Broad Bay Capital Management LP Decreases Stake in Alignment Healthcare, Inc. $ALHC

Key Points

• Broad Bay Capital Management LP reduced its stake in Alignment Healthcare, selling 588,660 shares and decreasing its ownership by 35.2%, making it the 15th largest position in their portfolio.
• In Q2, Alignment Healthcare reported a revenue increase of 49.0% year-over-year, reaching $1.02 billion, and posted earnings of $0.07 per share, surpassing analysts' expectations.
• Wall Street analysts hold a consensus rating of "Moderate Buy" for Alignment Healthcare, with an average price target of $18.83, indicating a mixed outlook for the stock.

Broad Bay Capital Management LP lessened its stake in Alignment Healthcare, Inc. (NASDAQ:ALHC - Free Report) by 35.2% in the 1st quarter, according to its most recent filing with the SEC. The fund owned 1,082,780 shares of the company's stock after selling 588,660 shares during the period. Alignment Healthcare comprises approximately 3.0% of Broad Bay Capital Management LP's portfolio, making the stock its 15th largest position. Broad Bay Capital Management LP owned 0.55% of Alignment Healthcare worth $20,161,000 at the end of the most recent reporting period.

Several other institutional investors have also modified their holdings of the business. Vanguard Group Inc. grew its stake in shares of Alignment Healthcare by 13.2% in the first quarter. Vanguard Group Inc. now owns 11,113,896 shares of the company's stock worth $206,941,000 after acquiring an additional 1,295,825 shares in the last quarter. T. Rowe Price Investment Management Inc. grew its stake in shares of Alignment Healthcare by 5.0% in the first quarter. T. Rowe Price Investment Management Inc. now owns 9,078,113 shares of the company's stock worth $169,035,000 after acquiring an additional 429,071 shares in the last quarter. Wellington Management Group LLP grew its stake in shares of Alignment Healthcare by 0.9% in the first quarter. Wellington Management Group LLP now owns 7,509,057 shares of the company's stock worth $139,819,000 after acquiring an additional 70,557 shares in the last quarter. Millennium Management LLC grew its stake in shares of Alignment Healthcare by 588.3% in the fourth quarter. Millennium Management LLC now owns 3,388,602 shares of the company's stock worth $38,122,000 after acquiring an additional 2,896,311 shares in the last quarter. Finally, Price T Rowe Associates Inc. MD grew its stake in shares of Alignment Healthcare by 9.7% in the first quarter. Price T Rowe Associates Inc. MD now owns 2,199,421 shares of the company's stock worth $40,954,000 after acquiring an additional 193,644 shares in the last quarter. Institutional investors and hedge funds own 86.19% of the company's stock.

Analyst Upgrades and Downgrades

ALHC has been the subject of several research reports. Wall Street Zen downgraded shares of Alignment Healthcare from a "buy" rating to a "hold" rating in a research note on Sunday, August 10th. Barclays upgraded shares of Alignment Healthcare from an "underweight" rating to an "equal weight" rating and raised their price objective for the company from $9.00 to $13.00 in a report on Thursday, July 31st. Zacks Research upgraded shares of Alignment Healthcare to a "hold" rating in a report on Friday, August 8th. Stephens upgraded shares of Alignment Healthcare to a "strong-buy" rating in a report on Monday, June 2nd. Finally, KeyCorp upgraded shares of Alignment Healthcare from a "sector weight" rating to an "overweight" rating and set a $21.00 price objective on the stock in a report on Monday, August 25th. One analyst has rated the stock with a Strong Buy rating, six have issued a Buy rating and four have issued a Hold rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average price target of $18.83.

Alignment Healthcare Stock Performance

Alignment Healthcare stock traded up $0.31 during midday trading on Tuesday, hitting $16.67. 2,334,144 shares of the company's stock were exchanged, compared to its average volume of 2,992,353. Alignment Healthcare, Inc. has a 12-month low of $8.65 and a 12-month high of $21.06. The company has a debt-to-equity ratio of 2.29, a quick ratio of 1.66 and a current ratio of 1.66. The stock has a market cap of $3.30 billion, a price-to-earnings ratio of -59.54 and a beta of 1.17. The firm's 50 day simple moving average is $13.98 and its 200 day simple moving average is $15.37.

Alignment Healthcare (NASDAQ:ALHC - Get Free Report) last issued its quarterly earnings data on Wednesday, July 30th. The company reported $0.07 earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.07) by $0.14. Alignment Healthcare had a negative net margin of 1.53% and a negative return on equity of 43.68%. The company had revenue of $1.02 billion for the quarter, compared to the consensus estimate of $960.25 million. During the same period last year, the firm posted ($0.13) EPS. Alignment Healthcare's revenue for the quarter was up 49.0% on a year-over-year basis. Alignment Healthcare has set its FY 2025 guidance at EPS. Q3 2025 guidance at EPS. Equities research analysts predict that Alignment Healthcare, Inc. will post -0.69 EPS for the current year.

Insider Buying and Selling

In other news, insider Christopher J. Joyce sold 15,491 shares of the firm's stock in a transaction on Thursday, July 31st. The shares were sold at an average price of $16.01, for a total value of $248,010.91. Following the completion of the sale, the insider owned 374,531 shares in the company, valued at approximately $5,996,241.31. This trade represents a 3.97% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, President Dawn Christine Maroney sold 30,000 shares of the stock in a transaction dated Monday, July 14th. The shares were sold at an average price of $13.44, for a total transaction of $403,200.00. Following the completion of the sale, the president directly owned 2,042,899 shares in the company, valued at approximately $27,456,562.56. The trade was a 1.45% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 636,185 shares of company stock worth $9,235,468. 6.60% of the stock is currently owned by insiders.

About Alignment Healthcare

Alignment Healthcare, Inc, a tech-enabled Medicare advantage company, operates consumer-centric health care platform for seniors in the United States. It provides customized health care designed to meet the needs of a diverse array of seniors through its Medicare advantage plans. The company was founded in 2013 and is based in Orange, California.