Allegro MicroSystems (NASDAQ:ALGM) Stock Price Down 7.2% - What's Next?

Shares of Allegro MicroSystems, Inc. (NASDAQ:ALGM - Get Free Report) dropped 7.2% during trading on Wednesday . The company traded as low as $34.00 and last traded at $33.63. Approximately 214,374 shares changed hands during mid-day trading, a decline of 92% from the average daily volume of 2,696,568 shares. The stock had previously closed at $36.24.

Wall Street Analysts Forecast Growth

ALGM has been the subject of a number of research reports. Mizuho lifted their target price on Allegro MicroSystems from $31.00 to $37.00 and gave the company an "outperform" rating in a research note on Tuesday, July 8th. Bank of America lifted their target price on 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. UBS Group lifted their target price on Allegro MicroSystems from $35.00 to $42.00 and gave the company a "buy" rating in a research note on Monday, July 7th. Barclays lifted their target price on Allegro MicroSystems from $22.00 to $23.00 and gave the company an "overweight" rating in a research note on Friday, May 9th. Finally, Needham & Company LLC decreased their target price on Allegro MicroSystems from $30.00 to $25.00 and set a "buy" rating for the company in a research note on Friday, May 9th. One investment 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 stock. According to data from MarketBeat.com, Allegro MicroSystems presently has a consensus rating of "Buy" and a consensus target price of $33.63.

Allegro MicroSystems Stock Performance

The stock has a fifty day moving average price of $31.61 and a two-hundred day moving average price of $26.34. The company has a market cap of $6.23 billion, a P/E ratio of -86.41 and a beta of 1.75. The company has a debt-to-equity ratio of 0.37, a current ratio of 4.30 and a quick ratio of 2.66.

Allegro MicroSystems (NASDAQ:ALGM - Get Free Report) last released its quarterly earnings results on Thursday, May 8th. The company reported $0.06 earnings per share for the quarter, beating analysts' consensus estimates of $0.05 by $0.01. The company had revenue of $192.82 million for the quarter, compared to analysts' expectations of $185.35 million. Allegro MicroSystems had a positive return on equity of 1.04% and a negative net margin of 10.07%. The business's revenue for the quarter was down 19.9% compared to the same quarter last year. During the same quarter in the previous year, the company posted $0.25 earnings per share. On average, equities analysts forecast that Allegro MicroSystems, Inc. will post 0.01 earnings per share for the current fiscal year.

Institutional Investors Weigh In On Allegro MicroSystems

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Schonfeld Strategic Advisors LLC bought a new stake in Allegro MicroSystems during the fourth quarter worth approximately $35,433,000. SG Americas Securities LLC bought a new stake in Allegro MicroSystems during the first quarter worth approximately $805,000. Mirae Asset Global Investments Co. Ltd. raised its holdings in Allegro MicroSystems by 18.4% during the first quarter. Mirae Asset Global Investments Co. Ltd. now owns 26,883 shares of the company's stock worth $668,000 after purchasing an additional 4,185 shares in the last quarter. Fifth Third Bancorp raised its holdings in Allegro MicroSystems by 63.7% during the first quarter. Fifth Third Bancorp now owns 1,295 shares of the company's stock worth $33,000 after purchasing an additional 504 shares in the last quarter. Finally, KLP Kapitalforvaltning AS bought a new stake in Allegro MicroSystems during the fourth quarter worth approximately $603,000. 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.