Alector (NASDAQ:ALEC) Announces Earnings Results, Beats Expectations By $0.05 EPS

Alector (NASDAQ:ALEC) released its quarterly earnings results on Wednesday. The company reported ($0.34) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.39) by $0.05, FiscalAI reports. Alector had a negative net margin of 156.03% and a negative return on equity of 123.02%. The company had revenue of $6.24 million for the quarter, compared to the consensus estimate of $1.78 million.

Alector Stock Up 9.1%

Shares of NASDAQ ALEC traded up $0.20 during mid-day trading on Wednesday, reaching $2.39. 990,575 shares of the company were exchanged, compared to its average volume of 931,002. Alector has a 1 year low of $0.87 and a 1 year high of $3.40. The firm has a 50-day moving average of $1.79 and a 200 day moving average of $2.03. The stock has a market cap of $260.87 million, a price-to-earnings ratio of -2.23 and a beta of 0.64. The company has a quick ratio of 3.76, a current ratio of 3.76 and a debt-to-equity ratio of 0.17.

Insider Buying and Selling at Alector

In other Alector news, CFO Neil Lindsay Berkley sold 37,261 shares of the business’s stock in a transaction dated Wednesday, December 3rd. The shares were sold at an average price of $1.12, for a total value of $41,732.32. Following the completion of the transaction, the chief financial officer directly owned 374,309 shares in the company, valued at approximately $419,226.08. The trade was a 9.05% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Also, CEO Arnon Rosenthal sold 104,347 shares of the stock in a transaction dated Wednesday, December 3rd. The shares were sold at an average price of $1.12, for a total transaction of $116,868.64. Following the sale, the chief executive officer directly owned 2,420,040 shares of the company’s stock, valued at approximately $2,710,444.80. The trade was a 4.13% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 196,104 shares of company stock worth $220,064 over the last quarter. Insiders own 9.70% of the company’s stock.

Institutional Investors Weigh In On Alector

Several institutional investors have recently bought and sold shares of ALEC. Bank of America Corp DE raised its position in shares of Alector by 1.8% during the 2nd quarter. Bank of America Corp DE now owns 343,909 shares of the company’s stock valued at $481,000 after buying an additional 5,927 shares during the period. Mackenzie Financial Corp increased its stake in Alector by 3.4% during the third quarter. Mackenzie Financial Corp now owns 283,712 shares of the company’s stock worth $840,000 after acquiring an additional 9,270 shares during the last quarter. Jane Street Group LLC increased its stake in Alector by 4.7% during the first quarter. Jane Street Group LLC now owns 256,551 shares of the company’s stock worth $316,000 after acquiring an additional 11,618 shares during the last quarter. Geode Capital Management LLC raised its position in Alector by 1.0% in the second quarter. Geode Capital Management LLC now owns 1,982,068 shares of the company’s stock valued at $2,775,000 after purchasing an additional 19,970 shares during the period. Finally, Utah Retirement Systems lifted its stake in shares of Alector by 40.0% in the 3rd quarter. Utah Retirement Systems now owns 72,002 shares of the company’s stock valued at $213,000 after purchasing an additional 20,572 shares during the last quarter. 85.83% of the stock is currently owned by institutional investors and hedge funds.

Analyst Upgrades and Downgrades

Several brokerages have recently issued reports on ALEC. Morgan Stanley restated an “underweight” rating on shares of Alector in a research report on Thursday, January 8th. Wall Street Zen upgraded Alector from a “sell” rating to a “hold” rating in a research report on Saturday. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Alector in a research note on Wednesday, January 21st. Finally, BTIG Research upgraded Alector from a “hold” rating to a “strong-buy” rating in a report on Monday, January 5th. One equities research analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating, four have given a Hold rating and two have given a Sell rating to the stock. According to data from MarketBeat.com, Alector presently has an average rating of “Hold” and an average target price of $3.25.

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.