Alignment Healthcare (NASDAQ:ALHC) Reaches New 1-Year High - Should You Buy?

Alignment Healthcare, Inc. (NASDAQ:ALHC - Get Free Report)'s stock price reached a new 52-week high during mid-day trading on Friday . The stock traded as high as $12.44 and last traded at $12.15, with a volume of 42188 shares. The stock had previously closed at $12.40.

Analysts Set New Price Targets

A number of equities research analysts recently commented on the company. Piper Sandler reiterated an "overweight" rating and issued a $10.00 price objective (up previously from $8.00) on shares of Alignment Healthcare in a report on Tuesday, August 6th. KeyCorp started coverage on shares of Alignment Healthcare in a research note on Friday, October 11th. They set a "sector weight" rating on the stock. Stifel Nicolaus upped their target price on shares of Alignment Healthcare from $9.00 to $12.00 and gave the company a "buy" rating in a research note on Friday, July 26th. UBS Group increased their target price on shares of Alignment Healthcare from $9.00 to $12.00 and gave the stock a "neutral" rating in a report on Wednesday. Finally, Barclays boosted their price target on shares of Alignment Healthcare from $7.00 to $8.00 and gave the company an "underweight" rating in a report on Wednesday. One investment analyst has rated the stock with a sell rating, three have issued a hold rating, six have given a buy rating and two have assigned a strong buy rating to the company. According to MarketBeat, the company currently has a consensus rating of "Moderate Buy" and an average price target of $10.33.

Alignment Healthcare Price Performance

The stock has a market cap of $2.48 billion, a price-to-earnings ratio of -16.10 and a beta of 1.47. The company has a 50 day simple moving average of $10.74 and a 200-day simple moving average of $8.73. The company has a current ratio of 1.60, a quick ratio of 1.61 and a debt-to-equity ratio of 1.82.

Alignment Healthcare (NASDAQ:ALHC - Get Free Report) last announced its earnings results on Tuesday, October 29th. The company reported ($0.14) earnings per share (EPS) for the quarter, meeting analysts' consensus estimates of ($0.14). Alignment Healthcare had a negative return on equity of 108.69% and a negative net margin of 5.84%. The business had revenue of $692.43 million for the quarter, compared to analyst estimates of $662.11 million. During the same quarter last year, the firm earned ($0.19) EPS. Alignment Healthcare's revenue for the quarter was up 51.6% compared to the same quarter last year. Research analysts expect that Alignment Healthcare, Inc. will post -0.68 EPS for the current year.

Insider Activity

In other Alignment Healthcare news, CEO John E. Kao sold 90,000 shares of the business's stock in a transaction that occurred on Wednesday, October 9th. The stock was sold at an average price of $11.33, for a total transaction of $1,019,700.00. Following the transaction, the chief executive officer now owns 2,543,100 shares of the company's stock, valued at $28,813,323. The trade was a 0.00 % decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. In related news, insider Dawn Christine Maroney sold 20,000 shares of Alignment Healthcare stock in a transaction that occurred on Thursday, August 15th. The stock was sold at an average price of $8.70, for a total transaction of $174,000.00. Following the completion of the sale, the insider now directly owns 1,796,097 shares of the company's stock, valued at approximately $15,626,043.90. This trade represents a 0.00 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, CEO John E. Kao sold 90,000 shares of the company's stock in a transaction on Wednesday, October 9th. The shares were sold at an average price of $11.33, for a total value of $1,019,700.00. Following the completion of the transaction, the chief executive officer now directly owns 2,543,100 shares in the company, valued at approximately $28,813,323. This represents a 0.00 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last 90 days, insiders sold 354,287 shares of company stock valued at $3,964,670. 6.60% of the stock is owned by insiders.

Institutional Investors Weigh In On Alignment Healthcare

Hedge funds and other institutional investors have recently made changes to their positions in the business. Jacobs Levy Equity Management Inc. acquired a new position in Alignment Healthcare in the first quarter valued at about $918,000. Vanguard Group Inc. raised its position in shares of Alignment Healthcare by 1.0% in the 1st quarter. Vanguard Group Inc. now owns 9,239,472 shares of the company's stock valued at $45,828,000 after buying an additional 93,262 shares in the last quarter. Deerfield Management Company L.P. Series C lifted its holdings in shares of Alignment Healthcare by 31.8% during the 2nd quarter. Deerfield Management Company L.P. Series C now owns 10,901,485 shares of the company's stock worth $85,250,000 after acquiring an additional 2,630,788 shares during the period. Bank of New York Mellon Corp boosted its position in shares of Alignment Healthcare by 27.5% during the 2nd quarter. Bank of New York Mellon Corp now owns 382,462 shares of the company's stock worth $2,991,000 after acquiring an additional 82,559 shares in the last quarter. Finally, Principal Financial Group Inc. bought a new position in Alignment Healthcare in the first quarter valued at approximately $57,000. 86.19% of the stock is currently owned by institutional investors and hedge funds.

Alignment Healthcare Company Profile

Alignment Healthcare, Inc, a tech-enabled Medicare advantage company, operates consumer-centric health care platform for seniors in the United States. It provides customized health care designed to meet the needs of a diverse array of seniors through its Medicare advantage plans. The company was founded in 2013 and is based in Orange, California.