Alvotech (NASDAQ:ALVO) Stock Rating Cut to Strong Sell at Zacks Research

Alvotech (NASDAQ:ALVO) was downgraded by research analysts at Zacks Research from a “hold” rating to a “strong sell” rating in a note issued to investors on Tuesday, Zacks reports.

Several other brokerages have also issued reports on ALVO. Weiss Ratings raised shares of Alvotech from a “sell (e+)” rating to a “sell (d-)” rating in a report on Tuesday, October 6th. UBS Group set a $8.00 price objective on shares of Alvotech in a research report on Wednesday, September 16th. Barclays raised shares of Alvotech from an “underweight” rating to an “overweight” rating and increased their price objective for the company from $4.00 to $8.00 in a research note on Wednesday, September 16th. Bank of America began coverage on shares of Alvotech in a research note on Monday, August 24th. They issued a “buy” rating and a $7.00 price objective for the company. Finally, Evercore began coverage on shares of Alvotech in a research report on Friday, August 14th. They issued an “outperform” rating on the stock. Four analysts have rated the stock with a Buy rating, one has given a Hold rating and two have given a Sell rating to the company. According to MarketBeat, the company presently has a consensus rating of “Hold” and a consensus target price of $8.50.

Alvotech Trading Up 0.2%

Shares of NASDAQ ALVO opened at $5.13 on Tuesday. The company has a market cap of $1.55 billion, a price-to-earnings ratio of -8.41 and a beta of 0.20. Alvotech has a 12 month low of $2.94 and a 12 month high of $8.50. The stock has a 50-day moving average price of $5.24 and a two-hundred day moving average price of $4.15.

Alvotech (NASDAQ:ALVO) last posted its earnings results on Thursday, August 20th. The company reported ($0.11) EPS for the quarter, missing analysts’ consensus estimates of ($0.05) by ($0.06). The firm had revenue of $106.00 million for the quarter, compared to analysts’ expectations of $103.00 million. On average, sell-side analysts predict that Alvotech will post -0.01 earnings per share for the current year.

Institutional Investors Weigh In On Alvotech

A number of hedge funds and other institutional investors have recently bought and sold shares of the company. Citadel Advisors LLC acquired a new position in Alvotech in the 2nd quarter worth about $6,376,000. Ulland Investment Advisors LLC raised its position in Alvotech by 5.0% in the third quarter. Ulland Investment Advisors LLC now owns 115,000 shares of the company’s stock valued at $667,000 after purchasing an additional 5,500 shares during the last quarter. Finally, Renaissance Technologies LLC raised its position in Alvotech by 146.9% in the first quarter. Renaissance Technologies LLC now owns 63,200 shares of the company’s stock valued at $217,000 after purchasing an additional 37,600 shares during the last quarter.

Key Stories Impacting Alvotech

Here are the key news stories impacting Alvotech this week:

• Positive Sentiment: The FDA approved Alvotech’s Process 2.0 for SIMLANDI manufacturing at its Reykjavik facility. The process more than doubles drug-substance output per batch while maintaining product quality, safety and efficacy. Alvotech receives FDA approval for new SIMLANDI manufacturing process
• Positive Sentiment: The higher-yield process allows Alvotech to produce the same amount of drug substance in fewer batches, freeing manufacturing capacity for other biosimilars and improving its ability to meet partner demand. The approval follows a separate recent FDA authorization for additional manufacturing capacity. Alvotech shares rise after FDA approves Simlandi manufacturing process
• Neutral Sentiment: The manufacturing approval strengthens Alvotech’s operational position and supply reliability, but the company’s broader financial benefit will depend on commercial demand, pricing, execution and the performance of its biosimilar portfolio. Alvotech wins FDA approval for manufacturing upgrade
• Negative Sentiment: Zacks added ALVO to its Rank #5, or “Strong Sell,” list. The ranking may weigh on sentiment by signaling unfavorable expectations relative to Zacks’ quantitative criteria, offsetting some of the optimism from the FDA announcement. New Strong Sell stocks for October 21st

About Alvotech

Alvotech is a biotechnology company headquartered in Reykjavík, Iceland, focused on developing and manufacturing biosimilar medicines. Biosimilars are biologic products designed to be highly similar to already approved reference medicines and are intended to expand patient access to complex treatments at potentially lower costs.

The company uses an integrated research, development and manufacturing model and concentrates on therapeutic areas including immunology, ophthalmology, oncology and bone health.