Alector downgraded to Underweight from Equal Weight at Morgan Stanley

Morgan Stanley downgraded Alector (ALEC) to Underweight from Equal Weight with a price target of $3, down from $10, after AL002 did not slow Alzheimer’s progression, and it had no effect on disease biomarkers, in the Phase 2 INVOKE-2 study. While the firm says it still sees potential for latozinemab, its downgrade is made on a relative basis as it sees better opportunities elsewhere in its coverage until Phase 3 INFRONT-3 data in frontotemporal dementia that is due in late 2025 or early 2026 is nearer.