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ALEC

AlectorNasdaqGS:ALEC Stock Report

Last Price

US$16.17

Market Cap

US$1.3b

7D

-7.5%

1Y

-7.3%

Updated

19 Jan, 2022

Data

Company Financials +
ALEC fundamental analysis
Snowflake Score
Valuation0/6
Future Growth2/6
Past Performance0/6
Financial Health6/6
Dividends0/6

ALEC Stock Overview

Alector, Inc., a clinical stage biopharmaceutical company, develops therapies for the treatment of neurodegeneration diseases.

Price History & Performance

Summary of all time highs, changes and price drops for Alector
Historical stock prices
Current Share PriceUS$16.17
52 Week HighUS$43.32
52 Week LowUS$15.04
Beta1.07
1 Month Change-30.72%
3 Month Change-31.86%
1 Year Change-7.28%
3 Year Changen/a
5 Year Changen/a
Change since IPO-10.17%

Recent News & Updates

Oct 29

Alector: The GSK Deal Is A Major Value Add

Alector develops immunology targets for neurodegenerative diseases. It recently signed up for a $2.2bn deal with GSK. Early stage positive data makes it very attractive.

Shareholder Returns

ALECUS BiotechsUS Market
7D-7.5%-6.2%-4.6%
1Y-7.3%-19.8%7.7%

Return vs Industry: ALEC exceeded the US Biotechs industry which returned -18.4% over the past year.

Return vs Market: ALEC underperformed the US Market which returned 10.2% over the past year.

Price Volatility

Is ALEC's price volatile compared to industry and market?
ALEC volatility
ALEC Average Weekly Movement9.1%
Biotechs Industry Average Movement10.2%
Market Average Movement6.6%
10% most volatile stocks in US Market15.7%
10% least volatile stocks in US Market2.4%

Stable Share Price: ALEC is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: ALEC's weekly volatility (9%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
2013185Arnon Rosenthalhttps://www.alector.com

Alector, Inc., a clinical stage biopharmaceutical company, develops therapies for the treatment of neurodegeneration diseases. Its products include AL001, a humanized recombinant monoclonal antibody, 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. The company also offers AL002, a product candidate that is in Phase II clinical trial for the treatment of Alzheimer’s disease; and AL003, which is in Phase Ib clinical trial for the treatment of Alzheimer’s disease.

Alector Fundamentals Summary

How do Alector's earnings and revenue compare to its market cap?
ALEC fundamental statistics
Market CapUS$1.31b
Earnings (TTM)-US$32.90m
Revenue (TTM)US$197.94m

6.6x

P/S Ratio

-39.9x

P/E Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
ALEC income statement (TTM)
RevenueUS$197.94m
Cost of RevenueUS$181.00m
Gross ProfitUS$16.94m
ExpensesUS$49.84m
Earnings-US$32.90m

Last Reported Earnings

Sep 30, 2021

Next Earnings Date

n/a

Earnings per share (EPS)-0.40
Gross Margin8.56%
Net Profit Margin-16.62%
Debt/Equity Ratio0%

How did ALEC perform over the long term?

See historical performance and comparison

Valuation

Is Alector undervalued compared to its fair value and its price relative to the market?

3.91x

Price to Book (PB) ratio


Share Price vs. Fair Value

Below Fair Value: Insufficient data to calculate ALEC's fair value to establish if it is undervalued.

Significantly Below Fair Value: Insufficient data to calculate ALEC's fair value to establish if it is undervalued.


Price To Earnings Ratio

PE vs Industry: ALEC is unprofitable, so we can't compare its PE Ratio to the US Biotechs industry average.

PE vs Market: ALEC is unprofitable, so we can't compare its PE Ratio to the US market.


Price to Earnings Growth Ratio

PEG Ratio: Insufficient data to calculate ALEC's PEG Ratio to determine if it is good value.


Price to Book Ratio

PB vs Industry: ALEC is overvalued based on its PB Ratio (3.9x) compared to the US Biotechs industry average (2.1x).


Future Growth

How is Alector forecast to perform in the next 1 to 3 years based on estimates from 8 analysts?

-52.6%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: ALEC's earnings are forecast to decline over the next 3 years (-52.6% per year).

Earnings vs Market: ALEC is forecast to become profitable over the next 3 years, which is considered above average market growth.

High Growth Earnings: ALEC's is expected to become profitable in the next 3 years.

Revenue vs Market: ALEC's revenue is expected to decline over the next 3 years (-8.6% per year).

High Growth Revenue: ALEC's revenue is forecast to decline over the next 3 years (-8.6% per year).


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: ALEC is forecast to be unprofitable in 3 years.


Past Performance

How has Alector performed over the past 5 years?

-38.9%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: ALEC is currently unprofitable.

Growing Profit Margin: ALEC is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: ALEC is unprofitable, and losses have increased over the past 5 years at a rate of 38.9% per year.

Accelerating Growth: Unable to compare ALEC's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: ALEC is unprofitable, making it difficult to compare its past year earnings growth to the Biotechs industry (11%).


Return on Equity

High ROE: ALEC has a negative Return on Equity (-9.79%), as it is currently unprofitable.


Financial Health

How is Alector's financial position?


Financial Position Analysis

Short Term Liabilities: ALEC's short term assets ($788.0M) exceed its short term liabilities ($132.8M).

Long Term Liabilities: ALEC's short term assets ($788.0M) exceed its long term liabilities ($385.5M).


Debt to Equity History and Analysis

Debt Level: ALEC is debt free.

Reducing Debt: ALEC has not had any debt for past 5 years.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: Whilst unprofitable ALEC has sufficient cash runway for more than 3 years if it maintains its current positive free cash flow level.

Forecast Cash Runway: ALEC is unprofitable but has sufficient cash runway for more than 3 years, even with free cash flow being positive and shrinking by 29.6% per year.


Dividend

What is Alector current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate ALEC's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate ALEC's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if ALEC's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if ALEC's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: Insufficient data to calculate payout ratio to determine if its dividend payments are covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of ALEC's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.0yrs

Average management tenure


CEO

Arnon Rosenthal (65 yo)

9yrs

Tenure

US$3,662,229

Compensation

Dr. Arnon Rosenthal, Ph D., Co-Founded of in 2013 and serves as its Chief Executive Officer and Director since 2013 and served as its President since 2013. He served as Chief Scientific Officer of Alector,...


CEO Compensation Analysis

Compensation vs Market: Arnon's total compensation ($USD3.66M) is about average for companies of similar size in the US market ($USD3.70M).

Compensation vs Earnings: Arnon's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: ALEC's management team is considered experienced (3 years average tenure).


Board Members

Experienced Board: ALEC's board of directors are considered experienced (6.1 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: ALEC insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have been diluted in the past year, with total shares outstanding growing by 2.6%.


Top Shareholders

Company Information

Alector, Inc.'s employee growth, exchange listings and data sources


Key Information

  • Name: Alector, Inc.
  • Ticker: ALEC
  • Exchange: NasdaqGS
  • Founded: 2013
  • Industry: Biotechnology
  • Sector: Pharmaceuticals & Biotech
  • Implied Market Cap: US$1.314b
  • Shares outstanding: 81.28m
  • Website: https://www.alector.com

Number of Employees


Location

  • Alector, Inc.
  • 131 Oyster Point Boulevard
  • Suite 600
  • South San Francisco
  • California
  • 94080
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/01/19 23:49
End of Day Share Price2022/01/19 00:00
Earnings2021/09/30
Annual Earnings2020/12/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.