Alignment Healthcare (NASDAQ:ALHC) Stock Price Up 9.3% – Should You Buy?

Shares of Alignment Healthcare, Inc. (NASDAQ:ALHC) rose 9.3% on Wednesday . The stock traded as high as $12.20 and last traded at $12.12. Approximately 724,954 shares were traded during mid-day trading, a decline of 36% from the average daily volume of 1,128,678 shares. The stock had previously closed at $11.09.

Wall Street Analysts Forecast Growth

A number of equities research analysts recently weighed in on the company. Piper Sandler restated an “overweight” rating and set a $10.00 price objective (up from $8.00) on shares of Alignment Healthcare in a research note on Tuesday, August 6th. Barclays raised their price target on shares of Alignment Healthcare from $7.00 to $8.00 and gave the stock an “underweight” rating in a report on Wednesday, October 30th. KeyCorp initiated coverage on Alignment Healthcare in a research report on Friday, October 11th. They issued a “sector weight” rating on the stock. Stifel Nicolaus lifted their price target on Alignment Healthcare from $9.00 to $12.00 and gave the stock a “buy” rating in a research report on Friday, July 26th. Finally, UBS Group raised their price objective on Alignment Healthcare from $9.00 to $12.00 and gave the stock a “neutral” rating in a research note on Wednesday, October 30th. One equities research analyst has rated the stock with a sell rating, three have assigned a hold rating, six have given a buy rating and two have issued a strong buy rating to the company. Based on data from MarketBeat, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $10.33.

Alignment Healthcare Price Performance

The company has a debt-to-equity ratio of 1.82, a current ratio of 1.60 and a quick ratio of 1.60. The stock’s fifty day moving average is $11.67 and its 200-day moving average is $9.48. The stock has a market capitalization of $2.29 billion, a PE ratio of -15.52 and a beta of 1.45.

Alignment Healthcare (NASDAQ:ALHC) last posted its earnings results on Tuesday, October 29th. The company reported ($0.14) 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 firm had revenue of $692.43 million for the quarter, compared to analysts’ expectations of $662.11 million. During the same period last year, the firm earned ($0.19) EPS. The company’s quarterly revenue was up 51.6% on a year-over-year basis. As a group, equities analysts predict that Alignment Healthcare, Inc. will post -0.69 earnings per share for the current fiscal year.

Insider Activity

In related news, insider Dawn Christine Maroney sold 30,000 shares of Alignment Healthcare stock in a transaction dated Friday, November 15th. The stock was sold at an average price of $11.35, for a total value of $340,500.00. Following the sale, the insider now directly owns 1,696,097 shares in the company, valued at approximately $19,250,700.95. The trade was a 1.74 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, CEO John E. Kao sold 90,000 shares of the business’s stock in a transaction that occurred on Monday, November 11th. The stock was sold at an average price of $13.42, for a total value of $1,207,800.00. Following the transaction, the chief executive officer now owns 2,453,100 shares in the company, valued at approximately $32,920,602. This represents a 3.54 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 515,507 shares of company stock worth $6,158,835 in the last ninety days. Company insiders own 6.60% of the company’s stock.

Institutional Trading of Alignment Healthcare

Several institutional investors have recently added to or reduced their stakes in ALHC. Creative Planning grew its stake in shares of Alignment Healthcare by 20.0% in the third quarter. Creative Planning now owns 12,442 shares of the company’s stock valued at $147,000 after buying an additional 2,072 shares in the last quarter. Principal Financial Group Inc. lifted its position in shares of Alignment Healthcare by 18.1% during the second quarter. Principal Financial Group Inc. now owns 13,521 shares of the company’s stock worth $106,000 after purchasing an additional 2,077 shares in the last quarter. nVerses Capital LLC acquired a new stake in shares of Alignment Healthcare during the third quarter worth about $95,000. The Manufacturers Life Insurance Company boosted its stake in shares of Alignment Healthcare by 20.9% in the second quarter. The Manufacturers Life Insurance Company now owns 55,531 shares of the company’s stock valued at $434,000 after purchasing an additional 9,595 shares during the period. Finally, Connor Clark & Lunn Investment Management Ltd. acquired a new position in shares of Alignment Healthcare in the third quarter valued at approximately $131,000. Institutional investors and hedge funds own 86.19% of the company’s stock.

About Alignment Healthcare

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.