Allegro MicroSystems, Inc. (NASDAQ:ALGM) Stock Has Average Price Target of $51.58

Key Points

• Analysts remain moderately bullish: Thirteen brokerages assign Allegro MicroSystems an average “Moderate Buy” rating, with a consensus 12-month price target of $51.58. Recent actions included target increases from Needham and Morgan Stanley, although Barclays downgraded the stock to “equal weight” and Weiss Ratings issued a sell rating.
• Quarterly results exceeded expectations: Allegro reported EPS of $0.23 versus the $0.21 consensus and revenue of $259.24 million, up 27.5% year over year. Analysts expect full-year EPS of $0.65.
• Shares opened at $33.98, well below the analyst target, while institutional investors own 56.45% of the company. An Allegro senior vice president recently sold 2,285 shares, reducing their holdings by 6.85%.

Shares of Allegro MicroSystems, Inc. (NASDAQ:ALGM - Get Free Report) have earned an average rating of "Moderate Buy" from the thirteen brokerages that are currently covering the stock, Marketbeat.com reports. One equities research analyst has rated the stock with a sell rating, one has assigned a hold rating, ten have assigned a buy rating and one has issued a strong buy rating on the company. The average 1-year target price among analysts that have issued a report on the stock in the last year is $51.58.

Several brokerages have recently commented on ALGM. Needham & Company LLC boosted their target price on Allegro MicroSystems from $55.00 to $57.00 and gave the stock a "buy" rating in a report on Thursday, July 30th. Weiss Ratings cut Allegro MicroSystems from a "hold (c-)" rating to a "sell (d+)" rating in a report on Friday. Barclays cut Allegro MicroSystems from an "overweight" rating to an "equal weight" rating and set a $48.00 price target for the company. in a report on Monday, July 20th. Wall Street Zen upgraded Allegro MicroSystems from a "hold" rating to a "buy" rating in a research report on Sunday, August 2nd. Finally, Morgan Stanley boosted their price objective on Allegro MicroSystems from $51.00 to $52.00 and gave the stock an "overweight" rating in a research note on Friday, July 31st.

Insider Activity at Allegro MicroSystems

In related news, SVP Erin Hagen sold 2,285 shares of Allegro MicroSystems stock in a transaction dated Monday, August 10th. The stock was sold at an average price of $44.39, for a total value of $101,431.15. Following the completion of the transaction, the senior vice president directly owned 31,052 shares of the company's stock, valued at $1,378,398.28. The trade was a 6.85% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Insiders own 0.50% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Parallel Advisors LLC increased its position in Allegro MicroSystems by 42.8% in the 1st quarter. Parallel Advisors LLC now owns 1,008 shares of the company's stock valued at $32,000 after acquiring an additional 302 shares in the last quarter. SBI Securities Co. Ltd. raised its stake in shares of Allegro MicroSystems by 17.4% in the third quarter. SBI Securities Co. Ltd. now owns 2,059 shares of the company's stock worth $75,000 after acquiring an additional 305 shares during the last quarter. Signaturefd LLC raised its stake in shares of Allegro MicroSystems by 51.3% in the third quarter. Signaturefd LLC now owns 1,070 shares of the company's stock worth $39,000 after acquiring an additional 363 shares during the last quarter. Transamerica Financial Advisors LLC acquired a new position in shares of Allegro MicroSystems during the second quarter worth approximately $27,000. Finally, Rakuten Securities Inc. acquired a new position in shares of Allegro MicroSystems during the second quarter worth approximately $31,000. Institutional investors and hedge funds own 56.45% of the company's stock.

Allegro MicroSystems Stock Up 5.1%

Shares of ALGM stock opened at $33.98 on Wednesday. Allegro MicroSystems has a 12-month low of $22.41 and a 12-month high of $71.77. The company has a market capitalization of $6.33 billion, a P/E ratio of 566.43 and a beta of 1.99. The firm has a 50-day moving average price of $35.41 and a 200 day moving average price of $40.63.

Allegro MicroSystems (NASDAQ:ALGM - Get Free Report) last released its quarterly earnings results on Thursday, July 30th. The company reported $0.23 EPS for the quarter, beating analysts' consensus estimates of $0.21 by $0.02. The firm had revenue of $259.24 million during the quarter, compared to analyst estimates of $251.44 million. Allegro MicroSystems's quarterly revenue was up 27.5% on a year-over-year basis. During the same quarter last year, the firm earned $0.09 earnings per share. Allegro MicroSystems has set its Q2 2027 guidance at 0.230-0.260 EPS. As a group, research analysts expect that Allegro MicroSystems will post 0.65 earnings per share for the current year.

Allegro MicroSystems Company Profile

Allegro MicroSystems, Inc is a semiconductor company that develops and manufactures magnetic sensing and power-management solutions. Its products are designed to help monitor motion, position, speed, current and temperature, as well as control power in electronic systems.

The company's portfolio includes Hall-effect and other magnetic sensors, current sensors, motor drivers, regulators, LED drivers and related integrated circuits. These products are used in automotive applications such as advanced driver-assistance systems, vehicle electrification, powertrain systems, comfort features and safety systems, as well as in industrial and consumer equipment.

Founded in 1990 and headquartered in Manchester, New Hampshire, Allegro serves customers globally through its international operations and distribution network.

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