ALEC (Alector) Intrinsic Value: Projected FCF: $-7.66 (As of Sep. 03, 2026)

Author: Vera Yuan Vera Yuan
Vera Yuan
Vera Yuan
Director of Data and Quant Analytics at GuruFocus
Focused on building reliable datasets, financial models, and research tools for value-minded investors. Committed to turning complex data into practical guidance for value-investing and long-term wealth.
Reviewed by: Charlie Tian Charlie Tian
Charlie Tian
Charlie Tian
Founder & CEO of GuruFocus
Dr. Charlie Tian is the founder and CEO of GuruFocus.com, a leading global investment research platform established in 2004. With a Ph.D. in physics, Dr. Tian transitioned from science to finance, applying a data-driven, disciplined approach to value investing.

ALEC Alector Inc ALEC
26 GF Score
Price $2.58
GF Value $0.56
Valuation Significantly Overvalued
! 7 Warning Signs
View Full Analysis

What is Alector Intrinsic Value: Projected FCF?

Alector ALEC -5.33% 26 Intrinsic Value: Projected FCF is $-7.66 as of Sep. 03, 2026. GuruFocus rates ALEC with a GF Score™ of 26/100 and a GF Value™ of $0.56 (Significantly Overvalued). The stock has 7 warning signs investors should review. Among 260 Biotechnology companies, Alector ranks worse than 384615% on this metric.

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company. The details of how we calculate the intrinsic value of stocks are described in detail here.

As of today (2026-09-03), Alector's Intrinsic Value: Projected FCF is $-7.66. The stock price of Alector is $2.575. Therefore, Alector's Price-to-Intrinsic-Value-Projected-FCF of today is 0.0.

The historical rank and industry rank for Alector's Intrinsic Value: Projected FCF or its related term are showing as below:

During the past 10 years, the highest Price-to-Intrinsic-Value-Projected-FCF of Alector was 6.75. The lowest was 2.82. And the median was 4.79.

ALEC's Price-to-Projected-FCF is not ranked *
in the Biotechnology industry.
Industry Median: 2.22
* Ranked among companies with meaningful Price-to-Projected-FCF only.

Alector  (NAS:ALEC) Intrinsic Value: Projected FCF Explanation

The growth multiple is capped between 8.35 and 17.74.

Total Stockholders Equity weighting is more art than science and it should always be revisited in more detail when researching a company. Weightings from 0% to 100% to more than 100% are possible. 80% was chosen as a happy median after taking the above ideas into consideration.

Alector's Price-to-Intrinsic-Value-Projected-FCF for today is calculated as

Price-to-Intrinsic-Value-Projected-FCF=Share Price/Intrinsic Value: Projected FCF
=2.575/-7.6579767077602
=

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


Alector Intrinsic Value: Projected FCF Related Terms


Alector Intrinsic Value: Projected FCF Historical Data

* Premium members only.

The historical data trend for Alector's Intrinsic Value: Projected FCF can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Alector Intrinsic Value: Projected FCF Chart

Alector Annual Data
Trend Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24 Dec25
Intrinsic Value: Projected FCF
Get a 7-Day Free Trial Premium Member Only Premium Member Only 0.00 0.00 -0.95 -9.88 -7.19

Alector Quarterly Data
Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25 Jun25 Sep25 Dec25 Mar26 Jun26
Intrinsic Value: Projected FCF Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -10.57 -7.97 -7.19 -7.54 -7.66

ALEC vs CAMP, NAGE, ELDN: Intrinsic Value: Projected FCF Comparison

For the Biotechnology subindustry, Alector's Price-to-Projected-FCF, along with its competitors' market caps and Price-to-Projected-FCF data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Alector Price-to-Projected-FCF vs Biotechnology Industry

For the Biotechnology industry and Healthcare sector, Alector's Price-to-Projected-FCF distribution charts can be found below:

* The bar in red indicates where Alector's Price-to-Projected-FCF falls into.


ALEC
26GF Score
Alector Inc ALEC
Intrinsic Value: Projected FCF is just one metric. See GF Score™, valuation, warning signs, and more.
View Full Analysis

Alector Intrinsic Value: Projected FCF Calculation

Since the intrinsic value calculations based on Discounted Cash Flow Intrinsic Value: DCF (FCF Based), or Discounted Earnings Intrinsic Value: DCF (Earnings Based) cannot be applied to companies without consistent revenue and earnings, GuruFocus developed a valuation model based on normalized Free Cash Flow and Book Value of the company.

The details of how we calculate the intrinsic value of stocks are described in detail here.

This method smooths out the free cash flow over the past 6-7 years, multiplies the results by a growth multiple, and adds a portion of Total Stockholders Equity.

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + 0.8 * Total Stockholders Equity (most recent) ) / Shares Outstanding (Diluted Average)

In the case of negative Total Stockholders Equity, the following formula is used (see Explanation section below for the reason):

Intrinsic Value: Projected FCF = ( Growth Multiple * Free Cash Flow (6 year avg) + Total Stockholders Equity (most recent) / 0.8 ) / Shares Outstanding (Diluted Average)


Add all the Free Cash Flow together and divide 6 will get Alector's Free Cash Flow(6 year avg) = $-88.16.

Alector's Intrinsic Value: Projected FCF for today is calculated as

Intrinsic Value: Projected FCF=(Growth Multiple*Free Cash Flow (6 year avg)+Total Stockholders Equity (Jun26)/0.8)/Shares Outstanding (Diluted Average)
=(9.5203515959648*-88.15728+-9.97/0.8)/111.224
=-7.66

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

What does a Intrinsic Value: Projected FCF of $-7.66 mean?
Alector (ALEC) has a Intrinsic Value: Projected FCF of $-7.66 as of Sep. 03, 2026. Intrinsic Value: Projected FCF is the stock value based on a projected free cash flow model. View historical data on Alector and its competitors. According to the industry distribution chart, Alector ranks #999999 out of 260 companies in the Biotechnology industry.
Is Alector's Intrinsic Value: Projected FCF too high?
Alector's current Intrinsic Value: Projected FCF is $-7.66. Based on the distribution chart, Alector ranks #999999 out of 260 companies in the Biotechnology industry, which is in the bottom quartile relative to peers. Overall, Alector has a GF Score™ of 26/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Alector's Intrinsic Value: Projected FCF compare to CAMP and NAGE?
According to the Biotechnology industry distribution chart, Alector ranks #999999 out of 260 companies for Intrinsic Value: Projected FCF. This places Alector in the lower half of its industry. The industry median Intrinsic Value: Projected FCF is 2.22. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Intrinsic Value: Projected FCF for a Biotechnology company?
The median Intrinsic Value: Projected FCF among Biotechnology companies is 2.22, based on 260 companies in the industry. Companies in the top quartile (top 25%) have a Intrinsic Value: Projected FCF significantly above this median, while those in the bottom quartile fall well below. However, Intrinsic Value: Projected FCF should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Intrinsic Value: Projected FCF mean?
A high Intrinsic Value: Projected FCF can signal that a stock is expensive relative to its fundamentals. Intrinsic Value: Projected FCF is the stock value based on a projected free cash flow model. View historical data on Alector and its competitors. For the Biotechnology industry, the median Intrinsic Value: Projected FCF is 2.22 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Alector's current Intrinsic Value: Projected FCF is $-7.66. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Alector stock overvalued right now?
Based on GuruFocus' analysis, Alector (ALEC) is currently considered Significantly Overvalued. The stock's GF Value™ is $0.56, compared to a current price of $2.58 — trading 359.8% above its estimated fair value. The current Intrinsic Value: Projected FCF is $-7.66. Alector's overall GF Score™ is 26/100 with 7 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Intrinsic Value: Projected FCF calculated?
Intrinsic Value: Projected FCF is calculated from a company's financial statements. For Alector (ALEC), the current Intrinsic Value: Projected FCF is $-7.66 as of Sep. 03, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Alector (ALEC) Overvalued in 2026?

Based on GuruFocus' analysis, Alector stock appears to be overvalued. The current stock price of $2.58 is trading 359.8% above its estimated GF Value™ of $0.56. GuruFocus considers Alector to be Significantly Overvalued.

Key valuation signals for ALEC:

  • Intrinsic Value: Projected FCF: $-7.66
  • GF Value™: $0.56 vs. price of $2.58 (359.8% above fair value)
  • GF Score™: 26/100 with 7 warning signs

No single metric tells the full story. See the ALEC stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.


Alector Business Description

Other Exchanges 0Z2:Germany
Address 131 Oyster Point Boulevard, Suite 600, South San Francisco, CA, USA, 94080
Alector Inc is a clinical-stage biotechnology company focused on developing therapies for neurodegenerative diseases. The company advances a pipeline of product candidates including Nivisnebart (AL101/GSK4527226) for Alzheimer's disease, AL137 for Alzheimer's disease, AL050 for Parkinson's disease and Lewy body dementia, and AL064, an siRNA program targeting tau for Alzheimer's disease and other tauopathies, supported by its proprietary Alector Brain Carrier (ABC) platform designed to improve delivery of therapeutics across the blood-brain barrier.
26GF Score

Get the complete analysis for ALEC

Intrinsic Value: Projected FCF is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

$2.58
Price
$0.56
GF Value