allogene Therapeutics

In other news, CEO David D. Chang sold 47,763 shares of the firm's stock in a transaction that occurred on Monday, March 16th. The shares were sold at an average price of $2.47, for a total transaction of $117,974.61. Following the completion of the sale, the chief executive officer owned 5,150,599 shares of the company's stock, valued at approximately $12,721,979.53. This trade represents a 0.92% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, EVP Zachary Roberts sold 35,700 shares of the firm's stock in a transaction on Monday, February 2nd. The stock was sold at an average price of $1.77, for a total value of $63,189.00. Following the transaction, the executive vice president owned 581,166 shares in the company, valued at $1,028,663.82. This trade represents a 5.79% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders sold a total of 278,452 shares of company stock worth $534,053 over the last three months. 13.20% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Allogene Therapeutics

Several large investors have recently added to or reduced their stakes in ALLO. Goldman Sachs Group Inc. lifted its stake in Allogene Therapeutics by 177.9% during the first quarter. Goldman Sachs Group Inc. now owns 5,853,974 shares of the company's stock worth $8,547,000 after purchasing an additional 3,747,397 shares during the last quarter. Kalehua Capital Management LLC bought a new position in Allogene Therapeutics during the fourth quarter worth $3,488,000. Patient Square Capital LP lifted its stake in Allogene Therapeutics by 66.5% during the fourth quarter. Patient Square Capital LP now owns 4,963,756 shares of the company's stock worth $6,800,000 after purchasing an additional 1,982,360 shares during the last quarter. Millennium Management LLC lifted its stake in Allogene Therapeutics by 125.6% during the third quarter. Millennium Management LLC now owns 3,390,026 shares of the company's stock worth $4,204,000 after purchasing an additional 1,887,302 shares during the last quarter. Finally, Two Sigma Investments LP lifted its stake in Allogene Therapeutics by 109.7% during the third quarter. Two Sigma Investments LP now owns 3,383,644 shares of the company's stock worth $4,196,000 after purchasing an additional 1,770,419 shares during the last quarter. 83.63% of the stock is currently owned by institutional investors.

About Allogene Therapeutics

Allogene Therapeutics is a clinical-stage biotechnology company focused on developing allogeneic, or “off-the-shelf,” chimeric antigen receptor T-cell (CAR T) therapies to treat a range of hematologic malignancies and solid tumors. The company leverages gene-editing technologies to generate universally compatible engineered T cells, aiming to overcome the limitations of patient-specific CAR T approaches such as manufacturing delays, variable product quality and treatment resistance.

The company's pipeline includes multiple allogeneic CAR T candidates targeting key antigens in blood cancers.

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