Allegro MicroSystems (NASDAQ:ALGM) Upgraded to Buy at Wall Street Zen

Wall Street Zen upgraded shares of Allegro MicroSystems (NASDAQ:ALGM) from a hold rating to a buy rating in a research note released on Sunday morning.

A number of other brokerages have also recently weighed in on ALGM. Weiss Ratings restated a “sell (e+)” rating on shares of Allegro MicroSystems in a research note on Monday, December 29th. UBS Group boosted their price target on shares of Allegro MicroSystems from $38.00 to $40.00 and gave the stock a “buy” rating in a research report on Friday, October 31st. Barclays increased their price objective on shares of Allegro MicroSystems from $30.00 to $35.00 and gave the company an “overweight” rating in a report on Friday, October 31st. Cowen reissued a “buy” rating on shares of Allegro MicroSystems in a report on Friday, October 31st. Finally, Evercore ISI increased their price target on Allegro MicroSystems from $37.00 to $49.00 and gave the company an “outperform” rating in a research note on Friday, October 31st. Nine analysts have rated the stock with a Buy rating, two have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, Allegro MicroSystems has a consensus rating of “Moderate Buy” and a consensus price target of $38.78.

Allegro MicroSystems Stock Up 2.0%

ALGM stock opened at $33.35 on Friday. The stock has a market cap of $6.17 billion, a PE ratio of -208.44 and a beta of 1.61. The firm’s 50-day simple moving average is $27.40 and its 200 day simple moving average is $29.90. Allegro MicroSystems has a fifty-two week low of $16.38 and a fifty-two week high of $38.45. The company has a quick ratio of 2.48, a current ratio of 3.89 and a debt-to-equity ratio of 0.30.

Allegro MicroSystems (NASDAQ:ALGM) last posted its earnings results on Thursday, October 30th. The company reported $0.13 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.12 by $0.01. The firm had revenue of $214.29 million during the quarter, compared to analyst estimates of $210.75 million. Allegro MicroSystems had a negative net margin of 3.60% and a positive return on equity of 2.90%. Allegro MicroSystems’s revenue was up 14.4% on a year-over-year basis. During the same period in the previous year, the business posted $0.08 EPS. Allegro MicroSystems has set its Q3 2026 guidance at 0.120-0.160 EPS. As a group, sell-side analysts predict that Allegro MicroSystems will post 0.01 EPS for the current year.

Institutional Investors Weigh In On Allegro MicroSystems

Several large investors have recently modified their holdings of ALGM. Hantz Financial Services Inc. raised 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 period. Quent Capital LLC purchased a new position in Allegro MicroSystems in the 3rd quarter worth about $28,000. UMB Bank n.a. raised its holdings in Allegro MicroSystems by 29.2% during the 2nd quarter. UMB Bank n.a. now owns 1,835 shares of the company’s stock worth $63,000 after buying an additional 415 shares during the period. NewEdge Advisors LLC lifted its stake in Allegro MicroSystems by 12,315.0% during the third quarter. NewEdge Advisors LLC now owns 2,483 shares of the company’s stock valued at $73,000 after buying an additional 2,463 shares in the last quarter. Finally, Nisa Investment Advisors LLC boosted its holdings in shares of Allegro MicroSystems by 158.8% in the second quarter. Nisa Investment Advisors LLC now owns 2,210 shares of the company’s stock worth $76,000 after buying an additional 1,356 shares during the period. 56.45% of the stock is owned by institutional investors.

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.