Alignment Healthcare (NASDAQ:ALHC) Posts Quarterly Earnings Results, Meets Expectations

Key Points

• Alignment Healthcare met earnings expectations, reporting a quarterly loss of $0.04 per share, while revenue of $1.36 billion exceeded analysts’ $1.31 billion estimate.
• Shares fell 1.5% to $8.06 during Thursday trading, with the stock remaining well below its 52-week high of $25.12.
• Analyst sentiment is mixed but remains moderately bullish: the consensus rating is “Moderate Buy” with a $15.91 price target, while several firms recently lowered their targets.

Alignment Healthcare (NASDAQ:ALHC - Get Free Report) posted its quarterly earnings data on Thursday. The company reported ($0.04) earnings per share for the quarter, hitting analysts' consensus estimates of ($0.04), FiscalAI reports. Alignment Healthcare had a return on equity of 20.02% and a net margin of 0.89%. The business had revenue of $1.36 billion for the quarter, compared to analyst estimates of $1.31 billion.

Alignment Healthcare Trading Down 1.5%

NASDAQ ALHC traded down $0.12 during mid-day trading on Thursday, hitting $8.06. The company's stock had a trading volume of 13,397,872 shares, compared to its average volume of 5,600,163. The firm has a market capitalization of $1.67 billion, a P/E ratio of 42.42 and a beta of 1.14. The company has a debt-to-equity ratio of 1.22, a current ratio of 1.70 and a quick ratio of 1.70. Alignment Healthcare has a 52-week low of $6.01 and a 52-week high of $25.12. The stock's fifty day simple moving average is $10.08 and its two-hundred day simple moving average is $16.96.

Analysts Set New Price Targets

A number of equities analysts recently weighed in on ALHC shares. Wall Street Zen lowered shares of Alignment Healthcare from a "buy" rating to a "hold" rating in a research report on Saturday, August 1st. Needham & Company LLC began coverage on shares of Alignment Healthcare in a research note on Wednesday. They issued a "hold" rating for the company. TD Cowen lowered their target price on shares of Alignment Healthcare from $21.00 to $12.00 and set a "buy" rating on the stock in a report on Monday, October 12th. UBS Group decreased their price target on Alignment Healthcare from $22.00 to $9.00 and set a "neutral" rating on the stock in a research note on Monday, October 12th. Finally, The Goldman Sachs Group reiterated a "buy" rating and set a $12.00 price target on shares of Alignment Healthcare in a research report on Thursday, October 22nd. Seven investment analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $15.91.

Insider Buying and Selling

In other news, EVP Joseph S. Konowiecki sold 23,511 shares of the company's stock in a transaction dated Thursday, September 17th. The shares were sold at an average price of $8.61, for a total value of $202,429.71. Following the sale, the executive vice president owned 1,080,305 shares in the company, valued at approximately $9,301,426.05. This represents a 2.13% decrease in their position. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Hyong Kim sold 32,479 shares of Alignment Healthcare stock in a transaction that occurred on Tuesday, October 6th. The stock was sold at an average price of $8.30, for a total value of $269,575.70. Following the completion of the transaction, the insider owned 299,271 shares of the company's stock, valued at approximately $2,483,949.30. The trade was a 9.79% 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. Insiders have sold a total of 1,061,967 shares of company stock valued at $13,642,490 in the last 90 days. 5.20% of the stock is currently owned by company insiders.

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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