Allegro MicroSystems (NASDAQ:ALGM) Sets New 52-Week High – Time to Buy?

Allegro MicroSystems, Inc. (NASDAQ:ALGM) reached a new 52-week high during trading on Wednesday . The stock traded as high as $50.31 and last traded at $49.68, with a volume of 2965997 shares changing hands. The stock had previously closed at $49.48.

Key Stories Impacting Allegro MicroSystems

Here are the key news stories impacting Allegro MicroSystems this week:

• Positive Sentiment: Q4 beat on both EPS and revenue; quarterly revenue rose ~26% year-over-year, and EPS of $0.17 topped consensus — supports the stock’s rally on fundamentals. GlobeNewswire
• Positive Sentiment: Needham raised its price target to $55 and maintained a “buy” rating, signaling continued analyst optimism and potential upside. Benzinga
• Positive Sentiment: Mizuho raised its target to $54 with an “outperform” — another vote of confidence that can attract buyers. Benzinga
• Positive Sentiment: Independent analyst commentary (Morgan Stanley) suggests further upside potential for shares, which can support momentum. Morgan Stanley / Seeking Alpha
• Neutral Sentiment: Full earnings call transcript and slide deck are available for investors to check management commentary on demand, margins and backlog. Earnings Call Transcript
• Neutral Sentiment: Company posted formal results and materials (press release / slide deck) for review — useful for confirming guidance assumptions. Slide Deck / Press Release
• Negative Sentiment: Shares sold off in some coverage despite the beat-and-raise, as investors digested guidance that was roughly in line with expectations rather than above — indicates sensitivity to forward-looking metrics. MSN
• Negative Sentiment: Newsflow noted the company “sank” after providing guidance that investors viewed as merely in-line (Q1 FY27 EPS guidance 0.190–0.230 and revenue $245–255M), which limited upside and prompted profit-taking. Seeking Alpha
• Negative Sentiment: Market commentary explains why shares traded lower intraday despite beats — short-term trading dynamics and expectations around margin/guide improvements remain risk points. MSN

Analyst Upgrades and Downgrades

ALGM has been the subject of several research reports. TD Cowen lifted their price target on shares of Allegro MicroSystems from $38.00 to $45.00 and gave the company a “buy” rating in a research report on Friday, January 30th. Wells Fargo & Company raised their price objective 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. Morgan Stanley raised shares of Allegro MicroSystems from an “equal weight” rating to an “overweight” rating and set a $51.00 target price for the company in a research report on Friday, February 13th. Mizuho raised their price target on shares of Allegro MicroSystems from $44.00 to $54.00 and gave the company an “outperform” rating in a research report on Friday. Finally, Wall Street Zen upgraded Allegro MicroSystems from a “hold” rating to a “buy” rating in a research note on Sunday, January 18th. Ten analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat, Allegro MicroSystems presently has a consensus rating of “Moderate Buy” and a consensus price target of $49.50.

Allegro MicroSystems Trading Up 0.8%

The stock has a market capitalization of $8.95 billion, a PE ratio of -604.10 and a beta of 2.02. The company has a current ratio of 3.65, a quick ratio of 2.39 and a debt-to-equity ratio of 0.30. The firm has a 50-day moving average price of $36.43 and a 200-day moving average price of $32.80.

Allegro MicroSystems (NASDAQ:ALGM) last issued 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. The company had revenue of $243.19 million for the quarter, compared to the consensus estimate of $235.94 million. Allegro MicroSystems had a negative net margin of 1.57% and a positive return on equity of 4.35%. The firm’s quarterly revenue was up 26.1% on a year-over-year basis. During the same period in the previous year, the firm earned $0.06 EPS. Allegro MicroSystems has set its Q1 2027 guidance at 0.190-0.230 EPS. As a group, equities analysts forecast that Allegro MicroSystems, Inc. will post 0.27 EPS for the current fiscal year.

Institutional Investors Weigh In On Allegro MicroSystems

Several large investors have recently modified their holdings of the stock. Bank of America Corp DE lifted its stake in Allegro MicroSystems by 136.6% in the third quarter. Bank of America Corp DE now owns 952,679 shares of the company’s stock valued at $27,818,000 after purchasing an additional 3,556,410 shares during the last quarter. Invesco Ltd. increased its position in Allegro MicroSystems by 44.0% in the fourth quarter. Invesco Ltd. now owns 7,651,051 shares of the company’s stock worth $201,835,000 after buying an additional 2,338,624 shares during the last quarter. Alliancebernstein L.P. increased its position in Allegro MicroSystems by 189.4% in the second quarter. Alliancebernstein L.P. now owns 2,759,872 shares of the company’s stock worth $94,360,000 after buying an additional 1,806,183 shares during the last quarter. Norges Bank bought a new stake in shares of Allegro MicroSystems in the fourth quarter valued at $38,457,000. Finally, Adage Capital Partners GP L.L.C. raised its stake in shares of Allegro MicroSystems by 77.8% in the fourth quarter. Adage Capital Partners GP L.L.C. now owns 2,803,944 shares of the company’s stock valued at $73,968,000 after buying an additional 1,227,317 shares during the period. Hedge funds and other institutional investors own 56.45% of the company’s stock.

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.