Alignment Healthcare, Inc. (NASDAQ:ALHC) Receives Average Recommendation of “Moderate Buy” from Brokerages

Alignment Healthcare, Inc. (NASDAQ:ALHC) has been given a consensus recommendation of “Moderate Buy” by the eleven ratings firms that are presently covering the firm, Marketbeat Ratings reports. Four research analysts have rated the stock with a hold recommendation and seven have given a buy recommendation to the company. The average 1 year price target among brokers that have issued a report on the stock in the last year is $24.00.

ALHC has been the subject of several recent research reports. Wall Street Zen cut Alignment Healthcare from a “buy” rating to a “hold” rating in a report on Saturday. TD Cowen reissued a “buy” rating on shares of Alignment Healthcare in a report on Monday. Zacks Research cut Alignment Healthcare from a “strong-buy” rating to a “hold” rating in a research report on Monday, July 6th. Raymond James Financial lowered Alignment Healthcare from a “strong-buy” rating to an “outperform” rating and cut their target price for the company from $22.00 to $19.00 in a research note on Monday. Finally, Wolfe Research began coverage on Alignment Healthcare in a research report on Friday, April 17th. They issued an “outperform” rating and a $24.00 target price for the company.

Alignment Healthcare Stock Performance

NASDAQ:ALHC opened at $14.56 on Tuesday. The firm’s 50-day moving average is $19.67 and its 200-day moving average is $19.71. The company has a market cap of $3.01 billion, a price-to-earnings ratio of 76.64, a PEG ratio of 1.98 and a beta of 1.10. The company has a debt-to-equity ratio of 1.22, a quick ratio of 1.70 and a current ratio of 1.70. Alignment Healthcare has a 52-week low of $12.97 and a 52-week high of $25.12.

Alignment Healthcare (NASDAQ:ALHC) last released its earnings results on Thursday, July 30th. The company reported $0.17 earnings per share for the quarter, beating the consensus estimate of $0.13 by $0.04. Alignment Healthcare had a net margin of 0.89% and a return on equity of 20.02%. The business had revenue of $1.34 billion during the quarter, compared to analysts’ expectations of $1.31 billion. During the same quarter last year, the company earned $0.07 earnings per share. The firm’s revenue was up 31.6% on a year-over-year basis. Equities research analysts anticipate that Alignment Healthcare will post 0.2 earnings per share for the current year.

Insider Buying and Selling

In other news, EVP Joseph S. Konowiecki sold 25,000 shares of the firm’s stock in a transaction dated Wednesday, July 1st. The shares were sold at an average price of $24.00, for a total transaction of $600,000.00. Following the completion of the transaction, the executive vice president directly owned 1,103,816 shares of the company’s stock, valued at approximately $26,491,584. This trade represents a 2.21% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO John E. Kao sold 298,000 shares of Alignment Healthcare stock in a transaction dated Wednesday, June 10th. The shares were sold at an average price of $20.36, for a total transaction of $6,067,280.00. Following the sale, the chief executive officer owned 1,386,766 shares in the company, valued at approximately $28,234,555.76. This trade represents a 17.69% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last quarter, insiders have sold 1,039,951 shares of company stock worth $19,976,967. Insiders own 5.20% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in ALHC. Summit Securities Group LLC bought a new stake in shares of Alignment Healthcare in the 4th quarter valued at approximately $26,000. Versant Capital Management Inc lifted its position in shares of Alignment Healthcare by 463.3% during the 2nd quarter. Versant Capital Management Inc now owns 1,380 shares of the company’s stock worth $33,000 after buying an additional 1,135 shares during the period. Parallel Advisors LLC boosted its stake in Alignment Healthcare by 87.7% in the 4th quarter. Parallel Advisors LLC now owns 1,654 shares of the company’s stock valued at $33,000 after buying an additional 773 shares in the last quarter. Larson Financial Group LLC bought a new stake in Alignment Healthcare in the third quarter valued at $33,000. Finally, First Horizon Corp bought a new stake in Alignment Healthcare in the fourth quarter valued at $39,000. Institutional investors own 86.19% of the company’s stock.

Alignment Healthcare News Roundup

Here are the key news stories impacting Alignment Healthcare this week:

• Positive Sentiment: Despite the recent selloff, Zacks said Alignment Healthcare appears technically oversold, while analysts have broadly raised earnings estimates. The company’s latest reported quarter also showed revenue growth of 31.6% year over year and earnings that exceeded consensus, suggesting potential for a near-term recovery if the legal concerns do not materially affect fundamentals. Zacks turnaround analysis
• Neutral Sentiment: Raymond James lowered its rating from “strong buy” to “outperform” and reduced its price target from $22 to $19. Although the revised target still implies substantial upside from the referenced price, the downgrade signals less confidence in the near-term risk/reward profile. Raymond James rating report
• Negative Sentiment: Several law firms—including Kaplan Fox, Glancy Prongay Wolke & Rotter, and the Law Offices of Howard G. Smith—announced or continued investigations into possible securities-law violations involving Alignment Healthcare. The inquiries follow a reported 16% stock-price drop on July 8 and allegations in a whistleblower lawsuit involving financial manipulation. These are investigations and allegations, not established findings, but they increase legal, reputational, and disclosure risks for investors. Glancy Prongay Wolke & Rotter investigation Kaplan Fox investigation update

About Alignment Healthcare

Alignment Healthcare, Inc (NASDAQ: ALHC) is a health care company specializing in value-based care for Medicare Advantage beneficiaries. The company leverages an integrated care model that combines in-home clinical services, telehealth capabilities and digital health tools to manage chronic conditions, improve outcomes and enhance patient experience.

At the core of Alignment Healthcare’s approach is a proprietary technology platform that aggregates real-time clinical and claims data to support preventive care, risk stratification and personalized care plans.