ALEC Stock Analysis: Alector | NASDAQ
Biotechnology | NASDAQ, USA | Market Cap: 210m USD | 12M Return: -40.1% | US0144421072 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 3.96M
Qual. Beats: 0
Rev. Trend: -78.5%
Qual. Beats: 0
Warnings
Tailwinds
No distinct edge detected
Seasonality
Alector, Inc. (NASDAQ: ALEC) is a clinical-stage biotechnology company headquartered in South San Francisco, California, developing therapies to counteract the progression of neurodegeneration. Founded in 2013 and taken public in February 2019, the company operates in the Health Care sector (Biotechnology sub-industry) and is currently classified as a micro-cap stock. Clinical-stage biotechs like Alector typically rely on partnerships, equity financing, and milestone payments rather than recurring product revenue, as their candidates have not yet received regulatory approval.
The companys pipeline spans multiple neurodegenerative targets. Its lead candidate, Nivisnebart, is an investigational human recombinant monoclonal antibody aimed at prevalent neurodegenerative diseases. Other programs include AL137, an anti-amyloid beta antibody in preclinical development for Alzheimers disease; AL050, a GCase enzyme replacement therapy in preclinical development for Parkinsons disease and Lewy body dementia in patients with GBA1 gene mutations; AL064, a tau siRNA for Alzheimers disease and other tauopathies; ADP062-ABC, an alpha-synuclein siRNA for Parkinsons disease; and ADP065-ABC, an NLRP3 siRNA for neurodegenerative conditions.
Alector maintains a strategic collaboration agreement with GlaxoSmithKline plc covering the development and commercialization of progranulin-elevating monoclonal antibodies, including Latozinemab and Nivisnebart. Such large-pharma collaborations are a common funding and validation mechanism for clinical-stage biotech firms, providing development support and milestone payments in exchange for shared commercial rights.
- Nivisnebart Phase 2 trial results in neurodegeneration readout
- GSK partnership revenue milestones and milestone payments for progranulin antibodies
- AL137 anti-amyloid beta program advances for Alzheimers disease
| Net Income: -117.9m TTM > 0 and > 6% of Revenue |
| FCF/TA: -0.46 > 0.02 and ΔFCF/TA -25.49 > 1.0 |
| NWC/Revenue: 1.05k% < 20% (prev 289.4%; Δ 762.6% < -1%) |
| CFO/TA -0.78 > 3% & CFO -158.2m > Net Income -117.9m |
| Net Debt/EBITDA: error (EBITDA <= 0) |
| Current Ratio: 5.26 > 1.5 & < 3 |
| Outstanding Shares: last quarter (111.2m) vs 12m ago 10.81% < -2% |
| Gross Margin: 30.31% > 18% (prev -91.93%; Δ 122.2% > 0.5%) |
| Asset Turnover: 4.96% > 50% (prev 22.76%; Δ -17.80% > 0%) |
| Interest Coverage Ratio: error (cannot be calculated; needs correct EBIT TTM and Interest Expense TTM) |
| A: 0.72 (Total Current Assets 180.1m - Total Current Liabilities 34.2m) / Total Assets 202.9m |
| B: -5.02 (Retained Earnings -1.02b / Total Assets 202.9m) |
| C: -0.42 (EBIT TTM -117.6m / Avg Total Assets 279.6m) |
| D: -0.05 (Book Value of Equity -9.97m / Total Liabilities 212.8m) |
| Altman-Z'' = -14.52 = D |
As of October 16, 2026, the stock is trading at USD 1.91 with a total of 1,630,273 shares traded. Over the past week, the price has changed by -5.45%, over one month by -6.14%, over three months by +27.33% and over the past year by -40.13%.
Current recommended Stop Loss: 1.50 (which is 21.5% or 2 ATR below the current price).
Alector has received a consensus analysts rating of 3.43. Therefore, it is recommended to hold ALEC.
- StrongBuy: 3
- Buy: 0
- Hold: 2
- Sell: 1
- StrongSell: 1
| Analysts Target Price | 3.9 | 104.2% |
P/E Forward = 8.4674
P/S = 15.1421
P/B = 19.57
Revenue TTM = 13.9m USD
EBIT TTM = -117.6m USD
EBITDA TTM = -110.9m USD
Long Term Debt = 9.32m USD (from longTermDebt, last fiscal year)
Short Term Debt = 19.1m USD (from shortTermDebt, last quarter)
Debt = 55.7m USD (from shortLongTermDebtTotal, last quarter) + Leases 22.9m
Net Debt = 32.9m USD (calculated: Debt 55.7m - CCE 22.8m)
Enterprise Value = 242.8m USD (209.9m + Debt 55.7m - CCE 22.8m)
Interest Coverage Ratio = unknown (Ebit TTM -117.6m / Interest Expense TTM 0.0)
EV/FCF = -2.62x (Enterprise Value 242.8m / FCF TTM -92.5m)
FCF Yield = -38.11% (FCF TTM -92.5m / Enterprise Value 242.8m)
FCF Margin = -667.4% (FCF TTM -92.5m / Revenue TTM 13.9m)
Net Margin = -850.1% (Net Income TTM -117.9m / Revenue TTM 13.9m)
Gross Margin = 30.31% ((Revenue TTM 13.9m - Cost of Revenue TTM 9.66m) / Revenue TTM)
Gross Margin QoQ = none% (prev -99.24%)
Tobins Q-Ratio = 1.20 (Enterprise Value 242.8m / Total Assets 202.9m)
Interest Expense / Debt = 0.0% (Interest Expense 0.0 / Debt 55.7m)
Taxrate = 21.0% (US federal default 21%)
NOPAT = -92.9m (EBIT -117.6m * (1 - 21.00%)) [loss with tax shield]
Current Ratio = 4.93 (Total Current Assets 180.1m / Total Current Liabilities 36.5m)
Debt / Equity = -5.58 (negative equity) (Debt 55.7m / totalStockholderEquity, last quarter -9.97m)
Debt / EBITDA = -0.30 (negative EBITDA) (Net Debt 32.9m / EBITDA -110.9m)
Debt / FCF = -0.36 (negative FCF - burning cash) (Net Debt 32.9m / FCF TTM -92.5m)
Total Stockholder Equity = 22.2m (last 4 quarters mean from totalStockholderEquity)
RoA = -42.15% (Net Income -117.9m / Total Assets 202.9m)
RoE = -531.0% (Net Income TTM -117.9m / Total Stockholder Equity 22.2m)
RoCE = -373.0% (out of range, set to none) (EBIT -117.6m / Capital Employed (Equity 22.2m + L.T.Debt 9.32m))
RoIC = -49.67% (negative operating profit) (NOPAT -92.9m / Invested Capital 187.0m)
WACC = 9.62% (E(209.9m)/V(265.6m) * Re(12.17%) + D(55.7m)/V(265.6m) * Rd(0.0%) * (1-Tc(0.21)))
Discount Rate = 12.17% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 94.32 | Cagr: 7.86%
[DCF] Fair Price = unknown (Cash Flow -92.5m)
EPS Correlation: N/A | EPS CAGR: N/A | SUE: 0.19 | # QB: 0
Revenue Correlation: -78.51 | Revenue CAGR: -46.80% | SUE: 0.12 | # QB: 0
EPS current Quarter (2026-09-30): EPS=-0.22 | Chg30d=+3.64% | Revisions=-22% | Analysts=5
EPS current Year (2026-12-31): EPS=-0.50 | Chg30d=+41.62% | Revisions=+0% | GrowthEPS=+63.7% | GrowthRev=+214.3%
EPS next Year (2027-12-31): EPS=-0.73 | Chg30d=+1.57% | Revisions=-22% | GrowthEPS=-45.6% | GrowthRev=-82.8%
[Analyst] Revisions Ratio: -19% (up=7, down=11)