Wall Street Zen Upgrades Allegro MicroSystems (NASDAQ:ALGM) to “Buy”

Allegro MicroSystems (NASDAQ:ALGM) was upgraded by Wall Street Zen from a “hold” rating to a “buy” rating in a research report issued on Sunday.

Several other analysts have also commented on the stock. Jefferies Financial Group reaffirmed a “buy” rating and set a $62.00 price target on shares of Allegro MicroSystems in a research report on Thursday, May 7th. Needham & Company LLC increased their price objective on Allegro MicroSystems from $55.00 to $57.00 and gave the stock a “buy” rating in a research report on Thursday, July 30th. Wells Fargo & Company raised their target price on Allegro MicroSystems from $48.00 to $56.00 and gave the stock an “overweight” rating in a research note on Friday, May 8th. Weiss Ratings restated a “sell (d-)” rating on shares of Allegro MicroSystems in a research report on Wednesday, May 6th. Finally, Evercore reiterated an “outperform” rating and set a $53.00 price target on shares of Allegro MicroSystems in a report on Friday, May 8th. Nine research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and an average target price of $52.80.

Allegro MicroSystems Trading Up 0.0%

Shares of ALGM stock opened at $41.52 on Friday. The company has a current ratio of 3.70, a quick ratio of 2.33 and a debt-to-equity ratio of 0.30. Allegro MicroSystems has a twelve month low of $22.41 and a twelve month high of $71.77. The company’s 50-day moving average price is $51.73 and its 200-day moving average price is $42.74. The stock has a market cap of $7.74 billion, a price-to-earnings ratio of 692.12, a PEG ratio of 1.10 and a beta of 1.94.

Allegro MicroSystems (NASDAQ:ALGM) last issued its earnings results on Thursday, July 30th. The company reported $0.23 EPS for the quarter, topping analysts’ consensus estimates of $0.21 by $0.02. The company had revenue of $259.24 million for the quarter, compared to the consensus estimate of $251.44 million. Allegro MicroSystems had a net margin of 1.50% and a return on equity of 8.30%. During the same period in the previous year, the firm earned $0.09 earnings per share. Allegro MicroSystems’s quarterly revenue was up 27.5% compared to the same quarter last year. Allegro MicroSystems has set its Q2 2027 guidance at 0.230-0.260 EPS. As a group, equities analysts predict that Allegro MicroSystems will post 0.77 earnings per share for the current year.

Insider Buying and Selling

In related news, CAO Roald Graham Webster sold 5,217 shares of the stock in a transaction dated Thursday, May 21st. The stock was sold at an average price of $44.88, for a total transaction of $234,138.96. Following the transaction, the chief accounting officer owned 13,106 shares of the company’s stock, valued at approximately $588,197.28. This represents a 28.47% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Susan D. Lynch sold 16,711 shares of the firm’s stock in a transaction dated Thursday, May 14th. The shares were sold at an average price of $45.46, for a total value of $759,682.06. Following the transaction, the director owned 12,805 shares of the company’s stock, valued at $582,115.30. This trade represents a 56.62% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 68,607 shares of company stock valued at $3,213,714 over the last quarter. 0.50% of the stock is owned by corporate insiders.

Institutional Trading of Allegro MicroSystems

Several hedge funds have recently made changes to their positions in the business. Bank of America Corp DE boosted its stake in shares of Allegro MicroSystems by 136.6% in the 3rd quarter. Bank of America Corp DE now owns 952,679 shares of the company’s stock valued at $27,818,000 after buying an additional 3,556,410 shares during the period. Invesco Ltd. increased its stake in shares of Allegro MicroSystems by 44.0% during the fourth quarter. Invesco Ltd. now owns 7,651,051 shares of the company’s stock worth $201,835,000 after buying an additional 2,338,624 shares during the period. Alliancebernstein L.P. raised its holdings in Allegro MicroSystems by 189.4% in the second 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. Norges Bank acquired a new stake in Allegro MicroSystems in the fourth quarter valued at approximately $38,457,000. Finally, Adage Capital Partners GP L.L.C. lifted its stake in Allegro MicroSystems by 77.8% in 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. Institutional investors and hedge funds own 56.45% of the company’s stock.

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.