Allegro MicroSystems (NASDAQ:ALGM) Shares Gap Up – Here’s What Happened

Allegro MicroSystems, Inc. (NASDAQ:ALGM)’s share price gapped up prior to trading on Friday. The stock had previously closed at $36.38, but opened at $38.15. Allegro MicroSystems shares last traded at $39.15, with a volume of 448,744 shares.

Wall Street Analyst Weigh In

Several brokerages recently commented on ALGM. Weiss Ratings upgraded shares of Allegro MicroSystems from a “sell (d-)” rating to a “sell (d+)” rating in a report on Monday, August 3rd. Royal Bank Of Canada assumed coverage on shares of Allegro MicroSystems in a research note on Friday. They issued an “outperform” rating and a $50.00 price objective for the company. Benchmark assumed coverage on Allegro MicroSystems in a research report on Wednesday, August 12th. They set a “buy” rating and a $60.00 target price for the company. Wall Street Zen raised Allegro MicroSystems from a “hold” rating to a “buy” rating in a research note on Sunday, August 2nd. Finally, Mizuho reduced their price target 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 given a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and a consensus price target of $53.17.

Allegro MicroSystems Trading Up 6.5%

The stock has a market capitalization of $7.22 billion, a P/E ratio of 645.81, a PEG ratio of 1.14 and a beta of 1.99. The stock’s fifty day moving average price is $38.44 and its 200 day moving average price is $43.13. The company has a debt-to-equity ratio of 0.30, a current ratio of 3.70 and a quick ratio of 2.33.

Allegro MicroSystems (NASDAQ:ALGM) last announced its quarterly earnings data on Thursday, July 30th. The company reported $0.23 earnings per share for the quarter, beating analysts’ consensus estimates of $0.21 by $0.02. The company had revenue of $259.24 million during the quarter, compared to analyst estimates of $251.44 million. Allegro MicroSystems had a net margin of 1.50% and a return on equity of 8.30%. The firm’s revenue for the quarter was up 27.5% on a year-over-year basis. During the same quarter last year, the business posted $0.09 EPS. Allegro MicroSystems has set its Q2 2027 guidance at 0.230-0.260 EPS. Research analysts forecast that Allegro MicroSystems, Inc. will post 0.65 earnings per share for the current year.

Insider Activity at Allegro MicroSystems

In other news, SVP Erin Hagen sold 2,285 shares of Allegro MicroSystems 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 completion of the sale, the senior vice president owned 31,052 shares of the company’s stock, valued at approximately $1,378,398.28. The trade was a 6.85% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Company insiders own 0.50% of the company’s stock.

Hedge Funds Weigh In On Allegro MicroSystems

Institutional investors have recently bought and sold shares of the business. Transamerica Financial Advisors LLC purchased a new stake in Allegro MicroSystems during the second quarter worth $27,000. Rakuten Securities Inc. purchased a new position in shares of Allegro MicroSystems in the 2nd quarter valued at $31,000. Continuum Advisory LLC purchased a new position in shares of Allegro MicroSystems in the 2nd quarter valued at $35,000. First Bancorp Inc ME bought a new position in shares of Allegro MicroSystems in the 2nd quarter worth $49,000. Finally, Parallel Advisors LLC raised its position in shares of Allegro MicroSystems by 42.8% in 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. 56.45% of the stock is owned by hedge funds and other institutional investors.

About Allegro MicroSystems

Allegro MicroSystems, Inc (NASDAQ:ALGM) develops and manufactures semiconductor solutions that enable motion, power management and energy efficiency in automotive and industrial applications. The company specializes in sensor integrated circuits and power semiconductor devices designed to monitor, control and improve the performance of electronic systems.

Its product portfolio includes magnetic sensors for detecting position, speed, current and angle, as well as power management integrated circuits, motor drivers, LED driver ICs and other application-specific solutions.