Form 4: Alector Director Sells 14,000 Shares via 10b5-1 Plan

Alector Director Paula Hammond sold 14,000 shares of common stock for $2.357 per share, as part of a pre-arranged 10b5-1 trading plan.

Summary

• Paula Hammond, a Director of Alector, Inc. (ALEC), sold 14,000 shares of common stock.
• The transaction occurred on August 26, 2025.
• The shares were sold at a weighted average price of $2.357, with individual transaction prices ranging from $2.31 to $2.385.
• Following this sale, Paula Hammond directly owns 74,909 shares of Alector common stock.
• The sale was executed under a Rule 10b5-1 trading plan adopted by the reporting person on May 27, 2025.

Sentiment

Score: 4

Explanation: The sale of shares by a director, even under a pre-arranged 10b5-1 plan, can be perceived as a slight negative signal regarding the insider's view on the company's near-term prospects or simply a diversification/liquidity event.

Negatives

• A Director of Alector, Inc. reduced their direct ownership in the company by selling 14,000 shares.

Risks

• The market may perceive insider selling, even if pre-planned, as a negative signal, potentially impacting investor confidence and stock price.

Future Outlook

NA

Industry Context

NA

Stakeholder Impact

• Shareholders may interpret the sale as a negative signal, potentially impacting investor sentiment and the stock price.

Key Dates

Recommendation

The sale by a director, while reducing insider ownership, was executed under a pre-arranged Rule 10b5-1 trading plan adopted months prior. This suggests the transaction was for personal financial planning rather than a reaction to new, adverse company developments. Investors should consider this a routine diversification event rather than a strong bearish signal, and maintain their current position while monitoring broader company performance and future disclosures.

Keywords

Alector, ALEC, insider trading, Form 4, Paula Hammond, stock sale, 10b5-1 plan, director