Alector (NASDAQ:ALEC) Announces Earnings Results

Alector (NASDAQ:ALEC) released its earnings results on Wednesday. The company reported ($0.02) earnings per share for the quarter, topping the consensus estimate of ($0.61) by $0.59, Zacks reports. The business had revenue of $54.24 million for the quarter, compared to the consensus estimate of $20.41 million. Alector had a negative net margin of 257.54% and a negative return on equity of 108.77%. Alector updated its FY 2025 guidance to EPS.

Alector Stock Performance

Shares of Alector stock opened at $2.06 on Thursday. Alector has a 52-week low of $1.55 and a 52-week high of $7.58. The business’s 50 day simple moving average is $1.78 and its 200 day simple moving average is $3.56. The firm has a market cap of $201.55 million, a PE ratio of -1.10 and a beta of 0.61.

Wall Street Analyst Weigh In

Several research analysts have recently commented on the stock. Bank of America lowered shares of Alector from a “neutral” rating to an “underperform” rating and dropped their price target for the stock from $9.00 to $1.00 in a research note on Wednesday, December 4th. BTIG Research decreased their price target on Alector from $16.00 to $5.00 and set a “buy” rating for the company in a research note on Tuesday, November 26th. Morgan Stanley downgraded Alector from an “equal weight” rating to an “underweight” rating and cut their price objective for the company from $10.00 to $3.00 in a research note on Tuesday, November 26th. Stifel Nicolaus lowered Alector from a “buy” rating to a “hold” rating and set a $4.00 price objective on the stock. in a research note on Monday, December 16th. Finally, HC Wainwright reaffirmed a “buy” rating and issued a $7.00 price target on shares of Alector in a research report on Thursday. Two research analysts have rated the stock with a sell rating, two have assigned a hold rating and three have assigned a buy rating to the stock. Based on data from MarketBeat, the company currently has an average rating of “Hold” and an average target price of $3.75.

Insiders Place Their Bets

In related news, CEO Arnon Rosenthal sold 52,172 shares of the company’s stock in a transaction that occurred on Monday, December 2nd. The shares were sold at an average price of $2.52, for a total transaction of $131,473.44. Following the completion of the transaction, the chief executive officer now directly owns 2,507,074 shares in the company, valued at $6,317,826.48. This represents a 2.04 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, insider Sara Kenkare-Mitra sold 26,500 shares of the stock in a transaction on Monday, December 2nd. The shares were sold at an average price of $2.52, for a total value of $66,780.00. Following the completion of the transaction, the insider now owns 565,215 shares of the company’s stock, valued at $1,424,341.80. The trade was a 4.48 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 95,161 shares of company stock valued at $239,806 over the last 90 days. 9.10% of the stock is currently owned by insiders.

Alector Company Profile

Alector, Inc, a clinical stage biopharmaceutical company, develops therapies for the treatment of neurodegeneration diseases. Its products include AL001, an immune activity in the brain with genetic links to multiple neurodegenerative disorders, which is in Phase III clinical trial for the treatment of frontotemporal dementia, Alzheimer's, Parkinson's, and amyotrophic lateral sclerosis diseases; and AL101 that is in Phase I clinical trial for the treatment of neurodegenerative diseases, including Alzheimer's and Parkinson's diseases.