Alector (NASDAQ:ALEC) Releases Earnings Results, Beats Expectations By $1.34 EPS

Alector (NASDAQ:ALEC) announced its earnings results on Thursday. The company reported $1.11 EPS for the quarter, beating the consensus estimate of ($0.23) by $1.34, FiscalAI reports. The business had revenue of $162.87 million for the quarter, compared to the consensus estimate of $2.19 million. Alector had a negative return on equity of 531.03% and a negative net margin of 850.13%.

Alector Stock Down 8.3%

Shares of NASDAQ ALEC traded down $0.19 during midday trading on Thursday, reaching $2.09. 1,270,117 shares of the company’s stock were exchanged, compared to its average volume of 2,418,179. Alector has a 52-week low of $1.09 and a 52-week high of $2.76. The stock has a market capitalization of $233.36 million, a PE ratio of -1.90 and a beta of 0.61. The company has a debt-to-equity ratio of 0.80, a quick ratio of 5.26 and a current ratio of 5.26. The business’s fifty day moving average price is $2.06 and its two-hundred day moving average price is $2.03.

Analyst Upgrades and Downgrades

A number of research firms have weighed in on ALEC. Morgan Stanley upped their price target on Alector from $2.00 to $3.00 and gave the stock an “underweight” rating in a report on Tuesday, October 6th. UBS Group reiterated a “neutral” rating and set a $1.50 price objective on shares of Alector in a research note on Tuesday, October 6th. Weiss Ratings raised shares of Alector from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Thursday, August 13th. Finally, HC Wainwright upped their target price on shares of Alector from $5.00 to $8.00 and gave the company a “buy” rating in a research note on Wednesday, October 14th. Three equities research analysts have rated the stock with a Buy rating, one has given a Hold rating and two have issued a Sell rating to the company’s stock. Based on data from MarketBeat, Alector has an average rating of “Hold” and an average target price of $4.62.

Insider Activity

In other Alector news, CEO Arnon Rosenthal sold 72,606 shares of the firm’s stock in a transaction that occurred on Thursday, September 3rd. The stock was sold at an average price of $2.66, for a total transaction of $193,131.96. Following the completion of the sale, the chief executive officer owned 2,294,600 shares in the company, valued at $6,103,636. This trade represents a 3.07% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. Also, CFO Neil Berkley sold 29,251 shares of Alector stock in a transaction that occurred on Thursday, September 3rd. The stock was sold at an average price of $2.66, for a total value of $77,807.66. Following the sale, the chief financial officer owned 350,649 shares in the company, valued at $932,726.34. This represents a 7.70% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last quarter, insiders sold 111,303 shares of company stock worth $295,633. Insiders own 8.30% of the company’s stock.

About Alector

Alector, Inc (NASDAQ: ALEC) is a clinical-stage biotechnology company focused on developing therapies for neurodegenerative diseases. The company’s research platform, known as immuno-neurology, is designed to use the body’s immune system to protect or restore the brain’s ability to maintain healthy neural connections.

Alector’s investigational pipeline has included antibody-based treatments for conditions such as frontotemporal dementia and Alzheimer’s disease. Its programs have targeted biological pathways associated with neurodegeneration, including progranulin and TREM2.