Allogene Therapeutics (NASDAQ:ALLO) Shares Gap Up – Should You Buy?

Allogene Therapeutics, Inc. (NASDAQ:ALLO) shares gapped up before the market opened on Monday . The stock had previously closed at $2.72, but opened at $4.09. Allogene Therapeutics shares last traded at $3.9990, with a volume of 44,505,226 shares.

Trending Headlines about Allogene Therapeutics

Here are the key news stories impacting Allogene Therapeutics this week:

• Positive Sentiment: Interim ALPHA3 results showed a 58.3% MRD clearance rate with cemacabtagene ansegedleucel (cema-cel) versus 16.7% in observation, rapid ctDNA declines, and generally favorable safety (no CRS, ICANS, GvHD, or treatment-related SAEs reported). This clinical readout is the main driver of the early rally, signaling potential in first-line LBCL consolidation. ALPHA3 Press Release
• Positive Sentiment: Broad media and analyst attention amplified the move — outlets highlighted the potential paradigm shift for an off‑the‑shelf CAR‑T and unusual bullish options activity, indicating speculative/hedged buying interest ahead of the offering and additional readouts. FierceBiotech Coverage
• Positive Sentiment: Multiple analysts raised price targets and reiterated positive ratings (Robert W. Baird, Citizens JMP, Argus, Jefferies), boosting investor confidence and supporting upside expectations. Analyst Coverage
• Neutral Sentiment: Trading was temporarily halted early on April 13 for a pending news release; the company also scheduled a conference call/webcast to discuss the ALPHA3 interim analysis — events that typically increase intraday volatility but provide additional detail for investors. (See ALPHA3 press release above.)
• Negative Sentiment: Allogene announced a proposed underwritten public offering of $175 million of common stock (with underwriter option up to $26.25M), which raises near-term financing/dilution risk and pressured the stock after the initial rally. This financing announcement is the primary reason for the subsequent sell‑off. Offering Filing
• Negative Sentiment: Market coverage noted shares sliding on the offering announcement and listed ALLO among premarket decliners, reinforcing the short‑term negative sentiment tied to dilution and supply increase. MarketWatch: Offering Reaction

Analysts Set New Price Targets

Several analysts recently weighed in on the company. HC Wainwright increased their price target on Allogene Therapeutics from $8.00 to $12.00 and gave the company a “buy” rating in a report on Tuesday. Wall Street Zen upgraded Allogene Therapeutics from a “sell” rating to a “hold” rating in a report on Sunday, February 22nd. Citigroup restated an “outperform” rating on shares of Allogene Therapeutics in a report on Tuesday. Jefferies Financial Group assumed coverage on Allogene Therapeutics in a report on Friday, April 10th. They set a “buy” rating and a $6.00 price target on the stock. Finally, Sanford C. Bernstein increased their price target on Allogene Therapeutics from $1.60 to $3.85 and gave the company a “market perform” rating in a report on Tuesday. One research analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating, two have given a Hold rating and two have assigned a Sell rating to the company. Based on data from MarketBeat.com, Allogene Therapeutics presently has a consensus rating of “Moderate Buy” and a consensus target price of $8.13.

Allogene Therapeutics Stock Performance

The company has a fifty day moving average of $2.31 and a two-hundred day moving average of $1.71. The company has a market cap of $555.82 million, a PE ratio of -2.62 and a beta of 0.53.

Allogene Therapeutics (NASDAQ:ALLO) last released its earnings results on Thursday, March 12th. The company reported ($0.17) earnings per share for the quarter, topping analysts’ consensus estimates of ($0.25) by $0.08. On average, equities analysts forecast that Allogene Therapeutics, Inc. will post -1.28 EPS for the current year.

Insiders Place Their Bets

In other Allogene Therapeutics news, EVP Zachary Roberts sold 35,700 shares of the stock in a transaction on Monday, February 2nd. The stock was sold at an average price of $1.77, for a total value of $63,189.00. Following the sale, the executive vice president owned 581,166 shares in the company, valued at $1,028,663.82. This trade represents a 5.79% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, SVP Earl Martin Douglas sold 22,900 shares of the stock in a transaction on Monday, February 2nd. The stock was sold at an average price of $1.76, for a total value of $40,304.00. Following the completion of the sale, the senior vice president owned 564,948 shares in the company, valued at approximately $994,308.48. The trade was a 3.90% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have sold 278,452 shares of company stock worth $534,053. 13.20% of the stock is currently owned by company insiders.

Institutional Trading of Allogene Therapeutics

A number of hedge funds and other institutional investors have recently bought and sold shares of ALLO. Primecap Management Co. CA grew its position in shares of Allogene Therapeutics by 23.8% during the 3rd quarter. Primecap Management Co. CA now owns 7,079,308 shares of the company’s stock worth $8,778,000 after buying an additional 1,360,168 shares in the last quarter. Aberdeen Group plc grew its position in shares of Allogene Therapeutics by 82.4% during the 3rd quarter. Aberdeen Group plc now owns 1,582,265 shares of the company’s stock worth $1,962,000 after buying an additional 715,015 shares in the last quarter. AustralianSuper Pty Ltd bought a new position in shares of Allogene Therapeutics during the 3rd quarter worth $474,000. Patient Square Capital LP grew its position in shares of Allogene Therapeutics by 13.1% during the 3rd quarter. Patient Square Capital LP now owns 2,981,396 shares of the company’s stock worth $3,697,000 after buying an additional 346,396 shares in the last quarter. Finally, Vontobel Holding Ltd. grew its position in shares of Allogene Therapeutics by 82.6% during the 3rd quarter. Vontobel Holding Ltd. now owns 62,080 shares of the company’s stock worth $77,000 after buying an additional 28,080 shares in the last quarter. Hedge funds and other institutional investors own 83.63% of the company’s stock.

Allogene Therapeutics Company Profile

Allogene Therapeutics is a clinical-stage biotechnology company focused on developing allogeneic, or “off-the-shelf,” chimeric antigen receptor T-cell (CAR T) therapies to treat a range of hematologic malignancies and solid tumors. The company leverages gene-editing technologies to generate universally compatible engineered T cells, aiming to overcome the limitations of patient-specific CAR T approaches such as manufacturing delays, variable product quality and treatment resistance.

The company’s pipeline includes multiple allogeneic CAR T candidates targeting key antigens in blood cancers.