Allegro MicroSystems, Inc. (NASDAQ:ALGM) Receives Average Recommendation of “Buy” from Analysts

Allegro MicroSystems, Inc. (NASDAQ:ALGM) has earned a consensus recommendation of “Buy” from the eight ratings firms that are currently covering the stock, Marketbeat Ratings reports. Eight analysts have rated the stock with a buy recommendation. The average 12 month price target among analysts that have issued a report on the stock in the last year is $34.50.

A number of research firms recently weighed in on ALGM. UBS Group initiated coverage on shares of Allegro MicroSystems in a research report on Tuesday, September 3rd. They set a “buy” rating and a $33.00 price target on the stock. Needham & Company LLC reissued a “buy” rating and set a $33.00 price objective on shares of Allegro MicroSystems in a research report on Friday, August 2nd.

Insider Activity

In related news, major shareholder Electric Co. Ltd. Sanken sold 10,017,315 shares of the business’s stock in a transaction on Wednesday, August 7th. The stock was sold at an average price of $23.16, for a total transaction of $232,001,015.40. Following the completion of the transaction, the insider now directly owns 59,732,782 shares of the company’s stock, valued at $1,383,411,231.12. The trade was a 0.00 % decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Insiders own 0.50% of the company’s stock.

Institutional Investors Weigh In On Allegro MicroSystems

A number of large investors have recently modified their holdings of the company. Versant Capital Management Inc increased its holdings in Allegro MicroSystems by 1,957.1% in the second quarter. Versant Capital Management Inc now owns 1,152 shares of the company’s stock valued at $33,000 after buying an additional 1,096 shares during the last quarter. Pineridge Advisors LLC acquired a new position in Allegro MicroSystems in the fourth quarter valued at approximately $49,000. GAMMA Investing LLC increased its stake in Allegro MicroSystems by 52.2% in the second quarter. GAMMA Investing LLC now owns 1,759 shares of the company’s stock valued at $50,000 after purchasing an additional 603 shares during the last quarter. CWM LLC raised its holdings in Allegro MicroSystems by 27.7% during the second quarter. CWM LLC now owns 4,241 shares of the company’s stock worth $120,000 after purchasing an additional 921 shares in the last quarter. Finally, Oppenheimer Asset Management Inc. purchased a new stake in shares of Allegro MicroSystems during the 2nd quarter worth approximately $211,000. 56.45% of the stock is owned by hedge funds and other institutional investors.

Allegro MicroSystems Stock Performance

NASDAQ ALGM opened at $21.59 on Tuesday. The company has a current ratio of 4.65, a quick ratio of 2.98 and a debt-to-equity ratio of 0.18. The stock has a market capitalization of $4.18 billion, a price-to-earnings ratio of 27.68 and a beta of 1.67. The stock has a 50-day moving average of $22.90 and a 200 day moving average of $26.45. Allegro MicroSystems has a twelve month low of $19.82 and a twelve month high of $33.26.

Allegro MicroSystems (NASDAQ:ALGM) last released its quarterly earnings results on Thursday, August 1st. The company reported $0.03 earnings per share for the quarter, topping the consensus estimate of $0.02 by $0.01. The firm had revenue of $166.90 million during the quarter, compared to the consensus estimate of $165.04 million. Allegro MicroSystems had a net margin of 7.91% and a return on equity of 13.88%. The company’s revenue for the quarter was down 40.0% on a year-over-year basis. During the same quarter in the prior year, the firm earned $0.34 EPS. Sell-side analysts anticipate that Allegro MicroSystems will post 0.16 EPS for the current fiscal year.

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.