Allegro MicroSystems (NASDAQ:ALGM) Downgraded to Hold Rating by Wall Street Zen

Wall Street Zen cut shares of Allegro MicroSystems (NASDAQ:ALGM) from a buy rating to a hold rating in a research report sent to investors on Saturday morning.

Several other analysts also recently weighed in on ALGM. Jefferies Financial Group reaffirmed a “buy” rating and issued a $62.00 target price on shares of Allegro MicroSystems in a report on Thursday, May 7th. Wells Fargo & Company increased their target price on Allegro MicroSystems from $48.00 to $56.00 and gave the stock an “overweight” rating in a research note on Friday, May 8th. Weiss Ratings restated a “sell (d-)” rating on shares of Allegro MicroSystems in a research note on Wednesday, May 6th. UBS Group increased their price objective on Allegro MicroSystems from $52.00 to $55.00 and gave the stock a “buy” rating in a research report on Friday, May 8th. Finally, Mizuho raised their target price on Allegro MicroSystems from $54.00 to $67.00 and gave the company an “outperform” rating in a report on Monday, June 29th. Nine equities research analysts have rated the stock with a Buy rating, two have given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the company presently has an average rating of “Moderate Buy” and a consensus price target of $55.20.

Allegro MicroSystems Stock Down 8.1%

Allegro MicroSystems stock opened at $46.03 on Friday. The stock has a 50 day moving average of $51.85 and a two-hundred day moving average of $42.14. Allegro MicroSystems has a twelve month low of $22.41 and a twelve month high of $71.77. The stock has a market capitalization of $8.58 billion, a price-to-earnings ratio of -511.39 and a beta of 1.90. The company has a current ratio of 3.45, a quick ratio of 2.21 and a debt-to-equity ratio of 0.30.

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 the consensus estimate of $0.16 by $0.01. The firm had revenue of $243.19 million during the quarter, compared to the consensus estimate of $235.94 million. Allegro MicroSystems had a positive return on equity of 6.09% and a negative net margin of 1.67%.The company’s revenue for the quarter was up 26.1% on a year-over-year basis. During the same period last year, the company earned $0.06 earnings per share. Allegro MicroSystems has set its Q1 2027 guidance at 0.190-0.230 EPS. As a group, research analysts expect that Allegro MicroSystems will post 0.77 earnings per share for the current year.

Insider Activity at Allegro MicroSystems

In other Allegro MicroSystems news, SVP Ian Kent sold 2,642 shares of the business’s stock in a transaction on Monday, May 18th. The stock was sold at an average price of $41.56, for a total transaction of $109,801.52. Following the sale, the senior vice president directly owned 25,392 shares in the company, valued at approximately $1,055,291.52. The trade was a 9.42% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CAO Roald Graham Webster sold 5,217 shares of the firm’s stock in a transaction on Thursday, May 21st. The shares were sold at an average price of $44.88, for a total value of $234,138.96. Following the completion of the transaction, the chief accounting officer owned 13,106 shares of the company’s stock, valued at approximately $588,197.28. This represents a 28.47% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold 68,607 shares of company stock valued at $3,213,714 in the last 90 days. 0.50% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Allegro MicroSystems

Hedge funds have recently added to or reduced their stakes in the business. Royal Bank of Canada grew its position in shares of Allegro MicroSystems by 70.0% in the first quarter. Royal Bank of Canada now owns 117,923 shares of the company’s stock valued at $2,964,000 after purchasing an additional 48,554 shares during the last quarter. AQR Capital Management LLC acquired a new position in shares of Allegro MicroSystems during the 1st quarter worth approximately $325,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC raised its position in shares of Allegro MicroSystems by 31.8% during the 1st quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 354,610 shares of the company’s stock worth $8,911,000 after purchasing an additional 85,607 shares during the last quarter. Prudential Financial Inc. lifted its stake in Allegro MicroSystems by 24.0% in the 2nd quarter. Prudential Financial Inc. now owns 15,684 shares of the company’s stock valued at $536,000 after buying an additional 3,040 shares in the last quarter. Finally, First Trust Advisors LP lifted its stake in Allegro MicroSystems by 5.4% in the 2nd quarter. First Trust Advisors LP now owns 576,478 shares of the company’s stock valued at $19,710,000 after buying an additional 29,531 shares in the last quarter. 56.45% of the stock is currently owned by hedge funds and other 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.