Alector’s Growth Potential Highlighted by Strong Financials and Promising Trial Developments

TD Cowen analyst Yaron Werber has maintained their bullish stance on ALEC stock, giving a Buy rating today.

Yaron Werber has given his Buy rating due to a combination of factors that highlight Alector’s potential for growth and success. A key element in his assessment is the anticipated data from the Phase 3 INFRONT-3 trial for latozinemab in FTD-GRN, expected in the fourth quarter of 2025. This trial is crucial as it could significantly influence Alector’s future trajectory, especially since the stock is currently undervalued, trading at less than 50% of its cash value.
Additionally, Werber notes the company’s strong financial position with a cash runway extending into the second half of 2027, providing a stable foundation for ongoing research and development. The completion of enrollment for the Phase 2 PROGRESS-AD trial ahead of schedule and the planned initiation of two Phase 1 trials in 2026 further underscore Alector’s robust pipeline. These factors, combined with potential regulatory pathways for approval, suggest substantial upside potential if the upcoming trial results are favorable.

Based on the recent corporate insider activity of 29 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of ALEC in relation to earlier this year.