Allegro MicroSystems (ALGM) Competitors

Allegro MicroSystems (NASDAQ:ALGM) and Rambus (NASDAQ:RMBS) are both mid-cap computer and technology companies, but which is the better business? We will contrast the two companies based on the strength of their community ranking, valuation, earnings, analyst recommendations, institutional ownership, dividends, profitability, media sentiment and risk.

Is ALGM or RMBS more profitable?

Allegro MicroSystems has a net margin of 19.83% compared to Rambus' net margin of 11.76%. Allegro MicroSystems' return on equity of 22.37% beat Rambus' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Allegro MicroSystems	19.83%	22.37%	18.45%
Rambus	11.76%	21.75%	16.78%

Does the MarketBeat Community prefer ALGM or RMBS?

Rambus received 339 more outperform votes than Allegro MicroSystems when rated by MarketBeat users. However, 62.50% of users gave Allegro MicroSystems an outperform vote while only 61.43% of users gave Rambus an outperform vote.

Company	Underperform	Outperform
Allegro MicroSystems	Outperform Votes 40 62.50%	Underperform Votes 24 37.50%
Rambus	Outperform Votes 379 61.43%	Underperform Votes 238 38.57%

Do institutionals & insiders believe in ALGM or RMBS?

46.9% of Allegro MicroSystems shares are owned by institutional investors. Comparatively, 86.0% of Rambus shares are owned by institutional investors. 13.6% of Allegro MicroSystems shares are owned by insiders. Comparatively, 1.0% of Rambus shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Which has stronger valuation & earnings, ALGM or RMBS?

Allegro MicroSystems has higher revenue and earnings than Rambus. Allegro MicroSystems is trading at a lower price-to-earnings ratio than Rambus, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Allegro MicroSystems	$973.65 million	7.78	$187.36 million	$0.96	41.13
Rambus	$454.79 million	15.28	-$14.31 million	$0.49	130.33

Does the media favor ALGM or RMBS?

In the previous week, Rambus had 2 more articles in the media than Allegro MicroSystems. MarketBeat recorded 8 mentions for Rambus and 6 mentions for Allegro MicroSystems. Allegro MicroSystems' average media sentiment score of 1.37 beat Rambus' score of 0.81 indicating that Allegro MicroSystems is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Allegro MicroSystems	5 Very Positive mention(s)	1 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Rambus	5 Very Positive mention(s)	1 Positive mention(s)	1 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive

Do analysts recommend ALGM or RMBS?

Allegro MicroSystems presently has a consensus price target of $48.33, suggesting a potential upside of 22.42%. Rambus has a consensus price target of $55.17, suggesting a potential downside of 13.61%. Given Allegro MicroSystems' stronger consensus rating and higher possible upside, analysts clearly believe Allegro MicroSystems is more favorable than Rambus.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Allegro MicroSystems	0 Sell rating(s)	0 Hold rating(s)	5 Buy rating(s)	0 Strong Buy rating(s)	3.00
Rambus	0 Sell rating(s)	1 Hold rating(s)	5 Buy rating(s)	0 Strong Buy rating(s)	2.83

Which has more volatility & risk, ALGM or RMBS?

Allegro MicroSystems has a beta of 1.69, suggesting that its stock price is 69% more volatile than the S&P 500. Comparatively, Rambus has a beta of 1.31, suggesting that its stock price is 31% more volatile than the S&P 500.

Summary

Allegro MicroSystems beats Rambus on 12 of the 17 factors compared between the two stocks.