Insider Selling: Alignment Healthcare (NASDAQ:ALHC) CEO Sells 355,018 Shares of Stock

Key Points

• CEO John Kao of Alignment Healthcare sold 355,018 shares of the company's stock for approximately $5.83 million, reducing his total ownership by 7.26% to 4,533,568 shares.
• Alignment Healthcare's stock price declined by 0.2% to $16.45, with significant trading volume of 4,860,124 shares compared to its average of 2,946,361 shares.
• The company's latest quarterly earnings showed 49% revenue growth year-over-year, reporting $1.02 billion, surpassing analysts' expectations of $960.25 million.

Alignment Healthcare, Inc. (NASDAQ:ALHC - Get Free Report) CEO John E. Kao sold 355,018 shares of the stock in a transaction that occurred on Wednesday, September 10th. The shares were sold at an average price of $16.41, for a total transaction of $5,825,845.38. Following the sale, the chief executive officer directly owned 4,533,568 shares of the company's stock, valued at $74,395,850.88. The trade was a 7.26% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website.

Alignment Healthcare Stock Up 1.7%

NASDAQ:ALHC traded up $0.28 during midday trading on Monday, reaching $16.32. 4,336,879 shares of the stock traded hands, compared to its average volume of 3,638,717. Alignment Healthcare, Inc. has a 12-month low of $9.15 and a 12-month high of $21.06. The business has a 50-day moving average of $14.47 and a two-hundred day moving average of $15.54. 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 capitalization of $3.23 billion, a PE ratio of -58.28 and a beta of 1.17.

Alignment Healthcare (NASDAQ:ALHC - Get Free Report) last posted its earnings results on Wednesday, July 30th. The company reported $0.07 EPS for the quarter, beating analysts' consensus estimates 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 during the quarter, compared to analysts' expectations of $960.25 million. During the same quarter in the prior year, the company posted ($0.13) earnings per share. Alignment Healthcare's revenue for the quarter was up 49.0% compared to the same quarter last year. Alignment Healthcare has set its FY 2025 guidance at EPS. Q3 2025 guidance at EPS. On average, equities analysts forecast that Alignment Healthcare, Inc. will post -0.69 earnings per share for the current fiscal year.

Analyst Upgrades and Downgrades

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

Institutional Trading of Alignment Healthcare

A number of hedge funds and other institutional investors have recently made changes to their positions in the business. Vanguard Group Inc. increased 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 during the period. T. Rowe Price Investment Management Inc. increased 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 during the period. Wellington Management Group LLP increased 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 during the period. Hood River Capital Management LLC increased its stake in shares of Alignment Healthcare by 6.0% in the second quarter. Hood River Capital Management LLC now owns 5,517,336 shares of the company's stock worth $77,243,000 after acquiring an additional 311,424 shares during the period. Finally, 8 Knots Management LLC increased its stake in shares of Alignment Healthcare by 6.4% in the second quarter. 8 Knots Management LLC now owns 5,015,881 shares of the company's stock worth $70,222,000 after acquiring an additional 300,409 shares during the period. Institutional investors and hedge funds own 86.19% of the company's stock.

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.