Alignment Healthcare (NASDAQ:ALHC) Shares Down 6.9% – Here’s What Happened

Alignment Healthcare, Inc. (NASDAQ:ALHC)’s share price traded down 6.9% during mid-day trading on Thursday. The company traded as low as $7.66 and last traded at $7.5960. 1,633,482 shares changed hands during mid-day trading, a decline of 69% from the average session volume of 5,276,623 shares. The stock had previously closed at $8.16.

Analysts Set New Price Targets

A number of research analysts have issued reports on the stock. UBS Group reissued a “neutral” rating on shares of Alignment Healthcare in a research report on Wednesday, July 8th. KeyCorp reissued an “overweight” rating on shares of Alignment Healthcare in a research note on Wednesday, June 10th. Zacks Research cut Alignment Healthcare from a “strong-buy” rating to a “hold” rating in a research report on Monday, July 6th. Raymond James Financial cut Alignment Healthcare from a “strong-buy” rating to an “outperform” rating and cut their price objective for the company from $22.00 to $19.00 in a research report on Monday, August 3rd. Finally, Weiss Ratings raised Alignment Healthcare from a “hold (c-)” rating to a “hold (c)” rating in a research report on Friday, September 25th. Seven investment analysts have rated the stock with a Buy rating and four have assigned a Hold rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $23.60.

Alignment Healthcare Trading Down 5.1%

The stock has a 50-day moving average of $12.91 and a two-hundred day moving average of $17.09. The company has a market cap of $1.61 billion, a P/E ratio of 41.03 and a beta of 1.11. The company has a debt-to-equity ratio of 1.22, a quick ratio of 1.70 and a current ratio of 1.70.

Alignment Healthcare (NASDAQ:ALHC) last issued its earnings results on Thursday, July 30th. The company reported $0.17 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.13 by $0.04. The firm had revenue of $1.34 billion for the quarter, compared to the consensus estimate of $1.31 billion. Alignment Healthcare had a net margin of 0.89% and a return on equity of 20.02%. The business’s revenue was up 31.6% on a year-over-year basis. During the same quarter in the prior year, the firm posted $0.07 earnings per share. On average, equities research analysts predict that Alignment Healthcare, Inc. will post 0.17 earnings per share for the current year.

Insider Transactions at Alignment Healthcare

In other Alignment Healthcare 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 transaction of $202,429.71. Following the transaction, 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 transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO John E. Kao sold 385,270 shares of the firm’s stock in a transaction dated Friday, September 11th. The shares were sold at an average price of $12.68, for a total transaction of $4,885,223.60. Following the sale, the chief executive officer directly owned 1,223,473 shares in the company, valued at approximately $15,513,637.64. The trade was a 23.95% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold 1,327,488 shares of company stock worth $19,291,194 over the last quarter. 5.20% of the stock is currently owned by insiders.

Hedge Funds Weigh In On Alignment Healthcare

Several institutional investors have recently made changes to their positions in the business. Wellington Management Group LLP increased its holdings in Alignment Healthcare by 9.8% during the second quarter. Wellington Management Group LLP now owns 18,780,363 shares of the company’s stock valued at $447,160,000 after buying an additional 1,681,427 shares during the last quarter. William Blair Investment Management LLC purchased a new position in shares of Alignment Healthcare during the 2nd quarter worth $184,799,000. Geode Capital Management LLC boosted its stake in shares of Alignment Healthcare by 8.4% during the 4th quarter. Geode Capital Management LLC now owns 3,841,703 shares of the company’s stock worth $75,884,000 after acquiring an additional 299,279 shares during the last quarter. Danica Pension Livsforsikringsaktieselskab bought a new stake in shares of Alignment Healthcare during the 2nd quarter valued at $87,794,000. Finally, Bank of New York Mellon Corp purchased a new stake in shares of Alignment Healthcare in the 2nd quarter worth $87,077,000. Institutional investors own 86.19% of the company’s stock.

Alignment Healthcare Company Profile

Alignment Healthcare, Inc is a technology-enabled Medicare Advantage company focused on providing health coverage and care services for older adults. The company offers Medicare Advantage plans that combine medical benefits with care coordination, wellness support, and other services designed to help members manage their health.

Alignment operates through an integrated healthcare model that uses its proprietary technology platform to support physicians, care teams, and members. Its services include personalized care management, clinical coordination, virtual and in-home support, and member assistance through its concierge-style approach.