Alector (NASDAQ:ALEC) Posts Quarterly Earnings Results, Beats Estimates By $0.05 EPS

Alector (NASDAQ:ALEC) announced its quarterly earnings data on Wednesday. The company reported ($0.34) earnings per share for the quarter, topping the consensus estimate of ($0.39) by $0.05, FiscalAI reports. Alector had a negative return on equity of 123.02% and a negative net margin of 156.03%.The company had revenue of $6.24 million during the quarter, compared to analyst estimates of $1.78 million.

Alector Price Performance

Shares of ALEC stock traded up $0.20 on Wednesday, reaching $2.39. The company’s stock had a trading volume of 990,575 shares, compared to its average volume of 931,002. The company has a market capitalization of $260.87 million, a P/E ratio of -2.23 and a beta of 0.64. Alector has a 12-month low of $0.87 and a 12-month high of $3.40. The stock’s 50 day simple moving average is $1.81 and its 200-day simple moving average is $2.03. The company has a quick ratio of 3.76, a current ratio of 3.76 and a debt-to-equity ratio of 0.17.

Insiders Place Their Bets

In related news, CFO Neil Lindsay Berkley sold 37,261 shares of the firm’s stock in a transaction that occurred on Wednesday, December 3rd. The shares were sold at an average price of $1.12, for a total value of $41,732.32. Following the sale, the chief financial officer directly owned 374,309 shares of the company’s stock, valued at $419,226.08. This trade represents a 9.05% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, insider Sara Kenkare-Mitra sold 41,687 shares of the business’s stock in a transaction that occurred on Wednesday, December 3rd. The stock was sold at an average price of $1.12, for a total transaction of $46,689.44. Following the completion of the transaction, the insider directly owned 501,652 shares of the company’s stock, valued at approximately $561,850.24. This represents a 7.67% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 196,104 shares of company stock worth $220,064 in the last ninety days. 9.70% of the stock is currently owned by insiders.

Institutional Trading of Alector

Several institutional investors and hedge funds have recently made changes to their positions in the stock. Balyasny Asset Management L.P. purchased a new position in Alector in the fourth quarter worth $5,094,000. Ikarian Capital LLC boosted its holdings in shares of Alector by 174.0% in the 4th quarter. Ikarian Capital LLC now owns 2,082,606 shares of the company’s stock worth $3,249,000 after purchasing an additional 1,322,606 shares in the last quarter. ADAR1 Capital Management LLC bought a new position in shares of Alector during the 4th quarter valued at about $1,728,000. Medici Capital LLC increased its position in shares of Alector by 211.3% during the 4th quarter. Medici Capital LLC now owns 1,500,520 shares of the company’s stock valued at $2,341,000 after purchasing an additional 1,018,546 shares during the last quarter. Finally, Marshall Wace LLP raised its holdings in shares of Alector by 669.4% during the 4th quarter. Marshall Wace LLP now owns 1,166,817 shares of the company’s stock valued at $1,820,000 after buying an additional 1,015,174 shares in the last quarter. Hedge funds and other institutional investors own 85.83% of the company’s stock.

Analysts Set New Price Targets

Several equities analysts have recently weighed in on the stock. Morgan Stanley reiterated an “underweight” rating on shares of Alector in a research note on Thursday, January 8th. Wall Street Zen upgraded shares of Alector from a “sell” rating to a “hold” rating in a research note on Saturday. BTIG Research raised shares of Alector from a “hold” rating to a “strong-buy” rating in a report on Monday, January 5th. Finally, Weiss Ratings restated a “sell (d-)” rating on shares of Alector in a research report on Wednesday, January 21st. One equities research analyst has rated the stock with a Strong Buy rating, one has issued a Buy rating, four have issued a Hold rating and two have issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company has a consensus rating of “Hold” and a consensus price target of $3.25.

About Alector

Alector is a clinical-stage biotechnology company headquartered in South San Francisco, California. Founded in 2013, the company is focused on discovering and developing immuno-neurology therapies that target the innate immune system to treat a range of neurodegenerative disorders. Alector’s approach aims to harness the body’s natural defense mechanisms to clear pathological proteins and restore neuronal function in conditions such as Alzheimer’s disease and frontotemporal dementia.

The company’s pipeline includes multiple product candidates in both preclinical and clinical stages, with lead programs AL001 and AL002 advancing in frontotemporal dementia and Alzheimer’s disease studies.