Alector

0.47 (3.03%)

NASDAQ:ALEC | Last traded on 11-15-2019 4:00 PM

Market Reaction

Offer Price

$19.00

Today Open Price

$15.70

Change Since IPO

Market Cap

$1B

Day High

$16.17

Day Low

$15.45

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Featured Analysis

No. Alector’s financial state can be characterized as small and unprofitable, and it is drastically overvalued with a revenue multiple of over 300. Although it comes at a good time in the market, the business model does not outweigh the financial status. You would invest if you really knew their research and products and science. I do not.

Company Data

Location

San Francisco, CA

Valuation

$1.2B

-

Founded

2013

Total Shares Offered

68,365,044

-

Employees

78

IPO Date

2019-02-07

Background Information

Alector, Inc. is a clinical stage biotechnology company that produces treatments for neurodegenerative diseases. The products Alector has in clinical trials are treatments for dementia and Alzheimer's. They have an additional ten programs in the research and development process of medicine efficacy testing.

Financial Analysis

Years 2016 2017
Revenue growth -- 798%
Net profit margin -3606%-870%
Valuation -- $1.4B
Revenue multiple -- 378x
Profit multiple ---44x

Financial Information

Income Statement ($M) 2016 2017
Revenue0.43.7
Gross profit0.43.7
Total operating costs1636
EBIT(15)(33)
Net income(15)(32)
Balance Sheet ($M) 2016 2017
Total current assets51233
Cash and cash equivalents5132
Total assets54236
Total current liabilities227
Total liabilities2211
Total shareholder equity2552
Total liabilities and equity54236
Cash Flow Statement ($M) 20162017
Net cash from operating activities (13)(18)
Net cash from investing activities (2)(0.8)
Net cash from financing activities (0.07)(0.02)
Net increase in cash and cash equivalents (15)(19)