Allegro MicroSystems (NASDAQ:ALGM) Shares Down 5.8% on Analyst Downgrade

Allegro MicroSystems, Inc. (NASDAQ:ALGM) shares fell 5.8% during trading on Monday after Mizuho lowered their price target on the stock from $67.00 to $58.00. Mizuho currently has an outperform rating on the stock. Allegro MicroSystems traded as low as $38.73 and last traded at $39.1110. Approximately 182,063 shares traded hands during trading, a decline of 93% from the average session volume of 2,636,917 shares. The stock had previously closed at $41.50.

Other equities analysts also recently issued research reports about the stock. UBS Group boosted their price target on shares of Allegro MicroSystems from $52.00 to $55.00 and gave the company a “buy” rating in a report on Friday, May 8th. Barclays downgraded shares of Allegro MicroSystems from an “overweight” rating to an “equal weight” rating and set a $48.00 price objective on the stock. in a research report on Monday, July 20th. Jefferies Financial Group restated a “buy” rating and issued a $62.00 target price on shares of Allegro MicroSystems in a research report on Thursday, May 7th. Wells Fargo & Company raised their price target on shares of Allegro MicroSystems from $48.00 to $56.00 and gave the company an “overweight” rating in a research note on Friday, May 8th. Finally, Evercore reaffirmed an “outperform” rating and set a $53.00 price target on shares of Allegro MicroSystems in a report on Friday, May 8th. Nine analysts have rated the stock with a Buy rating, two have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average price target of $52.80.

Insiders Place Their Bets

In other news, CEO Michael Doogue sold 30,089 shares of Allegro MicroSystems stock in a transaction that occurred on Monday, May 11th. The shares were sold at an average price of $47.23, for a total value of $1,421,103.47. Following the transaction, the chief executive officer owned 252,797 shares of the company’s stock, valued at $11,939,602.31. The trade was a 10.64% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, CAO Roald Graham Webster sold 5,217 shares of the business’s stock in a transaction that occurred on Thursday, May 21st. The stock was sold at an average price of $44.88, for a total transaction of $234,138.96. Following the completion of the sale, the chief accounting officer owned 13,106 shares in the company, valued at $588,197.28. The trade was a 28.47% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last 90 days, insiders have sold 68,607 shares of company stock valued at $3,213,714. 0.50% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of the stock. Parallel Advisors LLC boosted its stake in shares of Allegro MicroSystems by 42.8% during the 1st quarter. Parallel Advisors LLC now owns 1,008 shares of the company’s stock worth $32,000 after acquiring an additional 302 shares in the last quarter. Vanguard Personalized Indexing Management LLC raised 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 period. State of Michigan Retirement System raised its position in shares of Allegro MicroSystems by 2.0% during the first quarter. State of Michigan Retirement System now owns 29,900 shares of the company’s stock worth $943,000 after purchasing an additional 600 shares during the period. Caitong International Asset Management Co. Ltd lifted its holdings in shares of Allegro MicroSystems by 85.8% during the fourth quarter. Caitong International Asset Management Co. Ltd now owns 1,449 shares of the company’s stock valued at $38,000 after purchasing an additional 669 shares during the last quarter. Finally, Oregon Public Employees Retirement Fund lifted its holdings in shares of Allegro MicroSystems by 2.8% during the first quarter. Oregon Public Employees Retirement Fund now owns 25,437 shares of the company’s stock valued at $802,000 after purchasing an additional 700 shares during the last quarter. Institutional investors own 56.45% of the company’s stock.

Allegro MicroSystems Price Performance

The company has a current ratio of 3.70, a quick ratio of 2.33 and a debt-to-equity ratio of 0.30. The firm has a market cap of $7.37 billion, a price-to-earnings ratio of 659.16, a price-to-earnings-growth ratio of 1.10 and a beta of 1.90. The stock has a 50-day moving average of $51.82 and a two-hundred day moving average of $42.67.

Allegro MicroSystems (NASDAQ:ALGM) last posted its quarterly earnings data on Thursday, July 30th. The company reported $0.23 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.21 by $0.02. Allegro MicroSystems had a return on equity of 8.30% and a net margin of 1.50%.The firm had revenue of $259.24 million for the quarter, compared to the consensus estimate of $251.44 million. During the same quarter in the previous year, the company earned $0.09 EPS. The business’s revenue for the quarter was up 27.5% compared to the same quarter last year. Allegro MicroSystems has set its Q2 2027 guidance at 0.230-0.260 EPS. On average, analysts anticipate that Allegro MicroSystems, Inc. will post 0.77 EPS for the current year.

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.