Allegro MicroSystems (NASDAQ:ALGM) Stock Price Target Lowered at Needham & Company LLC

Allegro MicroSystems (NASDAQ:ALGM) had its price objective reduced by investment analysts at Needham & Company LLC from $57.00 to $50.00 in a research report issued on Thursday, Benzinga reports. The firm currently has a “buy” rating on the stock. Needham & Company LLC‘s price target suggests a potential upside of 51.38% from the stock’s current price.

A number of other analysts have also issued reports on the company. TD Cowen cut their target price on Allegro MicroSystems from $48.00 to $40.00 and set a “buy” rating on the stock in a research report on Monday, October 19th. Wall Street Zen upgraded Allegro MicroSystems from a “hold” rating to a “buy” rating in a research report on Sunday, August 2nd. Barclays cut Allegro MicroSystems from an “overweight” rating to an “equal weight” rating and set a $48.00 price objective for the company. in a research note on Monday, July 20th. Weiss Ratings downgraded Allegro MicroSystems from a “hold (c-)” rating to a “sell (d+)” rating in a report on Friday, October 23rd. Finally, Mizuho cut their price objective on Allegro MicroSystems from $67.00 to $58.00 and set an “outperform” rating on the stock in a report on Friday, July 31st. One analyst has rated the stock with a Strong Buy rating, ten have assigned a Buy rating, one has issued a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat.com, Allegro MicroSystems has a consensus rating of “Moderate Buy” and an average price target of $51.00.

Allegro MicroSystems Trading Down 6.6%

Shares of Allegro MicroSystems stock traded down $2.34 on Thursday, reaching $33.03. The company had a trading volume of 5,972,433 shares, compared to its average volume of 2,636,232. The firm’s 50 day moving average price is $35.33 and its two-hundred day moving average price is $40.65. The firm has a market cap of $6.16 billion, a PE ratio of 550.59, a PEG ratio of 0.99 and a beta of 1.99. Allegro MicroSystems has a 52-week low of $22.41 and a 52-week high of $71.77. The company has a debt-to-equity ratio of 0.30, a quick ratio of 2.33 and a current ratio of 3.70.

Allegro MicroSystems (NASDAQ:ALGM) last issued its quarterly earnings data on Thursday, October 29th. The company reported $0.26 EPS for the quarter, topping the consensus estimate of $0.24 by $0.02. The firm had revenue of $276.88 million for the quarter, compared to analyst estimates of $270.86 million. Allegro MicroSystems had a net margin of 1.50% and a return on equity of 8.30%. The business’s revenue for the quarter was up 29.2% compared to the same quarter last year. During the same period in the prior year, the business posted $0.13 EPS. Sell-side analysts predict that Allegro MicroSystems will post 0.65 earnings per share for the current fiscal year.

Insider Transactions at Allegro MicroSystems

In other Allegro MicroSystems news, SVP Erin Hagen sold 2,285 shares of the stock in a transaction that occurred on Monday, August 10th. The shares were sold at an average price of $44.39, for a total transaction of $101,431.15. Following the sale, the senior vice president directly owned 31,052 shares in the company, valued at $1,378,398.28. This represents a 6.85% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. 0.50% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Allegro MicroSystems

Several institutional investors have recently modified their holdings of the business. Mirae Asset Global Investments Co. Ltd. acquired a new stake in shares of Allegro MicroSystems in the third quarter valued at $379,000. ProShare Advisors LLC boosted its holdings in Allegro MicroSystems by 36.6% in the third quarter. ProShare Advisors LLC now owns 18,312 shares of the company’s stock valued at $666,000 after purchasing an additional 4,905 shares during the period. Vise Technologies Inc. grew its stake in Allegro MicroSystems by 120.5% during the 3rd quarter. Vise Technologies Inc. now owns 9,915 shares of the company’s stock worth $360,000 after purchasing an additional 5,419 shares in the last quarter. VIRGINIA RETIREMENT SYSTEMS ET Al grew its stake in Allegro MicroSystems by 106.9% during the 3rd quarter. VIRGINIA RETIREMENT SYSTEMS ET Al now owns 48,569 shares of the company’s stock worth $1,765,000 after purchasing an additional 25,100 shares in the last quarter. Finally, Signaturefd LLC grew its stake in Allegro MicroSystems by 51.3% during the 3rd quarter. Signaturefd LLC now owns 1,070 shares of the company’s stock worth $39,000 after purchasing an additional 363 shares in the last quarter. Institutional investors and hedge funds own 56.45% of the company’s stock.

Allegro MicroSystems News Summary

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

• Positive Sentiment: Revenue rose 29% year over year to approximately $277 million, exceeding the roughly $271 million analyst estimate. GAAP earnings per share quadrupled from the prior-year quarter to $0.26, topping consensus estimates of $0.24-$0.25. Allegro MicroSystems Reports Second Quarter 2027 Results
• Positive Sentiment: Management highlighted record sales in its Industrial & Other and Data Center businesses, while non-GAAP EPS doubled year over year. Reports also noted improving inventory levels, a potentially constructive sign for demand and supply-chain conditions. Allegro MicroSystems surprises with Q3 sales
• Positive Sentiment: Allegro’s power and sensing chips continue to benefit from vehicle electrification, advanced driver-assistance systems and rising semiconductor content per vehicle. Conestoga’s decision to initiate a position reflects that longer-term growth thesis. Conestoga SMid Cap Composite Portfolio Activity
• Neutral Sentiment: The company also introduced power and cooling solutions aimed at sustainable 800-volt AI data centers, expanding its exposure to the fast-growing data-center market, although the near-term revenue contribution was not specified. Allegro introduces 800V AI data-center solutions
• Negative Sentiment: Despite the strong quarter, ALGM traded lower, suggesting the results may have been largely anticipated or that investors wanted stronger forward guidance. The stock’s elevated earnings multiple and position below its longer-term moving average may also be encouraging profit-taking and limiting the reaction to the beat.

Allegro MicroSystems Company Profile

Allegro MicroSystems, Inc is a semiconductor company that develops and manufactures magnetic sensing and power-management solutions. Its products are designed to help monitor motion, position, speed, current and temperature, as well as control power in electronic systems.

The company’s portfolio includes Hall-effect and other magnetic sensors, current sensors, motor drivers, regulators, LED drivers and related integrated circuits. These products are used in automotive applications such as advanced driver-assistance systems, vehicle electrification, powertrain systems, comfort features and safety systems, as well as in industrial and consumer equipment.

Founded in 1990 and headquartered in Manchester, New Hampshire, Allegro serves customers globally through its international operations and distribution network.