Allegro MicroSystems (NASDAQ:ALGM) Cut to “Hold” at Wall Street Zen

Allegro MicroSystems (NASDAQ:ALGM) was downgraded by investment analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a report released on Saturday.

A number of other equities analysts have also recently weighed in on ALGM. Needham & Company LLC upped their price target on Allegro MicroSystems from $45.00 to $55.00 and gave the stock a “buy” rating in a report on Thursday, May 7th. Wells Fargo & Company upped their price target on Allegro MicroSystems from $48.00 to $56.00 and gave the stock an “overweight” rating in a report on Friday, May 8th. Mizuho upped their price target on Allegro MicroSystems from $44.00 to $54.00 and gave the stock an “outperform” rating in a report on Friday, May 8th. Barclays upped their price target on Allegro MicroSystems from $46.00 to $48.00 and gave the stock an “overweight” rating in a report on Friday, May 8th. Finally, Evercore restated an “outperform” rating and issued a $53.00 price target on shares of Allegro MicroSystems in a report on Friday, May 8th. Ten investment analysts have rated the stock with a Buy rating, one has given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $51.80.

Allegro MicroSystems Stock Up 5.1%

Shares of NASDAQ ALGM opened at $50.40 on Friday. Allegro MicroSystems has a 52-week low of $22.41 and a 52-week high of $54.40. The firm has a fifty day moving average of $43.99 and a 200-day moving average of $36.32. The stock has a market capitalization of $9.39 billion, a PE ratio of -559.94 and a beta of 1.98. The company has a quick ratio of 2.21, a current ratio of 3.45 and a debt-to-equity ratio of 0.30.

Allegro MicroSystems (NASDAQ:ALGM) last announced its quarterly earnings results on Thursday, May 7th. The company reported $0.17 earnings per share for the quarter, topping analysts’ consensus estimates of $0.16 by $0.01. Allegro MicroSystems had a negative net margin of 1.67% and a positive return on equity of 6.09%. The firm had revenue of $243.19 million during the quarter, compared to analysts’ expectations of $235.94 million. During the same period in the prior year, the company earned $0.06 EPS. The firm’s revenue was up 26.1% on a year-over-year basis. Allegro MicroSystems has set its Q1 2027 guidance at 0.190-0.230 EPS. On average, analysts anticipate that Allegro MicroSystems will post 0.77 EPS for the current year.

Insider Activity at Allegro MicroSystems

In other news, Director Susan D. Lynch sold 16,711 shares of the firm’s stock in a transaction dated Thursday, May 14th. The stock was sold at an average price of $45.46, for a total transaction of $759,682.06. Following the completion of the sale, the director directly owned 12,805 shares in the company, valued at $582,115.30. This trade represents a 56.62% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, SVP Ian Kent sold 2,642 shares of the firm’s stock in a transaction dated Monday, May 18th. The shares were sold at an average price of $41.56, for a total value of $109,801.52. Following the sale, the senior vice president owned 25,392 shares of the company’s stock, valued at $1,055,291.52. This represents a 9.42% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last ninety days, insiders sold 68,607 shares of company stock valued at $3,213,714. 0.40% of the stock is currently owned by insiders.

Institutional Trading of Allegro MicroSystems

Several large investors have recently modified their holdings of the business. Parallel Advisors LLC grew its stake in shares of Allegro MicroSystems by 42.8% during the first 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. PNC Financial Services Group Inc. lifted its position in shares of Allegro MicroSystems by 2.7% during the third quarter. PNC Financial Services Group Inc. now owns 14,713 shares of the company’s stock worth $430,000 after purchasing an additional 381 shares during the last quarter. Hantz Financial Services Inc. lifted its position in shares of Allegro MicroSystems by 86.9% during the third quarter. Hantz Financial Services Inc. now owns 901 shares of the company’s stock worth $26,000 after purchasing an additional 419 shares during the last quarter. Vanguard Personalized Indexing Management LLC lifted its position in shares of Allegro MicroSystems by 3.0% during the fourth quarter. Vanguard Personalized Indexing Management LLC now owns 14,268 shares of the company’s stock worth $376,000 after purchasing an additional 419 shares during the last quarter. Finally, Advisors Asset Management Inc. lifted its position in shares of Allegro MicroSystems by 2.1% during the third quarter. Advisors Asset Management Inc. now owns 22,499 shares of the company’s stock worth $657,000 after purchasing an additional 466 shares during the last quarter. 56.45% of the stock is currently owned by institutional investors and hedge funds.

About Allegro MicroSystems

Allegro MicroSystems, Inc (NASDAQ: ALGM) is a leading designer and manufacturer of high-performance power and sensing integrated circuits. The company focuses on semiconductor solutions that enable precise motion control, energy-efficient power management and robust sensing in a wide range of applications. Allegro’s product portfolio includes Hall-effect magnetic sensors, current and position sensing ICs, motor driver and controller devices, and power management components.

Allegro MicroSystems serves major automotive, industrial and consumer markets worldwide.