Shares of Alignment Healthcare, Inc. (ALHC) plummeted by 5.47% on October 30, 2024, after the company reported its third-quarter 2024 financial results. Despite strong revenue growth and membership expansion, the company's earnings failed to meet market expectations, leading to a significant sell-off in the stock.

In its third-quarter earnings report, Alignment Healthcare reported revenue of $692.43 million, a 51.6% increase year-over-year, surpassing analysts' expectations of $662.11 million. However, the company reported an adjusted loss of $0.14 per share, in line with analysts' estimates but higher than the loss of $0.18 per share in the same quarter last year.

The company's adjusted EBITDA was positive at $6 million for the quarter, reaching the high end of its guidance range. However, investors appeared to be concerned about the company's profitability and margin outlook, as the updated guidance for the full year 2024 adjusted EBITDA range was lowered to between a loss of $10 million and a positive $5 million.