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

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

Alector Price Performance

ALEC traded up $0.16 during trading on Friday, reaching $2.25. 484,149 shares of the stock were exchanged, compared to its average volume of 1,547,681. The business’s 50 day moving average price is $2.06 and its two-hundred day moving average price is $2.03. The company has a market capitalization of $250.78 million, a price-to-earnings ratio of -2.04 and a beta of 0.61. Alector has a 1 year low of $1.09 and a 1 year high of $2.76. The company has a debt-to-equity ratio of 0.80, a current ratio of 5.26 and a quick ratio of 5.26.

Insider Buying and Selling

In other Alector news, CFO Neil Berkley sold 29,251 shares of the firm’s stock in a transaction dated Thursday, September 3rd. The shares were sold at an average price of $2.66, for a total transaction of $77,807.66. Following the transaction, the chief financial officer owned 350,649 shares of the company’s stock, valued at approximately $932,726.34. This trade represents a 7.70% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, CEO Arnon Rosenthal sold 72,606 shares of Alector stock in a transaction dated Thursday, September 3rd. The stock was sold at an average price of $2.66, for a total value of $193,131.96. Following the transaction, the chief executive officer directly owned 2,294,600 shares in the company, valued at approximately $6,103,636. The trade was a 3.07% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. In the last 90 days, insiders sold 111,303 shares of company stock valued at $295,633. 8.30% of the stock is owned by company insiders.

Analysts Set New Price Targets

A number of equities research analysts have commented on ALEC shares. Morgan Stanley increased their price objective on shares of Alector from $2.00 to $3.00 and gave the stock an “underweight” rating in a report on Tuesday, October 6th. Weiss Ratings upgraded shares of Alector from a “sell (e+)” rating to a “sell (d-)” rating in a report on Thursday, August 13th. UBS Group reaffirmed a “neutral” rating and issued a $1.50 target price on shares of Alector in a research report on Tuesday, October 6th. Finally, HC Wainwright boosted their price objective on shares of Alector from $5.00 to $8.00 and gave the stock 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 issued a Hold rating and two have assigned a Sell rating to the company’s stock. According to MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus target price of $4.62.

Alector Company Profile

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.