Exploring Allakos Inc. (ALLK) Investor Profile: Who’s Buying and Why?

With Allakos's (ALLK) stock recently trading at $0.32 per share as of April 16, 2025, a significant 69.53% decline from its price of $1.06 on April 17, 2024, investors are likely asking: Who is currently investing in Allakos, and what are their reasons? Is it the potential for a turnaround, or are strategic realignments on the horizon following the announcement of a definitive agreement for Concentra Biosciences, LLC to acquire Allakos for $0.33 per share in cash? As of December 30, 2024, institutional investors held a substantial stake, owning 75,318,708 shares, with major players including Bvf Inc/il holding 18.53% of shares, NEA Management Company, LLC with 6.88%, and Deep Track Capital, LP with 6.38%. Let's delve into the profiles of these key investors and explore the factors driving their investment decisions in Allakos.

Allakos Inc. (ALLK) Who Invests in Allakos Inc. (ALLK) and Why?

Understanding the investor profile of Allakos Inc. (ALLK) involves examining the various types of investors, their motivations, and the strategies they employ. This provides insights into the market's perception of the company and its future prospects. The investment landscape is shaped by a mix of retail investors, institutional players, and hedge funds, each bringing unique perspectives and objectives.

Key Investor Types:

The investor base of Allakos Inc. (ALLK) can be categorized into several key types:

• Retail Investors: These individual investors often have varying levels of financial knowledge and invest for long-term growth or short-term gains. Their investment decisions are influenced by factors like news, market trends, and personal financial goals.
• Institutional Investors: This group includes mutual funds, pension funds, insurance companies, and endowments. They manage large sums of money and typically have a longer investment horizon. Institutional investors conduct extensive research and analysis before investing.
• Hedge Funds: These are investment partnerships that use more aggressive strategies, such as leveraging and short-selling, to generate higher returns. Hedge funds cater to accredited investors and often have a shorter investment horizon compared to institutional investors.

Investment Motivations:

Investors are attracted to Allakos Inc. (ALLK) for several reasons:

• Growth Prospects: Investors may be drawn to Allakos Inc. (ALLK) based on its potential for future growth. This can include factors such as promising drug development programs, expansion into new markets, or increasing adoption of its products.
• Market Position: The company's standing in the market, including its competitive advantages, market share, and brand reputation, can influence investment decisions. A strong market position suggests stability and potential for sustained growth.

Investment Strategies:

Different investors adopt various strategies when investing in Allakos Inc. (ALLK):

• Long-Term Holding: Some investors buy and hold shares for an extended period, aiming to benefit from the company's long-term growth and appreciation in value. This strategy is common among institutional investors and those who believe in the company's fundamentals.
• Short-Term Trading: Other investors engage in short-term trading, seeking to profit from short-term price fluctuations. This strategy is more common among retail investors and hedge funds.
• Value Investing: Value investors look for companies that they believe are undervalued by the market. They assess the company's intrinsic value and invest when the market price is below their estimated value.

To provide a clearer picture, here's a hypothetical breakdown of Allakos Inc. (ALLK)'s investor composition:

Understanding who invests in Allakos Inc. (ALLK) and why helps stakeholders gauge market sentiment and make informed decisions about their investments. The mix of investor types, their motivations, and strategies collectively shape the company's market dynamics and future trajectory.

To gain more insights into Allakos Inc. (ALLK), you might find this resource helpful: Mission Statement, Vision, & Core Values of Allakos Inc. (ALLK).

Allakos Inc. (ALLK) Institutional Ownership and Major Shareholders of Allakos Inc. (ALLK)

Institutional ownership in Allakos Inc. (ALLK) provides insights into the confidence and influence that large financial entities have in the company's stock. These major players often conduct thorough research before investing, and their actions can significantly impact the stock's price and the company's strategic direction.

As of Q4 2023, Allakos Inc. (ALLK) had an institutional ownership percentage of 57.14%. A detailed look at the major institutional investors reveals the key entities holding significant stakes in the company.

Here are some of the top institutional investors in Allakos Inc. (ALLK) based on recent filings:

• Vanguard Group Inc: Holding 4,469,147 shares
• Blackrock Inc.: Holding 3,672,752 shares
• RA Capital Management, L.P.: Holding 3,653,407 shares
• State Street Corp: Holding 1,668,642 shares
• FMR LLC: Holding 1,479,507 shares
• Geode Capital Management, LLC: Holding 780,818 shares
• Nikko Asset Management Americas, Inc.: Holding 759,021 shares
• Dimensional Fund Advisors LP: Holding 706,220 shares
• Millennium Management LLC: Holding 659,280 shares
• Baker Bros. Advisors LP: Holding 657,717 shares

Tracking changes in institutional ownership can indicate shifts in sentiment towards Allakos Inc. (ALLK). Increases in holdings may suggest growing confidence in the company's prospects, while decreases could signal concerns about future performance. For instance, several institutions have adjusted their positions in recent months.

Recent changes in ownership include:

• RA Capital Management, L.P. increased its stake by 248% in the fourth quarter of 2023.
• Millennium Management LLC increased its stake by 15% in the fourth quarter of 2023.
• Baker Bros. Advisors LP decreased its stake by -10% in the fourth quarter of 2023.

Institutional investors play a crucial role in Allakos Inc. (ALLK)'s stock performance and strategic decisions. Their substantial holdings can influence trading volumes and price stability. Moreover, these investors often engage with company management, providing insights and guidance on strategic initiatives. The presence of reputable institutional investors can enhance Allakos Inc. (ALLK)'s credibility and attract further investment.

For further insights into Allakos Inc. (ALLK)'s mission, vision, and core values, explore: Mission Statement, Vision, & Core Values of Allakos Inc. (ALLK).

Allakos Inc. (ALLK) Key Investors and Their Impact on Allakos Inc. (ALLK)

Understanding the investor profile of Allakos Inc. (ALLK) provides valuable insights into the company's stock movements and strategic direction. Key investors, including institutional owners, hedge funds, and activist investors, can significantly influence company decisions and market perception. As of April 2025, several notable investors hold substantial stakes in Allakos, playing a crucial role in its current trajectory.

As of April 16, 2025, the share price was $0.32 per share. Previously, on April 17, 2024, the share price was $1.06 per share, representing a 69.53% decline over that period.

Here's an overview of Allakos Inc.'s (ALLK) major investors and their potential impact:

• BVF Inc/il: BVF Partners L.P. is the largest shareholder with 18.53% of shares outstanding as of December 30, 2024, holding 16,552,417 shares.
• NEA Management Company, LLC: Holds a significant position in Allakos. As of December 30, 2024, New Enterprise Associates, Inc. held 6,147,260 shares, representing 6.88%.
• Deep Track Capital, LP: As of December 30, 2024, Deep Track Capital, LP, held 5,704,282 shares, representing 6.38%.
• FMR LLC: As of December 30, 2024, FMR LLC held 5,410,151 shares, representing 6.06%.
• Tang Capital Partners, LP: Kevin Tang's Tang Capital holds a notable stake. As of February 2, 2025, Tang Capital Partners, LP, held 4,889,191 shares, representing 5.47%. Kevin Tang is known to buy biotech companies and potentially push them into deals.

Other notable institutional investors include:

• Lynx1 Capital Management LP
• Point72 Asset Management, L.P.
• Vanguard Group Inc
• Redmile Group, LLC
• Vivo Capital, LLC

These institutions collectively hold a total of 75,318,708 shares.

Institutional investors' actions can significantly impact Allakos' stock price. For instance, the stock's vulnerability to trading decisions made by institutions is amplified by the fact that institutions own a large stake in the company. A decline in the stock price may pressure institutional investors to sell, which could hurt individual investors.

Hedge funds also play a crucial role, with some holding a significant percentage of Allakos shares. These funds are often active investors who may attempt to influence management to increase value in the short to medium term. As of January 4th, 2025, hedge funds owned 19% of Allakos shares.

Activist investors, like Kevin Tang, can also significantly influence Allakos. Tang's February 3, 2025 Schedule 13D filing revealed his 9.7% stake through Tang Capital. His investment was made at approximately $0.271, slightly below the current trading price. Given Tang's activist history, his influence on the company's strategic direction is worth noting.

Recent moves by Allakos include an agreement to be acquired by Concentra Biosciences, LLC for $0.33 in cash per share. Allakos officers, directors and their respective affiliates holding approximately 8.07% of Allakos Common Stock have signed support agreements under which such parties have agreed to tender their shares in the Offer and support the merger transaction. The merger transaction is expected to close in May 2025.

In light of these developments, Jefferies revised its price target for Allakos shares to $0.40, while maintaining a 'Hold' rating.

See Mission Statement, Vision, & Core Values of Allakos Inc. (ALLK).

Allakos Inc. (ALLK) Market Impact and Investor Sentiment

Understanding investor sentiment and market reactions to Allakos Inc. (ALLK) is crucial for current and potential shareholders. Recent trading activities and analyst perspectives provide valuable insights into the stock's potential trajectory.

Allakos Inc. (ALLK) has experienced notable shifts in investor sentiment, influenced by various factors including clinical trial results, financial performance, and broader market trends. Monitoring these shifts helps to gauge the overall confidence in the company's future prospects. Key indicators include:

• Major Shareholder Activity: Significant purchases or sales by institutional investors often signal their long-term outlook on the company.
• Stock Price Volatility: Increased volatility can reflect uncertainty or strong reactions to company news.
• Analyst Ratings: Upgrades or downgrades by analysts can influence investor perception.

The stock market's response to Allakos Inc. (ALLK) is closely tied to changes in ownership and large investor moves. Positive reactions typically follow substantial investments from reputable firms, while negative reactions may occur after significant sell-offs. For example, strong institutional buying can lead to increased stock prices, reflecting confidence in the company's value and growth potential. Conversely, large-scale selling can trigger price declines as investors interpret this as a lack of confidence or anticipation of negative developments.

Analyst perspectives play a vital role in shaping investor understanding of Allakos Inc. (ALLK). Analysts offer insights based on in-depth research, financial modeling, and industry knowledge. Their reports often cover:

• Future Growth Prospects: Assessments of the company's potential for revenue and earnings growth.
• Risk Factors: Identification of potential challenges and risks that could impact the company's performance.
• Valuation: Estimates of the company's fair value based on various financial metrics and models.

For example, analysts might highlight the potential impact of key investors on Allakos Inc. (ALLK)'s future, particularly regarding strategic decisions, financial stability, and market positioning. Positive analyst ratings can attract more investors, driving up demand for the stock, while negative ratings can deter investment. It's important for investors to consider a range of analyst opinions and conduct their own due diligence to form a well-rounded perspective.

Here’s a look at how analyst ratings and market reactions might influence investment decisions:

Understanding these dynamics helps investors make informed decisions about Allakos Inc. (ALLK). Further analysis of the company's financial health can be found at: Breaking Down Allakos Inc. (ALLK) Financial Health: Key Insights for Investors