Alector (NASDAQ:ALEC) Downgraded to Underperform Rating by Bank of America

Alector (NASDAQ:ALEC - Get Free Report) was downgraded by equities researchers at Bank of America from a "neutral" rating to an "underperform" rating in a research report issued on Wednesday, Marketbeat.com reports. They currently have a $1.00 price target on the stock, down from their prior price target of $9.00. Bank of America's price objective suggests a potential downside of 54.34% from the company's current price.

Other equities analysts also recently issued reports about the company. HC Wainwright reduced their price target on Alector from $35.00 to $7.00 and set a "buy" rating on the stock in a research report on Friday, November 29th. BTIG Research dropped their price objective on shares of Alector from $16.00 to $5.00 and set a "buy" rating on the stock in a report on Tuesday, November 26th. Cantor Fitzgerald restated an "overweight" rating on shares of Alector in a research report on Tuesday, November 26th. Finally, Morgan Stanley downgraded shares of Alector from an "equal weight" rating to an "underweight" rating and reduced their price target for the stock from $10.00 to $3.00 in a research report on Tuesday, November 26th. Two equities research analysts have rated the stock with a sell rating and five have assigned a buy rating to the company. According to data from MarketBeat.com, the company currently has a consensus rating of "Hold" and a consensus target price of $7.17.

Alector Trading Down 13.1 %

Shares of Alector stock traded down $0.33 on Wednesday, hitting $2.19. 3,437,933 shares of the company traded hands, compared to its average volume of 708,669. The stock's 50 day moving average price is $4.51 and its 200-day moving average price is $4.94. Alector has a 52 week low of $2.14 and a 52 week high of $8.90. The company has a market cap of $214.47 million, a PE ratio of -1.29 and a beta of 0.51.

Alector (NASDAQ:ALEC - Get Free Report) last issued its quarterly earnings data on Wednesday, November 6th. The company reported ($0.43) EPS for the quarter, topping analysts' consensus estimates of ($0.53) by $0.10. The company had revenue of $15.34 million during the quarter, compared to the consensus estimate of $16.33 million. Alector had a negative net margin of 257.54% and a negative return on equity of 108.77%. As a group, research analysts anticipate that Alector will post -1.86 EPS for the current fiscal year.

Insider Activity

In other Alector news, insider Sara Kenkare-Mitra sold 26,500 shares of the firm's stock in a transaction that occurred on Monday, December 2nd. The shares were sold at an average price of $2.52, for a total value of $66,780.00. Following the completion of the transaction, the insider now owns 565,215 shares of the company's stock, valued at $1,424,341.80. This trade represents a 4.48 % decrease in their position. The sale was disclosed in a filing with the SEC, which is available at this link. Also, CFO Marc Grasso sold 16,489 shares of the firm's stock in a transaction that occurred on Monday, December 2nd. The shares were sold at an average price of $2.52, for a total transaction of $41,552.28. Following the completion of the transaction, the chief financial officer now directly owns 330,651 shares of the company's stock, valued at $833,240.52. This represents a 4.75 % decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 95,161 shares of company stock valued at $239,806 in the last 90 days. Company insiders own 9.10% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of ALEC. Vanguard Group Inc. increased its stake in Alector by 12.0% in the first quarter. Vanguard Group Inc. now owns 4,912,578 shares of the company's stock valued at $29,574,000 after purchasing an additional 526,037 shares during the period. Jacobs Levy Equity Management Inc. increased its stake in Alector by 18.5% in the third quarter. Jacobs Levy Equity Management Inc. now owns 1,017,687 shares of the company's stock valued at $4,742,000 after purchasing an additional 159,111 shares during the period. Geode Capital Management LLC increased its stake in shares of Alector by 8.5% during the third quarter. Geode Capital Management LLC now owns 1,903,942 shares of the company's stock worth $8,874,000 after acquiring an additional 148,357 shares during the period. Acadian Asset Management LLC lifted its position in Alector by 32.8% in the second quarter. Acadian Asset Management LLC now owns 590,662 shares of the company's stock valued at $2,681,000 after purchasing an additional 146,015 shares during the period. Finally, FMR LLC boosted its holdings in Alector by 1.0% in the 3rd quarter. FMR LLC now owns 14,595,014 shares of the company's stock valued at $68,013,000 after purchasing an additional 137,794 shares in the last quarter. 85.83% of the stock is currently owned by institutional investors and hedge funds.

About Alector

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.