What Analysts Are Saying About Alignment Healthcare Stock

6 analysts have expressed a variety of opinions on Alignment Healthcare ALHC over the past quarter, offering a diverse set of opinions from bullish to bearish.

The following table encapsulates their recent ratings, offering a glimpse into the evolving sentiments over the past 30 days and comparing them to the preceding months.

Analysts have set 12-month price targets for Alignment Healthcare, revealing an average target of $10.0, a high estimate of $12.00, and a low estimate of $7.00. This upward trend is apparent, with the current average reflecting a 26.58% increase from the previous average price target of $7.90.

Deciphering Analyst Ratings: An In-Depth Analysis

A clear picture of Alignment Healthcare's perception among financial experts is painted with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts frequently update their recommendations based on evolving market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their reaction to recent developments related to Alignment Healthcare. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Providing a comprehensive analysis, analysts offer qualitative assessments, ranging from 'Outperform' to 'Underperform'. These ratings reflect expectations for the relative performance of Alignment Healthcare compared to the broader market.
• Price Targets: Gaining insights, analysts provide estimates for the future value of Alignment Healthcare's stock. This comparison reveals trends in analysts' expectations over time.

Considering these analyst evaluations in conjunction with other financial indicators can offer a comprehensive understanding of Alignment Healthcare's market position. Stay informed and make well-informed decisions with our Ratings Table.

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Discovering Alignment Healthcare: A Closer Look

Alignment Healthcare Inc is a next-generation, consumer-centric platform that is revolutionizing the healthcare experience for seniors through Medicare Advantage plans. These plans are marketed and sold direct-to-consumer, allowing seniors to select the manner in which customers receive healthcare coverage and services on an annual basis. The company combines a technology platform and clinical model for more effective health outcomes.

Breaking Down Alignment Healthcare's Financial Performance

Market Capitalization Analysis: Reflecting a smaller scale, the company's market capitalization is positioned below industry averages. This could be attributed to factors such as growth expectations or operational capacity.

Revenue Growth: Alignment Healthcare displayed positive results in 3 months. As of 30 June, 2024, the company achieved a solid revenue growth rate of approximately 47.34%. This indicates a notable increase in the company's top-line earnings. When compared to others in the Health Care sector, the company excelled with a growth rate higher than the average among peers.

Net Margin: The company's net margin is below industry benchmarks, signaling potential difficulties in achieving strong profitability. With a net margin of -3.52%, the company may need to address challenges in effective cost control.

Return on Equity (ROE): Alignment Healthcare's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of -18.86%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): Alignment Healthcare's ROA is below industry averages, indicating potential challenges in efficiently utilizing assets. With an ROA of -3.56%, the company may face hurdles in achieving optimal financial returns.

Debt Management: With a high debt-to-equity ratio of 1.78, Alignment Healthcare faces challenges in effectively managing its debt levels, indicating potential financial strain.

The Basics of Analyst Ratings

Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.

Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.

Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.

This article was generated by Benzinga's automated content engine and reviewed by an editor.