Allegro MicroSystems (NASDAQ:ALGM) Reaches New 12-Month High – Still a Buy?

Shares of Allegro MicroSystems, Inc. (NASDAQ:ALGM) reached a new 52-week high during trading on Thursday . The stock traded as high as $46.18 and last traded at $46.4840, with a volume of 487758 shares trading hands. The stock had previously closed at $44.07.

Analyst Upgrades and Downgrades

Several research firms recently commented on ALGM. Morgan Stanley upgraded shares of Allegro MicroSystems from an “equal weight” rating to an “overweight” rating and set a $51.00 price target on the stock in a research note on Friday, February 13th. Wells Fargo & Company upped their price target on shares of Allegro MicroSystems from $45.00 to $48.00 and gave the company an “overweight” rating in a research note on Wednesday, February 11th. Jefferies Financial Group restated a “buy” rating and issued a $45.00 price target on shares of Allegro MicroSystems in a research note on Thursday, February 19th. UBS Group increased their price target on Allegro MicroSystems from $40.00 to $44.00 and gave the stock a “buy” rating in a research report on Friday, January 30th. Finally, Bank of America increased their price target on Allegro MicroSystems from $36.00 to $39.00 and gave the stock a “buy” rating in a research report on Wednesday, January 21st. Ten equities research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $45.00.

Allegro MicroSystems Price Performance

The stock has a market capitalization of $8.94 billion, a price-to-earnings ratio of -604.39 and a beta of 1.70. The company has a quick ratio of 2.39, a current ratio of 3.65 and a debt-to-equity ratio of 0.30. The business’s 50 day simple moving average is $35.53 and its 200-day simple moving average is $32.19.

Allegro MicroSystems (NASDAQ:ALGM) last announced its quarterly earnings data on Thursday, January 29th. The company reported $0.15 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.14 by $0.01. The firm had revenue of $229.21 million for the quarter, compared to the consensus estimate of $220.78 million. Allegro MicroSystems had a negative net margin of 1.57% and a positive return on equity of 4.35%. The business’s revenue for the quarter was up 28.9% on a year-over-year basis. During the same period in the prior year, the company posted $0.07 earnings per share. On average, research analysts forecast that Allegro MicroSystems, Inc. will post 0.27 earnings per share for the current year.

Institutional Investors Weigh In On Allegro MicroSystems

Large investors have recently bought and sold shares of the company. Vanguard Group Inc. boosted its holdings in shares of Allegro MicroSystems by 0.6% in the 3rd quarter. Vanguard Group Inc. now owns 14,293,465 shares of the company’s stock valued at $417,369,000 after purchasing an additional 87,526 shares in the last quarter. Candriam S.C.A. acquired a new stake in shares of Allegro MicroSystems in the 3rd quarter valued at $2,604,000. Royce & Associates LP acquired a new stake in shares of Allegro MicroSystems in the 3rd quarter valued at $2,985,000. Capital Research Global Investors boosted its holdings in shares of Allegro MicroSystems by 5.8% in the 3rd quarter. Capital Research Global Investors now owns 16,824,722 shares of the company’s stock valued at $491,282,000 after purchasing an additional 920,365 shares in the last quarter. Finally, AXQ Capital LP acquired a new stake in shares of Allegro MicroSystems in the 3rd quarter valued at $1,129,000. 56.45% of the stock is currently owned by institutional investors and hedge funds.

Allegro MicroSystems Company Profile

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.