Alignment Healthcare (NASDAQ:ALHC) Given New $9.00 Price Target at Barclays

Key Points

• Barclays lowered Alignment Healthcare’s price target to $9 from $10 while maintaining an “equal weight” rating, implying about 15.5% upside from the prior close.
• Analyst sentiment remains mixed: six analysts rate the stock a Buy and seven rate it a Hold, producing an overall “Hold” consensus and an average price target of $15.82.
• Alignment reported quarterly revenue of $1.36 billion, up 36.7% year over year and above estimates, while its $0.04-per-share loss matched expectations; the stock was trading near $7.79, well below its 12-month high of $25.12.

Alignment Healthcare (NASDAQ:ALHC - Get Free Report) had its price target decreased by research analysts at Barclays from $10.00 to $9.00 in a note issued to investors on Friday, Benzinga reports. The firm presently has an "equal weight" rating on the stock. Barclays's target price would suggest a potential upside of 15.46% from the company's previous close.

A number of other research firms also recently issued reports on ALHC. The Goldman Sachs Group reissued a "buy" rating and set a $12.00 price target on shares of Alignment Healthcare in a research report on Thursday, October 22nd. Needham & Company LLC initiated coverage on Alignment Healthcare in a research report on Wednesday. They set a "hold" rating on the stock. UBS Group reduced their price target on Alignment Healthcare from $22.00 to $9.00 and set a "neutral" rating for the company in a report on Monday, October 12th. William Blair lowered Alignment Healthcare from an "outperform" rating to a "market perform" rating in a research report on Friday, October 9th. Finally, TD Cowen dropped their target price on shares of Alignment Healthcare from $21.00 to $12.00 and set a "buy" rating for the company in a research report on Monday, October 12th. Six research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company. Based on data from MarketBeat, the company has an average rating of "Hold" and an average target price of $15.82.

Alignment Healthcare Price Performance

ALHC stock opened at $7.79 on Friday. The business has a 50 day simple moving average of $9.99 and a 200-day simple moving average of $16.89. The company has a current ratio of 1.70, a quick ratio of 1.70 and a debt-to-equity ratio of 1.22. The company has a market capitalization of $1.62 billion, a P/E ratio of 41.34 and a beta of 1.14. Alignment Healthcare has a twelve month low of $6.01 and a twelve month high of $25.12.

Alignment Healthcare (NASDAQ:ALHC - Get Free Report) last posted its quarterly earnings results on Thursday, October 29th. The company reported ($0.04) earnings per share for the quarter, meeting analysts' consensus estimates of ($0.04). The firm had revenue of $1.36 billion for the quarter, compared to the consensus estimate of $1.31 billion. Alignment Healthcare had a return on equity of 20.02% and a net margin of 0.89%. The company's revenue for the quarter was up 36.7% compared to the same quarter last year. During the same period in the previous year, the business earned $0.02 earnings per share. As a group, equities analysts anticipate that Alignment Healthcare will post 0.14 EPS for the current year.

Insider Buying and Selling at Alignment Healthcare

In related news, CEO John E. Kao sold 385,270 shares of the stock in a transaction that occurred on Friday, September 11th. The shares were sold at an average price of $12.68, for a total transaction of $4,885,223.60. Following the completion of the sale, the chief executive officer directly owned 1,223,473 shares of the company's stock, valued at $15,513,637.64. This represents a 23.95% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, EVP Joseph S. Konowiecki sold 23,511 shares of the firm's stock in a transaction that occurred on Thursday, September 17th. The stock was sold at an average price of $8.61, for a total transaction of $202,429.71. Following the sale, the executive vice president owned 1,080,305 shares of the company's stock, valued at $9,301,426.05. The trade was a 2.13% decrease in their ownership of the stock. 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 quarter, insiders have sold 1,061,967 shares of company stock worth $13,642,490. Company insiders own 5.20% of the company's stock.

Institutional Trading of Alignment Healthcare

Several large investors have recently added to or reduced their stakes in the company. Versant Capital Management Inc lifted its holdings in Alignment Healthcare by 463.3% in the 2nd quarter. Versant Capital Management Inc now owns 1,380 shares of the company's stock worth $33,000 after purchasing an additional 1,135 shares during the last quarter. Nykredit A S acquired a new position in Alignment Healthcare during the 2nd quarter worth $36,000. Signature Equity Partners LLC acquired a new position in Alignment Healthcare during the 1st quarter worth $46,000. Sterling Capital Management LLC boosted its holdings in Alignment Healthcare by 839.9% during the third quarter. Sterling Capital Management LLC now owns 6,739 shares of the company's stock valued at $55,000 after acquiring an additional 6,022 shares during the period. Finally, GAMMA Investing LLC boosted its holdings in Alignment Healthcare by 46.6% during the second quarter. GAMMA Investing LLC now owns 3,368 shares of the company's stock valued at $80,000 after acquiring an additional 1,070 shares during the period. 86.19% of the stock is owned by institutional investors and hedge funds.

Key Stories Impacting Alignment Healthcare

Here are the key news stories impacting Alignment Healthcare this week:

• Positive Sentiment: Third-quarter revenue increased 36.7% year over year to $1.36 billion, exceeding the $1.31 billion analyst consensus. The company’s quarterly loss of $0.04 per share was in line with expectations. Alignment Healthcare Reports Q3 Loss, Beats Revenue Estimates
• Positive Sentiment: Management is targeting at least 20% top-line growth in 2027, signaling continued membership and revenue expansion potential. Alignment Targets 2027 Top-Line Growth
• Neutral Sentiment: KeyCorp downgraded Alignment Healthcare from “overweight” to “sector weight,” indicating a less favorable risk-reward view but not an outright sell recommendation. KeyCorp Analyst Ratings
• Negative Sentiment: Alignment lowered its 2026 adjusted EBITDA outlook to at least $100 million. Although the company maintained a growth outlook, the guidance change raises concerns about near-term margins, earnings quality, and execution. Alignment Healthcare Third-Quarter Results and Updated Outlook
• Negative Sentiment: Two law firms announced investigations into potential securities-law violations, including allegations related to possibly inflated EBITDA disclosures. These announcements may add reputational and legal-risk overhang, although they do not establish wrongdoing. Block and Leviton Alignment Healthcare Investigation BFA Law Alignment Healthcare Investigation

About Alignment Healthcare

Alignment Healthcare, Inc is a technology-enabled health insurance company focused on providing Medicare Advantage plans for seniors. The company combines health plan coverage with care coordination and clinical services designed to help members manage chronic conditions, access providers and navigate the health care system.

Its offerings include Medicare Advantage plans, supplemental benefits and member support services. Alignment also uses its proprietary technology platform, including the Alignment Virtual Application (AVA), to support care teams, analyze health information and help deliver more personalized services to members.

Founded in 2013, Alignment Healthcare serves Medicare-eligible consumers in selected markets, including California, Florida, Nevada and North Carolina.

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