Jefferies Financial Group Issues Positive Forecast for Allegro MicroSystems (NASDAQ:ALGM) Stock Price

Allegro MicroSystems (NASDAQ:ALGM) had its target price hoisted by Jefferies Financial Group from $37.00 to $43.00 in a research report report published on Friday morning,Benzinga reports. Jefferies Financial Group currently has a buy rating on the stock.

Several other brokerages have also recently issued reports on ALGM. UBS Group raised their target price on Allegro MicroSystems from $40.00 to $44.00 and gave the stock a “buy” rating in a research report on Friday. Bank of America increased their price objective on shares of Allegro MicroSystems from $36.00 to $39.00 and gave the stock a “buy” rating in a research note on Wednesday, January 21st. Morgan Stanley boosted their target price on shares of Allegro MicroSystems from $35.00 to $45.00 and gave the company an “equal weight” rating in a research report on Friday. Mizuho set a $38.00 target price on shares of Allegro MicroSystems in a report on Tuesday, December 16th. Finally, Wall Street Zen upgraded shares of Allegro MicroSystems from a “hold” rating to a “buy” rating in a research note on Sunday, January 18th. Nine equities research analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has given a Sell rating to the company’s stock. Based on data from MarketBeat.com, Allegro MicroSystems presently has an average rating of “Moderate Buy” and an average price target of $43.50.

Allegro MicroSystems Stock Performance

Shares of ALGM stock opened at $36.91 on Friday. Allegro MicroSystems has a one year low of $16.38 and a one year high of $39.89. The company’s 50-day moving average is $29.28 and its 200 day moving average is $29.83. The company has a market capitalization of $6.83 billion, a price-to-earnings ratio of -461.38 and a beta of 1.61. The company has a debt-to-equity ratio of 0.30, a quick ratio of 2.48 and a current ratio of 3.65.

Allegro MicroSystems (NASDAQ:ALGM) last issued its earnings results on Thursday, January 29th. The company reported $0.15 EPS for the quarter, beating the consensus estimate of $0.14 by $0.01. The business had revenue of $229.21 million for the quarter, compared to the consensus estimate of $220.78 million. Allegro MicroSystems had a positive return on equity of 4.35% and a negative net margin of 1.57%.The company’s revenue was up 28.9% compared to the same quarter last year. During the same period last year, the business posted $0.07 EPS. Sell-side analysts expect that Allegro MicroSystems will post 0.01 EPS for the current fiscal year.

Hedge Funds Weigh In On Allegro MicroSystems

Several institutional investors have recently bought and sold shares of the business. Hantz Financial Services Inc. raised its position in Allegro MicroSystems by 86.9% in the 3rd quarter. Hantz Financial Services Inc. now owns 901 shares of the company’s stock worth $26,000 after purchasing an additional 419 shares during the period. Quent Capital LLC bought a new position in shares of Allegro MicroSystems during the third quarter valued at approximately $28,000. Farther Finance Advisors LLC grew its stake in shares of Allegro MicroSystems by 815.4% during the fourth quarter. Farther Finance Advisors LLC now owns 2,142 shares of the company’s stock valued at $57,000 after buying an additional 1,908 shares during the last quarter. Nisa Investment Advisors LLC raised its holdings in shares of Allegro MicroSystems by 158.8% in the second quarter. Nisa Investment Advisors LLC now owns 2,210 shares of the company’s stock worth $76,000 after buying an additional 1,356 shares during the period. Finally, NewEdge Advisors LLC lifted its stake in shares of Allegro MicroSystems by 12,315.0% during the 3rd quarter. NewEdge Advisors LLC now owns 2,483 shares of the company’s stock worth $73,000 after acquiring an additional 2,463 shares during the last quarter. Institutional investors own 56.45% of the company’s stock.

Key Headlines Impacting Allegro MicroSystems

Here are the key news stories impacting Allegro MicroSystems this week:

• Positive Sentiment: Q3 results beat expectations — Allegro reported $0.15 EPS (vs. $0.14 consensus) and $229.2M revenue (vs. ~$220.8M), with revenue up ~29% YoY; management provided revenue and EPS guidance that supported a bullish near?term outlook. GlobeNewswire: Q3 Results
• Positive Sentiment: Multiple analyst price?target raises — TD Cowen, Wells Fargo, Morgan Stanley and Jefferies raised targets (examples: TD Cowen and Wells Fargo to $45; Jefferies to $43), signaling institutional support and providing fresh upside narratives for traders. Benzinga: Analyst Coverage The Fly: TD Cowen Raise
• Positive Sentiment: Shares briefly rallied to multi?year highs on the swing to profitability and the stronger sales outlook, reflecting momentum buying after the print. MSN: Stock Jumps
• Neutral Sentiment: Company guidance is roughly in line with consensus (Q4 EPS guide $0.140–$0.18; revenue $230–240M), so while supportive, it wasn’t an unambiguous upside surprise that would guarantee further multiple expansion. MSN: Guidance Details
• Neutral Sentiment: Investors can review the company presentation and full earnings call transcript for detail on product mix and end?market exposure (automotive still dominant; data center exposure cited as a growth catalyst). Seeking Alpha: Earnings Call Transcript
• Negative Sentiment: Valuation and earnings?quality concerns — a Seeking Alpha piece warns Allegro is “pricing in green shoots” with a demanding multiple (~8x sales) and that adjusted EPS is inflated by significant stock?based compensation, suggesting true cash earnings are lower. That note likely prompted some profit?taking. Seeking Alpha: Valuation Caution

Allegro MicroSystems Company Profile

Allegro MicroSystems, Inc (NASDAQ: ALGM) is a leading designer and manufacturer of high-performance power and sensing integrated circuits. The company focuses on semiconductor solutions that enable precise motion control, energy-efficient power management and robust sensing in a wide range of applications. Allegro’s product portfolio includes Hall-effect magnetic sensors, current and position sensing ICs, motor driver and controller devices, and power management components.

Allegro MicroSystems serves major automotive, industrial and consumer markets worldwide.