Dawn Christine Maroney, President of Markets at Alignment Healthcare, Inc. (NASDAQ:ALHC), recently sold 30,000 shares of the company's common stock. The shares were sold at a weighted average price of $10.7694, with sale prices ranging from $10.65 to $11.05 per share. This transaction, which took place on October 15, 2024, was executed under a prearranged trading plan adopted on March 13, 2024. Following the sale, Maroney retains ownership of 1,726,097 shares in the company.
In other recent news, Alignment Healthcare has been making significant strides in the healthcare sector. The company has reported impressive earnings and revenue results, with a 47% increase in revenue and a 56% surge in health plan membership. The Centers for Medicare & Medicaid Services (CMS) awarded high star ratings to the majority of Alignment Healthcare's Medicare Advantage plans for 2025, with 98% of its members enrolled in plans rated 4 stars or higher.
Analysts from William Blair have maintained an Outperform rating on Alignment Healthcare, recognizing the company's strong performance. Other firms, including Baird, TD (TSX:TD) Cowen, and Stifel, have raised their price targets, while KeyBanc has initiated coverage on the company with a Sector Weight rating.
Alignment Healthcare has also seen changes in its board structure, with the resignations of Thomas Carella and Jeffrey Margolis. Margolis has transitioned into a consulting role with the company's primary operating subsidiary. The company has made an upward adjustment in year-end membership expectations by 8,000 members and forecasts at least 20% growth in 2025. However, it has stated it has no plans to enter new states in 2025, focusing instead on profitability and expanding its national footprint. These are the recent developments that continue to shape Alignment Healthcare's trajectory.
InvestingPro Insights
As Dawn Christine Maroney's recent stock sale unfolds, investors may find additional context in Alignment Healthcare's financial metrics and market performance. According to InvestingPro data, Alignment Healthcare boasts a market capitalization of $2.24 billion and has demonstrated impressive revenue growth, with a 47.34% increase in quarterly revenue as of Q2 2024. This robust top-line expansion aligns with the company's aggressive market strategy.
However, InvestingPro Tips highlight some challenges. The company is not currently profitable, with a negative P/E ratio of -14.15, and analysts do not anticipate profitability this year. This financial situation may explain why executives like Maroney might choose to realize gains through stock sales.
Despite these profitability concerns, the stock has shown strong momentum, with a remarkable 121.63% price return over the past six months. This performance has brought the stock near its 52-week high, trading at 95.47% of that peak. The substantial price uptick could have influenced the timing of Maroney's sale.
For investors seeking a more comprehensive analysis, InvestingPro offers 8 additional tips for Alignment Healthcare, providing a deeper dive into the company's financial health and market position.
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