Allegro MicroSystems (NASDAQ:ALGM) Issues Earnings Results, Meets Estimates

Key Points

• Allegro MicroSystems reported an EPS of $0.09, meeting analysts' estimates, and achieved $203.41 million in revenue, surpassing expectations.
• The company updated its Q2 2026 guidance to a projected EPS of $0.100-$0.140.
• Analyst ratings for Allegro MicroSystems show a mix of target price increases and an overall rating of "Buy," with an average target price of $37.56.

Allegro MicroSystems (NASDAQ:ALGM - Get Free Report) issued its earnings results on Thursday. The company reported $0.09 EPS for the quarter, hitting analysts' consensus estimates of $0.09, Briefing.com reports. The company had revenue of $203.41 million for the quarter, compared to analysts' expectations of $197.82 million. Allegro MicroSystems had a negative net margin of 9.00% and a positive return on equity of 2.09%. The firm's revenue was up 21.9% compared to the same quarter last year. During the same quarter last year, the company earned $0.03 EPS. Allegro MicroSystems updated its Q2 2026 guidance to 0.100-0.140 EPS.

Allegro MicroSystems Trading Down 0.5%

Shares of ALGM traded down $0.15 during trading hours on Friday, reaching $31.26. 2,066,190 shares of the company traded hands, compared to its average volume of 2,277,904. The company's fifty day moving average price is $32.27 and its two-hundred day moving average price is $26.66. The company has a market capitalization of $5.78 billion, a price-to-earnings ratio of -84.48 and a beta of 1.74. The company has a quick ratio of 2.66, a current ratio of 3.70 and a debt-to-equity ratio of 0.34. Allegro MicroSystems has a 12 month low of $16.38 and a 12 month high of $38.45.

Analyst Ratings Changes

ALGM has been the topic of a number of analyst reports. Morgan Stanley decreased their target price on shares of Allegro MicroSystems from $38.00 to $35.00 and set an "equal weight" rating on the stock in a research report on Friday. Needham & Company LLC raised their price target on shares of Allegro MicroSystems from $25.00 to $37.00 and gave the stock a "buy" rating in a report on Thursday. Mizuho raised their price target on shares of Allegro MicroSystems from $37.00 to $40.00 and gave the stock an "outperform" rating in a report on Friday. Barclays raised their price target on shares of Allegro MicroSystems from $23.00 to $30.00 and gave the stock an "overweight" rating in a report on Friday. Finally, Bank of America raised their price target on shares of Allegro MicroSystems from $38.00 to $45.00 and gave the stock an "action list buy" rating in a report on Thursday, July 10th. One research analyst has rated the stock with a hold rating, seven have assigned a buy rating and one has assigned a strong buy rating to the company. According to MarketBeat.com, the stock has an average rating of "Buy" and an average target price of $37.56.

Institutional Investors Weigh In On Allegro MicroSystems

Large investors have recently modified their holdings of the stock. AQR Capital Management LLC purchased a new position in Allegro MicroSystems during the 1st quarter valued at about $325,000. Royal Bank of Canada lifted its position in Allegro MicroSystems by 70.0% during the 1st quarter. Royal Bank of Canada now owns 117,923 shares of the company's stock valued at $2,964,000 after acquiring an additional 48,554 shares during the period. Finally, UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its position in Allegro MicroSystems by 31.8% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 354,610 shares of the company's stock valued at $8,911,000 after acquiring an additional 85,607 shares during the period. Institutional investors own 56.45% of the company's stock.

About Allegro MicroSystems

Allegro MicroSystems, Inc, together with its subsidiaries, designs, develops, manufactures, and markets sensor integrated circuits (ICs) and application-specific analog power ICs for motion control and energy-efficient systems. Its products include magnetic sensor ICs, such as position, speed, and current sensor ICs; and power ICs comprising motor driver ICs, regulator and LED driver ICs, and isolated gate drivers.

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