Bank of America Forecasts Strong Price Appreciation for Allegro MicroSystems (NASDAQ:ALGM) Stock

Allegro MicroSystems (NASDAQ:ALGM - Get Free Report) had its target price upped by equities research analysts at Bank of America from $38.00 to $45.00 in a research report issued on Thursday,Benzinga reports. The brokerage presently has an "action list buy" rating on the stock. Bank of America's target price would suggest a potential upside of 19.97% from the stock's current price.

Several other equities analysts have also recently issued reports on the company. Mizuho boosted their target price on Allegro MicroSystems from $31.00 to $37.00 and gave the stock an "outperform" rating in a research report on Tuesday. UBS Group upped their price target on Allegro MicroSystems from $35.00 to $42.00 and gave the stock a "buy" rating in a report on Monday. Morgan Stanley upped their price target on Allegro MicroSystems from $23.00 to $25.00 and gave the stock an "equal weight" rating in a report on Monday, June 9th. Needham & Company LLC lowered their target price on Allegro MicroSystems from $30.00 to $25.00 and set a "buy" rating on the stock in a report on Friday, May 9th. Finally, Wells Fargo & Company reiterated an "overweight" rating and set a $33.00 target price (up previously from $26.00) on shares of Allegro MicroSystems in a report on Monday, June 16th. One research analyst has rated the stock with a hold rating, six have issued a buy rating and one has assigned a strong buy rating to the company's stock. According to data from MarketBeat, the stock has an average rating of "Buy" and a consensus target price of $32.50.

Allegro MicroSystems Stock Up 1.7%

Shares of NASDAQ:ALGM traded up $0.62 on Thursday, hitting $37.51. 3,996,576 shares of the company's stock were exchanged, compared to its average volume of 2,680,981. The firm's 50-day moving average is $28.84 and its 200 day moving average is $25.35. The company has a market capitalization of $6.94 billion, a PE ratio of -96.18 and a beta of 1.75. Allegro MicroSystems has a 1-year low of $16.38 and a 1-year high of $38.42. The company has a debt-to-equity ratio of 0.37, a quick ratio of 2.66 and a current ratio of 4.30.

Allegro MicroSystems (NASDAQ:ALGM - Get Free Report) last released its quarterly earnings data on Thursday, May 8th. The company reported $0.06 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.05 by $0.01. Allegro MicroSystems had a positive return on equity of 1.04% and a negative net margin of 10.07%. The business had revenue of $192.82 million during the quarter, compared to analysts' expectations of $185.35 million. During the same period in the prior year, the firm posted $0.25 EPS. The business's quarterly revenue was down 19.9% compared to the same quarter last year. Sell-side analysts predict that Allegro MicroSystems will post 0.01 EPS for the current year.

Institutional Investors Weigh In On Allegro MicroSystems

Several hedge funds have recently made changes to their positions in ALGM. Victory Capital Management Inc. boosted its holdings in shares of Allegro MicroSystems by 25.7% during the fourth quarter. Victory Capital Management Inc. now owns 39,536 shares of the company's stock worth $864,000 after purchasing an additional 8,075 shares during the last quarter. M&T Bank Corp boosted its holdings in shares of Allegro MicroSystems by 8.3% during the fourth quarter. M&T Bank Corp now owns 35,503 shares of the company's stock worth $776,000 after purchasing an additional 2,729 shares during the last quarter. Arizona State Retirement System boosted its holdings in shares of Allegro MicroSystems by 7.6% during the fourth quarter. Arizona State Retirement System now owns 37,293 shares of the company's stock worth $815,000 after purchasing an additional 2,645 shares during the last quarter. Raymond James Financial Inc. acquired a new stake in shares of Allegro MicroSystems during the fourth quarter worth $15,145,000. Finally, Wealthfront Advisers LLC acquired a new stake in shares of Allegro MicroSystems during the fourth quarter worth $2,919,000. Institutional investors and hedge funds own 56.45% of the company's stock.

Allegro MicroSystems Company Profile

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.