Alvotech (NASDAQ:ALVO) Shares Gap Down - Time to Sell?

Key Points

• Shares gapped down premarket, opening at $3.31 vs. the prior close of $3.57 and last trading around $3.21 (down about 10.5%) on volume of ~176,000 shares.
• Analyst views are mixed—two Buy, two Hold and two Sell—with an average rating of Hold and an average price target of $7.60, while UBS and Barclays recently cut their targets.
• Quarterly results showed an unusual reported EPS of $999.00 (vastly above the -$0.07 consensus) while revenue of $105.94M missed the $112.39M estimate.

Alvotech (NASDAQ:ALVO - Get Free Report)'s stock price gapped down prior to trading on Thursday . The stock had previously closed at $3.57, but opened at $3.31. Alvotech shares last traded at $3.2080, with a volume of 176,443 shares changing hands.

Wall Street Analyst Weigh In

Several equities analysts have weighed in on ALVO shares. Zacks Research raised Alvotech from a "strong sell" rating to a "hold" rating in a research note on Thursday, March 19th. UBS Group cut their target price on Alvotech from $10.00 to $6.00 and set a "buy" rating on the stock in a research note on Tuesday, March 24th. Weiss Ratings reissued a "sell (e+)" rating on shares of Alvotech in a research note on Monday, April 20th. Barclays cut their target price on Alvotech from $5.00 to $4.00 and set an "underweight" rating on the stock in a research note on Tuesday, March 24th. Finally, Wall Street Zen raised Alvotech from a "sell" rating to a "hold" rating in a research note on Saturday, April 18th. Two equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and two have issued a Sell rating to the stock. According to MarketBeat.com, the company presently has an average rating of "Hold" and an average target price of $7.60.

Alvotech Stock Down 10.5%

The firm has a fifty day simple moving average of $3.62 and a 200-day simple moving average of $4.80. The company has a market capitalization of $964.27 million, a P/E ratio of 31.95 and a beta of 0.21.

Alvotech (NASDAQ:ALVO - Get Free Report) last announced its quarterly earnings results on Wednesday, May 6th. The company reported $999.00 earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.07) by $999.07. Alvotech had a negative return on equity of 11.92% and a net margin of 4.74%.The company had revenue of $105.94 million during the quarter, compared to the consensus estimate of $112.39 million. On average, sell-side analysts predict that Alvotech will post 0.01 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently modified their holdings of the company. Geode Capital Management LLC boosted its position in shares of Alvotech by 0.7% during the second quarter. Geode Capital Management LLC now owns 230,291 shares of the company's stock worth $2,100,000 after buying an additional 1,574 shares during the period. Tempus Wealth Planning LLC boosted its position in shares of Alvotech by 6.8% during the third quarter. Tempus Wealth Planning LLC now owns 33,806 shares of the company's stock worth $277,000 after buying an additional 2,154 shares during the period. ProShare Advisors LLC boosted its position in shares of Alvotech by 24.0% during the fourth quarter. ProShare Advisors LLC now owns 13,826 shares of the company's stock worth $71,000 after buying an additional 2,675 shares during the period. Mirae Asset Global Investments Co. Ltd. boosted its position in shares of Alvotech by 25.7% during the fourth quarter. Mirae Asset Global Investments Co. Ltd. now owns 15,211 shares of the company's stock worth $78,000 after buying an additional 3,110 shares during the period. Finally, JPMorgan Chase & Co. boosted its position in shares of Alvotech by 30.4% during the third quarter. JPMorgan Chase & Co. now owns 24,455 shares of the company's stock worth $200,000 after buying an additional 5,697 shares during the period.

Alvotech Company Profile

Alvotech NASDAQ: ALVO is a global biopharmaceutical company specializing in the development, manufacturing and commercialization of biosimilar medicines. The company focuses on creating high‐quality, cost‐effective alternatives to established biologic therapies in areas such as immunology, oncology and other specialty care fields. By leveraging in‐house research and a vertically integrated manufacturing platform, Alvotech aims to bring approved biosimilars to market more rapidly and with greater cost efficiency than many traditional biosimilar developers.

Since its founding in 2013, Alvotech has built a diversified pipeline of monoclonal antibody biosimilars, targeting blockbuster reference products including adalimumab (originally branded Humira), bevacizumab (Avastin) and ustekinumab (Stelara).

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