TD Cowen analyst Yaron Werber has maintained their bullish stance on ALEC stock, giving a Buy rating yesterday.
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Yaron Werber’s rating is based on several promising developments for Alector. The company is advancing its Phase 3 INFRONT-3 trial for latozinemab, targeting frontotemporal dementia with a genetic component (FTD-GRN). The trial is well-powered, with a greater than 99% chance of showing a significant increase in plasma progranulin (PGRN), a new co-primary endpoint requested by the FDA. This suggests a strong potential for demonstrating the drug’s mechanistic efficacy.
Additionally, Alector’s financials are robust, with Q2 operating expenses significantly below expectations and revenues exceeding projections. The company has a solid cash runway extending into the second half of 2027, providing stability as it progresses with its clinical trials. The potential for significant upside exists if the Phase 3 trial results align with the promising Phase 2 data, making Alector’s stock an attractive buy at its current valuation.
Werber covers the Healthcare sector, focusing on stocks such as Ultragenyx Pharmaceutical, Argenx Se, and Ionis Pharmaceuticals. According to TipRanks, Werber has an average return of 10.1% and a 54.97% success rate on recommended stocks.