Allegro MicroSystems (NASDAQ:ALGM) Issues Q4 2026 Earnings Guidance

Allegro MicroSystems (NASDAQ:ALGM) issued an update on its fourth quarter 2026 earnings guidance on Friday morning. The company provided earnings per share (EPS) guidance of 0.140-0.18 for the period, compared to the consensus estimate of 0.150. The company issued revenue guidance of $230.0 million-$240.0 million, compared to the consensus revenue estimate of $231.0 million.

Allegro MicroSystems Stock Performance

Allegro MicroSystems stock opened at $36.91 on Friday. The company has a current ratio of 3.65, a quick ratio of 2.48 and a debt-to-equity ratio of 0.30. The firm has a market cap of $6.83 billion, a P/E ratio of -461.38 and a beta of 1.61. Allegro MicroSystems has a 1-year low of $16.38 and a 1-year high of $39.89. The firm has a 50-day moving average of $29.28 and a 200-day moving average of $29.83.

Allegro MicroSystems (NASDAQ:ALGM) last announced its quarterly earnings results on Thursday, January 29th. The company reported $0.15 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.14 by $0.01. Allegro MicroSystems had a positive return on equity of 4.35% and a negative net margin of 1.57%.The company had revenue of $229.21 million for the quarter, compared to the consensus estimate of $220.78 million. During the same quarter in the previous year, the business earned $0.07 EPS. Allegro MicroSystems’s revenue was up 28.9% compared to the same quarter last year. Sell-side analysts expect that Allegro MicroSystems will post 0.01 EPS for the current year.

Wall Street Analyst Weigh In

A number of brokerages recently commented on ALGM. Evercore ISI upped their target price on Allegro MicroSystems from $37.00 to $49.00 and gave the company an “outperform” rating in a report on Friday, October 31st. Mizuho set a $38.00 price objective on shares of Allegro MicroSystems in a report on Tuesday, December 16th. Bank of America lifted their target price on shares of Allegro MicroSystems from $36.00 to $39.00 and gave the company a “buy” rating in a research note on Wednesday, January 21st. Wells Fargo & Company boosted their price target on shares of Allegro MicroSystems from $40.00 to $45.00 and gave the company an “overweight” rating in a research report on Friday. Finally, Barclays raised their price objective on shares of Allegro MicroSystems from $35.00 to $46.00 and gave the stock an “overweight” rating in a report on Friday. Nine research analysts have rated the stock with a Buy rating, two have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $43.50.

Key Allegro MicroSystems News

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

• Positive Sentiment: Q3 results beat expectations — Allegro reported $0.15 EPS (vs. $0.14 consensus) and $229.2M revenue (vs. ~$220.8M), with revenue up ~29% YoY; management provided revenue and EPS guidance that supported a bullish near‑term outlook. GlobeNewswire: Q3 Results
• Positive Sentiment: Multiple analyst price‑target raises — TD Cowen, Wells Fargo, Morgan Stanley and Jefferies raised targets (examples: TD Cowen and Wells Fargo to $45; Jefferies to $43), signaling institutional support and providing fresh upside narratives for traders. Benzinga: Analyst Coverage The Fly: TD Cowen Raise
• Positive Sentiment: Shares briefly rallied to multi‑year highs on the swing to profitability and the stronger sales outlook, reflecting momentum buying after the print. MSN: Stock Jumps
• Neutral Sentiment: Company guidance is roughly in line with consensus (Q4 EPS guide $0.140–$0.18; revenue $230–240M), so while supportive, it wasn’t an unambiguous upside surprise that would guarantee further multiple expansion. MSN: Guidance Details
• Neutral Sentiment: Investors can review the company presentation and full earnings call transcript for detail on product mix and end‑market exposure (automotive still dominant; data center exposure cited as a growth catalyst). Seeking Alpha: Earnings Call Transcript
• Negative Sentiment: Valuation and earnings‑quality concerns — a Seeking Alpha piece warns Allegro is “pricing in green shoots” with a demanding multiple (~8x sales) and that adjusted EPS is inflated by significant stock‑based compensation, suggesting true cash earnings are lower. That note likely prompted some profit‑taking. Seeking Alpha: Valuation Caution

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in the stock. NewEdge Advisors LLC grew its stake in shares of Allegro MicroSystems by 12,315.0% in the third quarter. NewEdge Advisors LLC now owns 2,483 shares of the company’s stock worth $73,000 after acquiring an additional 2,463 shares during the last quarter. Centaurus Financial Inc. purchased a new position in shares of Allegro MicroSystems in the 3rd quarter worth about $161,000. Canada Pension Plan Investment Board boosted its stake in Allegro MicroSystems by 154.2% in the 2nd quarter. Canada Pension Plan Investment Board now owns 6,100 shares of the company’s stock worth $209,000 after purchasing an additional 3,700 shares in the last quarter. Brooklyn Investment Group grew its position in Allegro MicroSystems by 321.6% during the 3rd quarter. Brooklyn Investment Group now owns 7,335 shares of the company’s stock valued at $214,000 after purchasing an additional 5,595 shares during the last quarter. Finally, Mercer Global Advisors Inc. ADV purchased a new stake in Allegro MicroSystems during the 3rd quarter valued at about $249,000. 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.