Alector, Inc. (NASDAQ:ALEC) Receives Consensus Rating of "Hold" from Analysts

Key Points

• Alector has a consensus “Hold” rating from eight analysts: three rate it a buy, three a hold, and two a sell. The average 12-month price target is $3.62, versus a recent share price of $1.86.
• Company insiders recently sold 111,303 shares worth approximately $295,633, including sales by the CEO and CFO. Insiders retain an 8.30% ownership stake, while institutional investors own 85.83%.
• Alector reported a quarterly loss of $0.21 per share, beating estimates by $0.02, and revenue of $3.32 million, ahead of the $1.71 million consensus. The clinical-stage biotech is developing immune-system-based therapies for neurodegenerative diseases.

Alector, Inc. (NASDAQ:ALEC - Get Free Report) has received an average recommendation of "Hold" from the eight ratings firms that are presently covering the company, Marketbeat.com reports. Two analysts have rated the stock with a sell recommendation, three have given a hold recommendation and three have assigned a buy recommendation to the company. The average 1 year price target among brokers that have covered the stock in the last year is $3.62.

Separately, Weiss Ratings upgraded Alector from a "sell (e+)" rating to a "sell (d-)" rating in a research report on Thursday, August 13th.

Insider Buying and Selling

In related news, CFO Neil Berkley sold 29,251 shares of the firm's stock in a transaction that occurred on Thursday, September 3rd. The stock was sold at an average price of $2.66, for a total transaction of $77,807.66. Following the transaction, the chief financial officer owned 350,649 shares in the company, valued at $932,726.34. This trade represents a 7.70% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Also, CEO Arnon Rosenthal sold 72,606 shares of Alector stock in a transaction that occurred on Thursday, September 3rd. The stock was sold at an average price of $2.66, for a total value of $193,131.96. Following the transaction, the chief executive officer directly owned 2,294,600 shares in the company, valued at approximately $6,103,636. This trade represents a 3.07% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 111,303 shares of company stock worth $295,633 in the last 90 days. 8.30% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Alector

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Nantahala Capital Management LLC purchased a new position in shares of Alector in the 2nd quarter valued at approximately $8,679,399. Public Employees Retirement System of Ohio purchased a new position in Alector in the second quarter worth $241,000. Bank of America Corp DE acquired a new stake in Alector in the second quarter valued at $287,000. Elmind Capital LP purchased a new stake in shares of Alector during the 2nd quarter worth $1,809,000. Finally, ADAR1 Capital Management LLC purchased a new stake in shares of Alector during the 2nd quarter worth $5,796,000. Hedge funds and other institutional investors own 85.83% of the company's stock.

Alector Stock Up 0.5%

ALEC stock opened at $1.86 on Friday. The stock has a market cap of $207.69 million, a P/E ratio of -1.69 and a beta of 0.62. The company has a current ratio of 5.26, a quick ratio of 5.26 and a debt-to-equity ratio of 0.80. Alector has a twelve month low of $1.09 and a twelve month high of $3.40. The company's 50 day moving average is $2.03 and its two-hundred day moving average is $2.04.

Alector (NASDAQ:ALEC - Get Free Report) last issued its earnings results on Thursday, August 6th. The company reported ($0.21) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.23) by $0.02. Alector had a negative net margin of 850.13% and a negative return on equity of 531.03%. The business had revenue of $3.32 million during the quarter, compared to analysts' expectations of $1.71 million. Research analysts expect that Alector will post -0.87 earnings per share for the current fiscal year.

About Alector

Alector, Inc is a clinical-stage biotechnology company focused on developing therapies for neurodegenerative diseases. The company uses its expertise in the immune system and neurobiology to investigate treatments designed to improve the brain's ability to respond to disease and promote the removal or containment of harmful proteins and damaged cells.

Alector's pipeline has included investigational antibody therapies for conditions such as frontotemporal dementia, Alzheimer's disease and other neurodegenerative disorders.

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