William Blair Has Pessimistic Outlook of Alector Q1 Earnings

Alector, Inc. (NASDAQ:ALEC) – William Blair dropped their Q1 2025 earnings per share estimates for Alector in a research report issued to clients and investors on Thursday, February 27th. William Blair analyst M. Minter now anticipates that the company will post earnings of ($0.53) per share for the quarter, down from their previous estimate of ($0.51). The consensus estimate for Alector’s current full-year earnings is ($1.88) per share. William Blair also issued estimates for Alector’s Q2 2025 earnings at ($0.52) EPS, Q3 2025 earnings at ($0.53) EPS, Q4 2025 earnings at ($0.55) EPS, FY2025 earnings at ($2.14) EPS and FY2026 earnings at ($2.14) EPS.

A number of other analysts also recently issued reports on ALEC. BTIG Research decreased their target price on Alector from $16.00 to $5.00 and set a “buy” rating for the company in a research report on Tuesday, November 26th. HC Wainwright reissued a “buy” rating and issued a $7.00 price objective on shares of Alector in a report on Thursday, February 27th. Bank of America downgraded shares of Alector from a “neutral” rating to an “underperform” rating and dropped their price objective for the company from $9.00 to $1.00 in a report on Wednesday, December 4th. Morgan Stanley lowered shares of Alector from an “equal weight” rating to an “underweight” rating and cut their target price for the stock from $10.00 to $3.00 in a research report on Tuesday, November 26th. Finally, Cantor Fitzgerald reissued an “overweight” rating on shares of Alector in a research report on Tuesday, November 26th. Two equities research analysts have rated the stock with a sell rating, two have issued a hold rating and three have assigned a buy rating to the stock. Based on data from MarketBeat.com, the stock has a consensus rating of “Hold” and an average price target of $3.75.

Alector Stock Performance

Shares of ALEC stock opened at $1.46 on Monday. The firm has a market cap of $144.17 million, a price-to-earnings ratio of -0.86 and a beta of 0.61. Alector has a 52 week low of $1.30 and a 52 week high of $7.10. The firm’s 50-day simple moving average is $1.75 and its two-hundred day simple moving average is $3.43.

Alector (NASDAQ:ALEC) last released its earnings results on Wednesday, February 26th. The company reported ($0.02) EPS for the quarter, topping analysts’ consensus estimates of ($0.61) by $0.59. The company had revenue of $54.24 million for the quarter, compared to analysts’ expectations of $20.41 million. Alector had a negative return on equity of 108.77% and a negative net margin of 257.54%.

Institutional Investors Weigh In On Alector

A number of institutional investors and hedge funds have recently modified their holdings of ALEC. RA Capital Management L.P. purchased a new position in Alector during the fourth quarter valued at approximately $18,324,000. JPMorgan Chase & Co. grew its position in shares of Alector by 64.7% during the 3rd quarter. JPMorgan Chase & Co. now owns 2,728,823 shares of the company’s stock valued at $12,716,000 after purchasing an additional 1,072,298 shares in the last quarter. 5AM Venture Management LLC purchased a new position in shares of Alector during the 4th quarter valued at $1,882,000. Renaissance Technologies LLC increased its holdings in shares of Alector by 63.0% in the fourth quarter. Renaissance Technologies LLC now owns 915,738 shares of the company’s stock worth $1,731,000 after purchasing an additional 353,988 shares during the period. Finally, Almitas Capital LLC purchased a new stake in shares of Alector in the fourth quarter worth $538,000. 85.83% of the stock is owned by hedge funds and other institutional investors.

Alector Company Profile

Alector, Inc, a clinical stage biopharmaceutical company, develops therapies for the treatment of neurodegeneration diseases. Its products include AL001, an immune activity in the brain with genetic links to multiple neurodegenerative disorders, which is in Phase III clinical trial for the treatment of frontotemporal dementia, Alzheimer's, Parkinson's, and amyotrophic lateral sclerosis diseases; and AL101 that is in Phase I clinical trial for the treatment of neurodegenerative diseases, including Alzheimer's and Parkinson's diseases.