Biopharmaceutical player, Alector Inc. (NASDAQ: ALEC), has skyrocketed in value this week by 90%, leading an increased number of investors to investigate the stock in more detail.
In light of this increased demand, we thought it would be helpful to release an article explaining everything you need to know before you invest in ALEC stock. We have detailed what exactly the company is and what it does, why the ALEC share price is experiencing a major surge, and what the future could hold for the company.
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In addition, towards the end of this article, you can find our Alector price forecast for the next 12 months, which should help you understand where we are in the cycle right now. First things first, scroll down to the section below to find out the best places to buy Alector stock in the UK and elsewhere today.
Where to buy Alector shares online
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So, here are the two best platforms to buy and sell Alector stock right now:
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What is Alector?
A clinical-stage biopharmaceutical company. It is listed on the Nasdaq stock exchange under the ticket, ALEC.
The main focus of Alector is on pioneering new therapies for the treatment of various neurodegenerative diseases. With products at different points in the regulatory testing cycle, Alector may eventually commercialise new, cutting-edge treatments for conditions like Parkinson’s, dementia, Alzheimer’s, and amyotrophic lateral sclerosis diseases.
Why is Alector’s share price rising?
While ALEC is anticipated to post a quarterly loss of $0.68 per share in its upcoming report, market sentiment has been buoyed by the company’s formal announcement of a significant $2.2 billion ($700 million upfront) deal with the major pharmaceutical giant, GlaxoSmithKline (LON: GSK). Working collaboratively, the pair will co-develop and potentially commercialise AL0001 and AL101, its two monoclonal antibodies.
Should I buy Alector shares right now?
Investing in a biopharma stock is always a high-risk, high-reward endeavour. Because every treatment must progress through a lengthy, stringent testing process operated by various administrative health bodies, there are many opportunities for a new drug to fall flat on its face. The road to commercialisation is fraught with danger, even if the potential rewards for generating a life-changing treatment are huge.
So, if you are not averse to risk, and you believe in Alector’s management team and product range, investing now ahead of further stock price accretion could bring major rewards.
However, while the emergence of GlaxoSmithKline in this story has brought a degree of stability and assurance, the risks remain elevated. So, make sure you conduct your own extensive due diligence before putting your capital on the line.
Alector price target 2021
Here is our ALEC price forecast for the next 12 months:
- A high price target of $55
- A median price target of $37
- A low price target of $29
Currently sitting pretty at just under $40 per share, ALEC has plenty more room to grow this year and more catalyst moments could be on the horizon.
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