Allegro MicroSystems (NASDAQ:ALGM) Price Target Raised to $37.00

Key Points

• Analysts at Needham & Company LLC have raised their price target for Allegro MicroSystems from $25.00 to $37.00, indicating a potential upside of 17.80% from the stock's previous close.
• Multiple firms, including UBS and Bank of America, have also increased their price targets for Allegro MicroSystems, with Bank of America setting a new target at $45.00.
• The company reported earnings of $0.09 per share for the last quarter, meeting analyst expectations, while revenue increased by 21.9% compared to the same quarter last year.

Allegro MicroSystems (NASDAQ:ALGM - Get Free Report) had its target price upped by analysts at Needham & Company LLC from $25.00 to $37.00 in a report issued on Thursday,Benzinga reports. The firm currently has a "buy" rating on the stock. Needham & Company LLC's target price suggests a potential upside of 17.80% from the stock's previous close.

Several other research analysts have also issued reports on the stock. UBS Group increased their price target on shares of Allegro MicroSystems from $35.00 to $42.00 and gave the stock a "buy" rating in a research note on Monday, July 7th. Bank of America raised their price objective on shares of Allegro MicroSystems from $38.00 to $45.00 and gave the company an "action list buy" rating in a research note on Thursday, July 10th. Barclays raised their price objective on shares of Allegro MicroSystems from $22.00 to $23.00 and gave the company an "overweight" rating in a research note on Friday, May 9th. Morgan Stanley raised their price objective on shares of Allegro MicroSystems from $23.00 to $25.00 and gave the company an "equal weight" rating in a research note on Monday, June 9th. Finally, Mizuho raised their price objective on shares of Allegro MicroSystems from $31.00 to $37.00 and gave the company an "outperform" rating in a research note on Tuesday, July 8th. One analyst has rated the stock with a hold rating, six have issued a buy rating and one has given a strong buy rating to the stock. According to MarketBeat.com, the company currently has an average rating of "Buy" and a consensus target price of $35.13.

Allegro MicroSystems Trading Down 7.3%

NASDAQ:ALGM opened at $31.41 on Thursday. The company has a 50-day moving average price of $32.15 and a 200-day moving average price of $26.60. Allegro MicroSystems has a 12 month low of $16.38 and a 12 month high of $38.45. The company has a current ratio of 4.30, a quick ratio of 2.66 and a debt-to-equity ratio of 0.37. The stock has a market cap of $5.81 billion, a price-to-earnings ratio of -80.54 and a beta of 1.75.

Allegro MicroSystems (NASDAQ:ALGM - Get Free Report) last issued its quarterly earnings results on Thursday, July 31st. The company reported $0.09 earnings per share (EPS) for the quarter, hitting the consensus estimate of $0.09. The company had revenue of $203.41 million during the quarter, compared to analyst estimates of $197.82 million. Allegro MicroSystems had a negative net margin of 10.07% and a positive return on equity of 1.04%. Allegro MicroSystems's quarterly revenue was up 21.9% compared to the same quarter last year. During the same period last year, the business earned $0.03 EPS. Equities analysts predict that Allegro MicroSystems will post 0.01 EPS for the current year.

Hedge Funds Weigh In On Allegro MicroSystems

Several hedge funds have recently modified their holdings of ALGM. Norges Bank purchased a new position in shares of Allegro MicroSystems in the fourth quarter worth $26,926,000. Pictet Asset Management Holding SA lifted its holdings in shares of Allegro MicroSystems by 10.6% in the fourth quarter. Pictet Asset Management Holding SA now owns 17,653 shares of the company's stock worth $386,000 after buying an additional 1,687 shares in the last quarter. Schroder Investment Management Group increased its position in Allegro MicroSystems by 2.4% in the fourth quarter. Schroder Investment Management Group now owns 441,623 shares of the company's stock worth $9,530,000 after purchasing an additional 10,155 shares during the last quarter. Wellington Management Group LLP increased its position in Allegro MicroSystems by 30.5% in the fourth quarter. Wellington Management Group LLP now owns 3,993,682 shares of the company's stock worth $87,302,000 after purchasing an additional 934,048 shares during the last quarter. Finally, Alliancebernstein L.P. increased its position in Allegro MicroSystems by 183.1% in the fourth quarter. Alliancebernstein L.P. now owns 528,173 shares of the company's stock worth $11,546,000 after purchasing an additional 341,627 shares during the last quarter. Hedge funds and other 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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