Allegro MicroSystems (NASDAQ:ALGM) Upgraded to “Buy” at Zacks Investment Research

Allegro MicroSystems (NASDAQ:ALGMGet Rating) was upgraded by Zacks Investment Research from a “hold” rating to a “buy” rating in a report issued on Thursday, Zacks.com reports. The brokerage currently has a $26.00 price objective on the stock. Zacks Investment Research‘s target price indicates a potential upside of 11.68% from the company’s previous close.

According to Zacks, “Allegro MicroSystems Inc. is a designer, developer, fabless manufacturer and marketer of sensor integrated circuits and application-specific analog power ICs enabling emerging technologies in the automotive and industrial markets. Its diverse product portfolio provides solutions for the electrification of vehicles, automotive ADAS safety features, automation for Industry 4.0 and power-saving technologies for data centers and green energy applications. Allegro MicroSystems Inc. is based in Manchester, New Hampshire. “

A number of other analysts have also commented on ALGM. Mizuho dropped their price target on Allegro MicroSystems from $44.00 to $42.00 in a report on Wednesday, May 11th. Barclays lowered their target price on Allegro MicroSystems from $35.00 to $31.00 and set an “overweight” rating on the stock in a research note on Monday, April 25th. Seven equities research analysts have rated the stock with a buy rating, According to data from MarketBeat.com, Allegro MicroSystems presently has a consensus rating of “Buy” and a consensus price target of $36.17.

Allegro MicroSystems stock traded up $0.19 during mid-day trading on Thursday, reaching $23.28. 16,968 shares of the company’s stock were exchanged, compared to its average volume of 601,977. The business’s fifty day simple moving average is $25.82 and its 200 day simple moving average is $29.06. The firm has a market capitalization of $4.42 billion, a PE ratio of 38.16 and a beta of 1.61. Allegro MicroSystems has a one year low of $21.91 and a one year high of $38.28. The company has a quick ratio of 3.87, a current ratio of 4.65 and a debt-to-equity ratio of 0.04.

Allegro MicroSystems (NASDAQ:ALGMGet Rating) last issued its quarterly earnings results on Monday, May 9th. The company reported $0.21 EPS for the quarter, hitting analysts’ consensus estimates of $0.21. The business had revenue of $200.30 million for the quarter, compared to analyst estimates of $195.18 million. Allegro MicroSystems had a return on equity of 18.66% and a net margin of 16.38%. Allegro MicroSystems’s quarterly revenue was up 14.4% compared to the same quarter last year. During the same period last year, the company posted $0.14 earnings per share. On average, sell-side analysts forecast that Allegro MicroSystems will post 0.83 earnings per share for the current year.

In other Allegro MicroSystems news, SVP Michael Doogue sold 7,500 shares of the business’s stock in a transaction on Friday, March 18th. The stock was sold at an average price of $29.04, for a total value of $217,800.00. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Insiders own 26.90% of the company’s stock.

Hedge funds and other institutional investors have recently made changes to their positions in the company. NN Investment Partners Holdings N.V. purchased a new position in shares of Allegro MicroSystems in the third quarter valued at $29,000. Point72 Hong Kong Ltd purchased a new position in shares of Allegro MicroSystems in the fourth quarter valued at $33,000. West Bancorporation Inc. purchased a new position in shares of Allegro MicroSystems in the fourth quarter valued at $36,000. PNC Financial Services Group Inc. grew its position in Allegro MicroSystems by 201.6% during the first quarter. PNC Financial Services Group Inc. now owns 1,158 shares of the company’s stock worth $33,000 after buying an additional 774 shares in the last quarter. Finally, Quent Capital LLC purchased a new position in Allegro MicroSystems during the fourth quarter worth about $62,000. Institutional investors own 46.35% of the company’s stock.

Allegro MicroSystems Company Profile (Get Rating)

Allegro MicroSystems, Inc designs, develops, manufactures, and markets sensor integrated circuits (ICs) and application-specific analog power ICs for motion control and energy-efficient systems. Its products include magnetic sensor ICs, such as position, speed, and current sensor ICs; and power ICs comprising motor driver ICs, and regulator and LED driver ICs, as well as photonic and 3D sensing components, including photodiodes, eye-safe lasers and rangefinders, and readout ICs for LiDAR applications.

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