Short Interest in Alector, Inc. (NASDAQ:ALEC) Declines By 35.8%

Alector, Inc. (NASDAQ:ALEC) was the target of a significant drop in short interest in the month of June. As of June 15th, there was short interest totalling 5,500,000 shares, a drop of 35.8% from the May 31st total of 8,570,000 shares. Approximately 7.3% of the company’s stock are sold short. Based on an average daily volume of 623,700 shares, the days-to-cover ratio is presently 8.8 days.

Alector Stock Performance

Alector stock opened at $4.54 on Monday. The company has a market capitalization of $437.61 million, a P/E ratio of -3.29 and a beta of 0.77. Alector has a fifty-two week low of $3.66 and a fifty-two week high of $9.06. The stock has a 50-day simple moving average of $4.96 and a 200-day simple moving average of $6.04.

Alector (NASDAQ:ALEC) last issued its quarterly earnings data on Wednesday, May 8th. The company reported ($0.38) earnings per share for the quarter, beating analysts’ consensus estimates of ($0.48) by $0.10. The company had revenue of $15.89 million during the quarter, compared to analysts’ expectations of $14.63 million. Alector had a negative return on equity of 71.80% and a negative net margin of 125.11%. As a group, analysts forecast that Alector will post -1.93 earnings per share for the current year.

Analysts Set New Price Targets

Several equities research analysts have recently issued reports on the stock. Cantor Fitzgerald reaffirmed an “overweight” rating on shares of Alector in a research report on Thursday, June 20th. HC Wainwright restated a “buy” rating and issued a $35.00 price target on shares of Alector in a research note on Thursday, June 20th. One research analyst has rated the stock with a sell rating, one has issued a hold rating and five have given a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $14.00.

Insider Activity

In related news, insider Gary Romano sold 8,040 shares of the company’s stock in a transaction that occurred on Monday, June 3rd. The shares were sold at an average price of $4.80, for a total transaction of $38,592.00. Following the sale, the insider now directly owns 188,273 shares of the company’s stock, valued at approximately $903,710.40. The sale was disclosed in a legal filing with the SEC, which is available through this link. In other news, CEO Arnon Rosenthal sold 25,135 shares of the business’s stock in a transaction dated Monday, June 3rd. The stock was sold at an average price of $4.80, for a total transaction of $120,648.00. Following the completion of the transaction, the chief executive officer now directly owns 1,975,245 shares of the company’s stock, valued at $9,481,176. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, insider Gary Romano sold 8,040 shares of the company’s stock in a transaction that occurred on Monday, June 3rd. The stock was sold at an average price of $4.80, for a total transaction of $38,592.00. Following the sale, the insider now owns 188,273 shares in the company, valued at $903,710.40. The disclosure for this sale can be found here. Over the last quarter, insiders sold 40,095 shares of company stock valued at $192,456. 9.10% of the stock is currently owned by company insiders.

Institutional Trading of Alector

Large investors have recently bought and sold shares of the business. Allspring Global Investments Holdings LLC purchased a new stake in shares of Alector in the first quarter valued at about $40,000. Lazard Asset Management LLC purchased a new stake in Alector during the 1st quarter valued at approximately $59,000. China Universal Asset Management Co. Ltd. lifted its position in Alector by 352.9% during the 4th quarter. China Universal Asset Management Co. Ltd. now owns 9,733 shares of the company’s stock worth $78,000 after acquiring an additional 7,584 shares during the period. E Fund Management Co. Ltd. purchased a new position in shares of Alector in the 4th quarter valued at approximately $81,000. Finally, Diversified Trust Co increased its holdings in shares of Alector by 12.3% in the fourth quarter. Diversified Trust Co now owns 14,102 shares of the company’s stock valued at $113,000 after purchasing an additional 1,541 shares during the period. Institutional investors and hedge funds own 85.83% of the company’s stock.

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.