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NASDAQ:ALGM

Allegro MicroSystems (ALGM) Stock Price, News & Analysis

$30.24
+1.47 (+5.11%)
(As of 05/22/2024 ET)
Today's Range
$28.99
$30.67
50-Day Range
$25.68
$30.29
52-Week Range
$23.64
$53.05
Volume
1.40 million shs
Average Volume
1.69 million shs
Market Capitalization
$5.84 billion
P/E Ratio
38.77
Dividend Yield
N/A
Price Target
$37.11

Allegro MicroSystems MarketRank™ Stock Analysis

Analyst Rating
Moderate Buy
2.88 Rating Score
Upside/​Downside
22.7% Upside
$37.11 Price Target
Short Interest
Bearish
11.54% of Float Sold Short
Dividend Strength
N/A
Sustainability
N/A
News Sentiment
1.04mentions of Allegro MicroSystems in the last 14 days
Based on 10 Articles This Week
Insider Trading
N/A
Proj. Earnings Growth
N/A

Overall MarketRank

New Rank-Based ScoringMarketRank is calculated by averaging available category scores (with extra weight given to analysis and valuation), then ranking the company's weighted average against that of other companies.

1.89 out of 5 stars

Computer And Technology Sector

431st out of 587 stocks

Semiconductors & Related Devices Industry

68th out of 87 stocks

ALGM stock logo

About Allegro MicroSystems Stock (NASDAQ:ALGM)

Allegro MicroSystems, Inc. is a leading designer and manufacturer of high-performance power and sensing semiconductors targeting the automotive and industrial markets. With over 50 years of industry experience, Allegro is known for its innovative solutions that enable advanced system performance, accuracy, and reliability.

Allegro MicroSystems was founded in 1990 and is headquartered in Manchester, New Hampshire. The company's mission is to provide innovative semiconductor solutions that improve modern industries' efficiency, safety, and sustainability. Allegro's core products include magnetic sensors, power management ICs, and motor drivers, which are used in a wide range of applications, including electric vehicles, robotics, and factory automation. The company has a global presence, with operations in the United States, Europe, and Asia.

Allegro's management team is led by Ravi Vig, who joined the company in 2019 as President and Chief Executive Officer. Vig has over 30 years of experience in the semiconductor industry, including leadership roles at Maxim Integrated and Freescale Semiconductor. Under his leadership, Allegro has strengthened its product portfolio, expanded its global footprint, and increased revenue growth.

Over the past few years, Allegro has demonstrated robust revenue growth, with revenue, net income, and gross profit margin all increasing. 

Allegro's current valuation metrics are slightly above industry peers, with a higher price-to-earnings ratio than peers. However, Allegro's strong financial performance and growth potential justify the premium valuation. In addition, the company's initial public offering was well-received by investors, reflecting positive sentiment toward Allegro's prospects.

The semiconductor industry is highly competitive, with a few dominant players, such as Texas Instruments and Analog Devices, and numerous smaller companies. However, Allegro's focus on power and sensing semiconductors for the automotive and industrial markets provides a unique competitive advantage. These markets require specialized solutions that can operate in challenging environments. Additionally, Allegro's focus on emerging technologies, such as electric vehicles and factory automation, positions the company for significant growth opportunities.

Allegro MicroSystems has several growth opportunities, including product development and expanding its reach into new markets. The company recently introduced several new products, including high-precision motor drivers, current sensors, and magnetic angle sensors, designed to meet the growing demand for advanced sensor technology. These products are well-positioned to benefit from the increasing adoption of electric vehicles, which require advanced sensor technology for safe and efficient operation.

In addition to expanding its product line, Allegro MicroSystems is also looking to expand its reach into new markets. The company has a strong presence in the automotive market but is also targeting the industrial and consumer electronics markets. By expanding its reach into these markets, Allegro MicroSystems can diversify its revenue streams and reduce its dependence on one market.

Allegro MicroSystems faces risks and challenges that could impact its future growth and profitability. One of the primary risks is the competitive nature of the semiconductor industry. Allegro MicroSystems faces intense competition from more established competitors, such as Texas Instruments and Analog Devices. These competitors have more significant resources and a more extensive customer base, which could make it challenging for Allegro MicroSystems to compete effectively.

Another risk is the potential for more supply chain disruptions. The semiconductor industry has been grappling with a global chip shortage, which has led to production delays and increased costs for many companies. Allegro MicroSystems could face similar challenges if it cannot secure adequate supplies of key components.

Allegro MicroSystems operates in a highly regulated industry, which could expose it to regulatory risks. Any changes in regulations related to data privacy, environmental regulations, or trade policies could have a significant impact on the company's operations and profitability.

ALGM Stock Price History

ALGM Stock News Headlines

Q4 2024 Allegro Microsystems Inc Earnings Call
What Wall Street expects from Allegro Microsystems's earnings
Allegro MicroSystems Stock: I Am Still Cautious
Allegro MicroSystems, Inc. (ALGM)
See More Headlines
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Company Calendar

Last Earnings
10/27/2021
Today
5/23/2024
Next Earnings (Estimated)
8/06/2024
Fiscal Year End
3/31/2025

Industry, Sector and Symbol

Industry
Semiconductors & related devices
Sub-Industry
N/A
Current Symbol
NASDAQ:ALGM
Employees
4,687
Year Founded
N/A

Price Target and Rating

Average Stock Price Target
$37.11
High Stock Price Target
$60.00
Low Stock Price Target
$32.00
Potential Upside/Downside
+22.7%
Consensus Rating
Moderate Buy
Rating Score (0-4)
2.88
Research Coverage
8 Analysts

Profitability

Net Income
$152.70 million
Pretax Margin
18.56%

Debt

Sales & Book Value

Annual Sales
$1.05 billion
Cash Flow
$1.53 per share
Book Value
$5.86 per share

Miscellaneous

Free Float
174,393,000
Market Cap
$5.84 billion
Optionable
Optionable
Beta
1.72
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ALGM Stock Analysis - Frequently Asked Questions

Should I buy or sell Allegro MicroSystems stock right now?

8 Wall Street equities research analysts have issued "buy," "hold," and "sell" ratings for Allegro MicroSystems in the last year. There are currently 1 hold rating and 7 buy ratings for the stock. The consensus among Wall Street equities research analysts is that investors should "moderate buy" ALGM shares.
View ALGM analyst ratings
or view top-rated stocks.

What is Allegro MicroSystems' stock price target for 2024?

8 Wall Street analysts have issued twelve-month price objectives for Allegro MicroSystems' stock. Their ALGM share price targets range from $32.00 to $60.00. On average, they expect the company's share price to reach $37.11 in the next twelve months. This suggests a possible upside of 22.7% from the stock's current price.
View analysts price targets for ALGM
or view top-rated stocks among Wall Street analysts.

How have ALGM shares performed in 2024?

Allegro MicroSystems' stock was trading at $30.27 on January 1st, 2024. Since then, ALGM shares have decreased by 0.1% and is now trading at $30.24.
View the best growth stocks for 2024 here
.

When is Allegro MicroSystems' next earnings date?

The company is scheduled to release its next quarterly earnings announcement on Tuesday, August 6th 2024.
View our ALGM earnings forecast
.

How were Allegro MicroSystems' earnings last quarter?

Allegro MicroSystems, Inc. (NASDAQ:ALGM) issued its earnings results on Wednesday, October, 27th. The company reported $0.20 EPS for the quarter, topping analysts' consensus estimates of $0.18 by $0.02. The firm had revenue of $193.60 million for the quarter, compared to analysts' expectations of $188.04 million. Allegro MicroSystems had a net margin of 14.55% and a trailing twelve-month return on equity of 20.67%. The company's revenue was up 41.6% compared to the same quarter last year. During the same period in the prior year, the business posted $1.78 EPS.

What guidance has Allegro MicroSystems issued on next quarter's earnings?

Allegro MicroSystems issued an update on its first quarter 2025 earnings guidance on Thursday, May, 9th. The company provided earnings per share (EPS) guidance of 0.010-0.030 for the period, compared to the consensus EPS estimate of 0.170. The company issued revenue guidance of $160.0 million-$170.0 million, compared to the consensus revenue estimate of $214.3 million.

When did Allegro MicroSystems IPO?

Allegro MicroSystems (ALGM) raised $325 million in an IPO on Thursday, October 29th 2020. The company issued 25,000,000 shares at a price of $12.00-$14.00 per share. Barclays, Credit Suisse and Wells Fargo Securities acted as the underwriters for the IPO and Jefferies, Mizuho Securities, Needham & Co. and SMBC Nikko were co-managers.

Who are Allegro MicroSystems' major shareholders?

Allegro MicroSystems' stock is owned by a number of retail and institutional investors. Top institutional shareholders include Vanguard Group Inc. (4.35%), Clearbridge Investments LLC (1.93%), Allspring Global Investments Holdings LLC (1.27%), Allspring Global Investments Holdings LLC (1.27%), Principal Financial Group Inc. (1.13%) and 1832 Asset Management L.P. (0.51%). Insiders that own company stock include Christopher Brown, Derek D'antilio, Joanne Valente, Joseph R Martin, Max R Glover, Michael Doogue, Noriharu Fujita, Paul V Walsh Jr, Paul V Walsh, Jr, Ravi Vig, Richard R Lury, Skna LP Oep, Susan D Lynch, Thomas C Jr Teebagy and Vineet A Nargolwala.
View institutional ownership trends
.

How do I buy shares of Allegro MicroSystems?

Shares of ALGM stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.
Compare Top Brokerages Here.

This page (NASDAQ:ALGM) was last updated on 5/23/2024 by MarketBeat.com Staff

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