Alector (NASDAQ:ALEC) Trading 4.8% Higher – Here’s Why

Alector, Inc. (NASDAQ:ALEC)’s stock price was up 4.8% during trading on Monday . The stock traded as high as $1.53 and last traded at $1.52. Approximately 1,576,232 shares traded hands during trading, an increase of 2% from the average daily volume of 1,544,493 shares. The stock had previously closed at $1.45.

Analyst Ratings Changes

A number of research analysts have weighed in on ALEC shares. Cantor Fitzgerald lowered Alector from an “overweight” rating to a “neutral” rating in a report on Wednesday, October 22nd. BTIG Research downgraded shares of Alector from a “buy” rating to a “neutral” rating in a research note on Wednesday, October 22nd. TD Cowen lowered shares of Alector from a “buy” rating to a “hold” rating in a research report on Wednesday, October 22nd. Wall Street Zen downgraded shares of Alector from a “hold” rating to a “sell” rating in a report on Friday, November 28th. Finally, William Blair lowered shares of Alector from an “outperform” rating to a “market perform” rating in a research note on Wednesday, October 22nd. One research analyst has rated the stock with a Buy rating, six have assigned a Hold rating and two have issued a Sell rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of “Reduce” and a consensus price target of $3.25.

Alector Stock Up 4.8%

The company has a debt-to-equity ratio of 0.17, a current ratio of 3.76 and a quick ratio of 3.76. The business’s 50 day simple moving average is $1.39 and its 200 day simple moving average is $1.94. The company has a market capitalization of $165.91 million, a PE ratio of -1.42 and a beta of 0.67.

Alector (NASDAQ:ALEC) last posted its quarterly earnings results on Thursday, November 6th. The company reported ($0.34) earnings per share for the quarter, beating the consensus estimate of ($0.42) by $0.08. The business had revenue of $3.26 million during the quarter, compared to analysts’ expectations of $3.49 million. Alector had a negative net margin of 156.03% and a negative return on equity of 123.02%. As a group, analysts anticipate that Alector, Inc. will post -1.88 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Alector news, CEO Arnon Rosenthal sold 104,347 shares of the firm’s stock in a transaction on Wednesday, December 3rd. The stock was sold at an average price of $1.12, for a total transaction of $116,868.64. Following the completion of the sale, the chief executive officer owned 2,420,040 shares of the company’s stock, valued at $2,710,444.80. This trade represents a 4.13% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Sara Kenkare-Mitra sold 41,687 shares of Alector stock in a transaction on Wednesday, December 3rd. The shares were sold at an average price of $1.12, for a total value of $46,689.44. Following the completion of the sale, the insider owned 501,652 shares in the company, valued at $561,850.24. This represents a 7.67% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 196,104 shares of company stock worth $220,064. Company insiders own 9.70% of the company’s stock.

Institutional Inflows and Outflows

A number of large investors have recently bought and sold shares of the stock. Invesco Ltd. boosted its stake in Alector by 209.6% during the first quarter. Invesco Ltd. now owns 148,576 shares of the company’s stock worth $183,000 after buying an additional 100,591 shares during the period. Nuveen LLC acquired a new position in shares of Alector in the 1st quarter worth approximately $170,000. Walleye Capital LLC boosted its position in shares of Alector by 108.3% during the 1st quarter. Walleye Capital LLC now owns 305,601 shares of the company’s stock worth $376,000 after purchasing an additional 158,922 shares during the period. Ieq Capital LLC acquired a new stake in Alector in the 1st quarter valued at approximately $99,000. Finally, State of Wyoming acquired a new stake in Alector in the 1st quarter valued at approximately $242,000. Institutional investors and hedge funds own 85.83% of the company’s stock.

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.