Allegro MicroSystems (NASDAQ:ALGM) Trading Up 4.8% – Still a Buy?

Allegro MicroSystems, Inc. (NASDAQ:ALGM)’s share price rose 4.8% on Tuesday . The stock traded as high as $24.34 and last traded at $24.49. Approximately 557,084 shares were traded during trading, a decline of 78% from the average daily volume of 2,483,043 shares. The stock had previously closed at $23.37.

Wall Street Analysts Forecast Growth

Several equities research analysts have issued reports on ALGM shares. Mizuho set a $26.00 price target on Allegro MicroSystems in a research note on Friday, October 18th. Needham & Company LLC reiterated a “buy” rating and set a $30.00 target price on shares of Allegro MicroSystems in a report on Friday, January 31st. Wells Fargo & Company boosted their price objective on shares of Allegro MicroSystems from $23.00 to $27.00 and gave the company an “overweight” rating in a research report on Monday, January 13th. Morgan Stanley increased their target price on Allegro MicroSystems from $21.00 to $23.00 and gave the stock an “equal weight” rating in a research report on Monday, February 3rd. Finally, Loop Capital started coverage on shares of Allegro MicroSystems in a report on Tuesday, November 12th. They issued a “buy” rating and a $30.00 price objective on the stock. One analyst has rated the stock with a hold rating and nine have given a buy 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 $30.70.

Allegro MicroSystems Stock Performance

The business has a 50-day moving average of $22.93 and a 200 day moving average of $22.48. The company has a debt-to-equity ratio of 0.40, a current ratio of 4.91 and a quick ratio of 3.00. The company has a market cap of $4.47 billion, a PE ratio of -69.38 and a beta of 1.66.

Insider Transactions at Allegro MicroSystems

In related news, SVP Michael Doogue purchased 15,000 shares of Allegro MicroSystems stock in a transaction on Monday, November 18th. The shares were bought at an average cost of $19.00 per share, for a total transaction of $285,000.00. Following the acquisition, the senior vice president now owns 246,086 shares in the company, valued at approximately $4,675,634. The trade was a 6.49 % increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Corporate insiders own 0.50% of the company’s stock.

Hedge Funds Weigh In On Allegro MicroSystems

Several institutional investors have recently added to or reduced their stakes in ALGM. Venturi Wealth Management LLC purchased a new position in shares of Allegro MicroSystems during the 4th quarter worth about $47,000. KBC Group NV raised its position in Allegro MicroSystems by 40.9% during the 3rd quarter. KBC Group NV now owns 3,590 shares of the company’s stock valued at $84,000 after purchasing an additional 1,042 shares in the last quarter. Van ECK Associates Corp bought a new stake in shares of Allegro MicroSystems in the third quarter valued at about $172,000. Intech Investment Management LLC purchased a new stake in shares of Allegro MicroSystems in the 3rd quarter worth approximately $214,000. Finally, nVerses Capital LLC purchased a new stake in Allegro MicroSystems during the third quarter worth $231,000. Hedge funds and other institutional investors own 56.45% of the company’s stock.

About Allegro MicroSystems

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; and power ICs comprising motor driver ICs, regulator and LED driver ICs, and isolated gate drivers.