Wells Fargo & Company Forecasts Strong Price Appreciation for Allegro MicroSystems (NASDAQ:ALGM) Stock

Allegro MicroSystems (NASDAQ:ALGM - Get Free Report) had its price objective upped by analysts at Wells Fargo & Company from $26.00 to $33.00 in a research note issued to investors on Monday,Benzinga reports. The brokerage currently has an "overweight" rating on the stock. Wells Fargo & Company's price objective indicates a potential upside of 7.53% from the stock's previous close.

A number of other research analysts also recently weighed in on the company. Morgan Stanley raised their price target on Allegro MicroSystems from $23.00 to $25.00 and gave the company an "equal weight" rating in a research note on Monday, June 9th. Bank of America began coverage on shares of Allegro MicroSystems in a report on Monday. They issued a "buy" rating and a $38.00 target price on the stock. Barclays boosted their price target on Allegro MicroSystems from $22.00 to $23.00 and gave the stock an "overweight" rating in a research report on Friday, May 9th. Mizuho raised their price objective on Allegro MicroSystems from $28.00 to $31.00 and gave the company an "outperform" rating in a research report on Monday, March 24th. Finally, UBS Group increased their price target on Allegro MicroSystems from $22.00 to $25.00 and gave the company a "buy" rating in a research note on Friday, May 9th. One research analyst has rated the stock with a hold rating and seven have issued a buy rating to the stock. According to MarketBeat, Allegro MicroSystems presently has an average rating of "Moderate Buy" and a consensus price target of $30.00.

Allegro MicroSystems Stock Up 7.1%

NASDAQ ALGM traded up $2.04 during trading on Monday, hitting $30.69. The stock had a trading volume of 274,173 shares, compared to its average volume of 3,074,856. Allegro MicroSystems has a 12 month low of $16.38 and a 12 month high of $33.26. The company has a debt-to-equity ratio of 0.40, a quick ratio of 3.00 and a current ratio of 4.91. The company's 50-day moving average price is $23.40 and its two-hundred day moving average price is $23.78. The company has a market capitalization of $5.67 billion, a PE ratio of -87.68 and a beta of 1.67.

Allegro MicroSystems (NASDAQ:ALGM - Get Free Report) last announced its earnings results on Thursday, May 8th. The company reported $0.06 EPS for the quarter, topping the consensus estimate of $0.05 by $0.01. Allegro MicroSystems had a negative net margin of 8.45% and a positive return on equity of 4.31%. The business had revenue of $192.82 million during the quarter, compared to analysts' expectations of $185.35 million. During the same quarter in the prior year, the company posted $0.25 earnings per share. The firm's revenue was down 19.9% on a year-over-year basis. As a group, sell-side analysts forecast that Allegro MicroSystems will post 0.01 EPS for the current year.

Hedge Funds Weigh In On Allegro MicroSystems

A number of hedge funds and other institutional investors have recently made changes to their positions in ALGM. Invesco Ltd. boosted its stake in shares of Allegro MicroSystems by 131.5% in the 1st quarter. Invesco Ltd. now owns 4,835,641 shares of the company's stock valued at $121,520,000 after purchasing an additional 2,746,880 shares during the last quarter. Kodai Capital Management LP acquired a new position in Allegro MicroSystems in the first quarter valued at $41,610,000. Schonfeld Strategic Advisors LLC bought a new stake in Allegro MicroSystems during the fourth quarter valued at $35,433,000. Paloma Partners Management Co raised its position in shares of Allegro MicroSystems by 312.8% in the 4th quarter. Paloma Partners Management Co now owns 2,103,800 shares of the company's stock worth $45,989,000 after acquiring an additional 1,594,170 shares in the last quarter. Finally, Segall Bryant & Hamill LLC acquired a new position in shares of Allegro MicroSystems in the 1st quarter valued at about $32,959,000. 56.45% of the stock is owned by institutional investors and hedge funds.

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.

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