Allegro MicroSystems (NASDAQ:ALGM) Shares Gap Up – What’s Next?

Allegro MicroSystems, Inc. (NASDAQ:ALGM)’s stock price gapped up before the market opened on Tuesday . The stock had previously closed at $50.85, but opened at $54.21. Allegro MicroSystems shares last traded at $51.6870, with a volume of 116,786 shares trading hands.

Analyst Upgrades and Downgrades

Several analysts recently commented on the stock. TD Cowen dropped their price target on shares of Allegro MicroSystems from $70.00 to $66.00 and set a “buy” rating on the stock in a research report on Monday. Evercore restated an “outperform” rating and set a $53.00 target price on shares of Allegro MicroSystems in a research report on Friday, May 8th. Needham & Company LLC lifted their price target on Allegro MicroSystems from $45.00 to $55.00 and gave the company a “buy” rating in a research note on Thursday, May 7th. Jefferies Financial Group reiterated a “buy” rating and set a $62.00 price target on shares of Allegro MicroSystems in a research report on Thursday, May 7th. Finally, Wall Street Zen raised shares of Allegro MicroSystems from a “hold” rating to a “buy” rating in a research note on Sunday, June 21st. Ten analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, Allegro MicroSystems has a consensus rating of “Moderate Buy” and an average target price of $55.20.

Allegro MicroSystems Price Performance

The stock has a market capitalization of $9.68 billion, a PE ratio of -577.34 and a beta of 1.90. The stock’s 50 day moving average is $51.62 and its two-hundred day moving average is $40.86. The company has a debt-to-equity ratio of 0.30, a quick ratio of 2.21 and a current ratio of 3.45.

Allegro MicroSystems (NASDAQ:ALGM) last posted its quarterly earnings data on Thursday, May 7th. The company reported $0.17 EPS for the quarter, topping the consensus estimate of $0.16 by $0.01. Allegro MicroSystems had a positive return on equity of 6.09% and a negative net margin of 1.67%.The company had revenue of $243.19 million during the quarter, compared to analyst estimates of $235.94 million. During the same period in the previous year, the business earned $0.06 EPS. Allegro MicroSystems’s quarterly revenue was up 26.1% on a year-over-year basis. Allegro MicroSystems has set its Q1 2027 guidance at 0.190-0.230 EPS. On average, equities analysts anticipate that Allegro MicroSystems, Inc. will post 0.77 EPS for the current fiscal year.

Insider Transactions at Allegro MicroSystems

In related news, CAO Roald Graham Webster sold 5,217 shares of the business’s stock in a transaction that occurred on Thursday, May 21st. The stock was sold at an average price of $44.88, for a total transaction of $234,138.96. Following the completion of the sale, the chief accounting officer directly owned 13,106 shares in the company, valued at approximately $588,197.28. The trade was a 28.47% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Michael Doogue sold 30,089 shares of the stock in a transaction on Monday, May 11th. The shares were sold at an average price of $47.23, for a total value of $1,421,103.47. Following the completion of the transaction, the chief executive officer directly owned 252,797 shares of the company’s stock, valued at approximately $11,939,602.31. This represents a 10.64% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last three months, insiders sold 68,607 shares of company stock valued at $3,213,714. Insiders own 0.50% of the company’s stock.

Institutional Investors Weigh In On Allegro MicroSystems

A number of hedge funds have recently modified their holdings of the business. Invesco Ltd. raised its position in shares of Allegro MicroSystems by 44.0% in the fourth quarter. Invesco Ltd. now owns 7,651,051 shares of the company’s stock valued at $201,835,000 after buying an additional 2,338,624 shares during the last quarter. State Street Corp boosted its position in Allegro MicroSystems by 1.5% during the fourth quarter. State Street Corp now owns 5,359,488 shares of the company’s stock worth $141,383,000 after acquiring an additional 78,203 shares during the last quarter. Adage Capital Partners GP L.L.C. boosted its position in Allegro MicroSystems by 77.8% during the fourth quarter. Adage Capital Partners GP L.L.C. now owns 2,803,944 shares of the company’s stock worth $73,968,000 after acquiring an additional 1,227,317 shares during the last quarter. Alliancebernstein L.P. grew its stake in Allegro MicroSystems by 189.4% during the 2nd quarter. Alliancebernstein L.P. now owns 2,759,872 shares of the company’s stock valued at $94,360,000 after acquiring an additional 1,806,183 shares in the last quarter. Finally, Geode Capital Management LLC grew its stake in Allegro MicroSystems by 1.0% during the 4th quarter. Geode Capital Management LLC now owns 2,393,968 shares of the company’s stock valued at $63,165,000 after acquiring an additional 24,839 shares in the last quarter. 56.45% of the stock is currently owned by institutional investors and hedge funds.

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.