Allegro MicroSystems (NASDAQ:ALGM) Receives New Coverage from Analysts at UBS Group

UBS Group started coverage on shares of Allegro MicroSystems (NASDAQ:ALGM) in a research report released on Tuesday, Marketbeat reports. The firm issued a buy rating and a $33.00 price target on the stock.

Several other research firms have also issued reports on ALGM. Barclays reduced their target price on Allegro MicroSystems from $35.00 to $32.00 and set an overweight rating for the company in a report on Friday, May 10th. Jefferies Financial Group initiated coverage on shares of Allegro MicroSystems in a research note on Monday, May 13th. They set a buy rating and a $37.00 price target for the company. Mizuho reduced their price objective on Allegro MicroSystems from $45.00 to $35.00 and set a buy rating for the company in a report on Friday, May 10th. TD Cowen increased their target price on shares of Allegro MicroSystems from $32.00 to $35.00 and gave the stock a buy rating in a research report on Thursday, June 13th. Finally, Needham & Company LLC reaffirmed a buy rating and issued a $33.00 price objective on shares of Allegro MicroSystems in a report on Friday, August 2nd. One equities research analyst has rated the stock with a hold rating and eight have issued a buy rating to the stock. According to data from MarketBeat, the company has an average rating of Moderate Buy and an average target price of $34.44.

Allegro MicroSystems Stock Performance

Shares of Allegro MicroSystems stock opened at $21.27 on Tuesday. The business has a 50-day simple moving average of $26.00 and a 200 day simple moving average of $27.81. Allegro MicroSystems has a one year low of $20.42 and a one year high of $35.52. The company has a debt-to-equity ratio of 0.18, a current ratio of 4.65 and a quick ratio of 2.98. The firm has a market capitalization of $4.12 billion, a price-to-earnings ratio of 27.27 and a beta of 1.68.

Allegro MicroSystems (NASDAQ:ALGM) last posted its earnings results on Thursday, August 1st. The company reported $0.03 earnings per share for the quarter, topping analysts’ consensus estimates of $0.02 by $0.01. The company had revenue of $166.90 million for the quarter, compared to analyst estimates of $165.04 million. Allegro MicroSystems had a net margin of 7.91% and a return on equity of 13.88%. The firm’s revenue was down 40.0% compared to the same quarter last year. During the same quarter in the prior year, the business posted $0.34 EPS. On average, research analysts anticipate that Allegro MicroSystems will post 0.16 earnings per share for the current fiscal year.

Insider Buying and Selling

In other news, major shareholder Electric Co. Ltd. Sanken sold 10,017,315 shares of the business’s stock in a transaction dated Wednesday, August 7th. The stock was sold at an average price of $23.16, for a total value of $232,001,015.40. Following the completion of the sale, the insider now owns 59,732,782 shares of the company’s stock, valued at approximately $1,383,411,231.12. The transaction was disclosed in a filing with the SEC, which is available at this hyperlink. 0.50% of the stock is currently owned by corporate insiders.

Institutional Trading of Allegro MicroSystems

A number of institutional investors and hedge funds have recently added to or reduced their stakes in ALGM. Vanguard Group Inc. increased its position in Allegro MicroSystems by 13.5% during the 1st quarter. Vanguard Group Inc. now owns 8,400,064 shares of the company’s stock valued at $226,466,000 after buying an additional 999,939 shares in the last quarter. Clearbridge Investments LLC increased its holdings in shares of Allegro MicroSystems by 6.7% in the 1st quarter. Clearbridge Investments LLC now owns 3,731,268 shares of the company’s stock worth $100,595,000 after purchasing an additional 235,335 shares in the last quarter. Principal Financial Group Inc. raised its position in Allegro MicroSystems by 0.5% in the 2nd quarter. Principal Financial Group Inc. now owns 2,190,817 shares of the company’s stock worth $61,869,000 after buying an additional 11,230 shares during the last quarter. The Manufacturers Life Insurance Company lifted its stake in Allegro MicroSystems by 15.3% during the 2nd quarter. The Manufacturers Life Insurance Company now owns 2,148,478 shares of the company’s stock valued at $60,673,000 after acquiring an additional 285,747 shares during the period. Finally, Dimensional Fund Advisors LP boosted its holdings in shares of Allegro MicroSystems by 45.0% during the 2nd quarter. Dimensional Fund Advisors LP now owns 1,282,122 shares of the company’s stock valued at $36,207,000 after acquiring an additional 397,681 shares during the last quarter. Hedge funds and other institutional investors own 56.45% of the company’s stock.

Allegro MicroSystems Company Profile

Allegro MicroSystems, Inc, together with its subsidiaries, 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; power ICs comprising motor driver ICs, regulator and LED driver ICs, and isolated gate drivers; and photonic and advanced 3D sensing components.