Allegro MicroSystems (NASDAQ:ALGM) Reaches New 1-Year Low – Time to Sell?

Allegro MicroSystems, Inc. (NASDAQ:ALGM) hit a new 52-week low on Friday . The stock traded as low as $19.27 and last traded at $19.56, with a volume of 103873 shares changing hands. The stock had previously closed at $19.83.

Analysts Set New Price Targets

Several brokerages have issued reports on ALGM. UBS Group assumed coverage on Allegro MicroSystems in a research note on Tuesday, September 3rd. They issued a “buy” rating and a $33.00 target price on the stock. Mizuho set a $26.00 target price on shares of Allegro MicroSystems in a research report on Friday, October 18th. Needham & Company LLC lowered their price target on shares of Allegro MicroSystems from $33.00 to $30.00 and set a “buy” rating on the stock in a research report on Thursday, October 31st. Barclays dropped their price target on shares of Allegro MicroSystems from $32.00 to $25.00 and set an “overweight” rating on the stock in a research note on Friday, November 1st. Finally, Morgan Stanley assumed coverage on shares of Allegro MicroSystems in a research note on Thursday, November 7th. They issued an “equal weight” rating and a $21.00 price objective for the company. One investment analyst has rated the stock with a hold rating and nine have assigned a buy rating to the company’s stock. Based on data from MarketBeat, Allegro MicroSystems currently has a consensus rating of “Moderate Buy” and a consensus price target of $30.80.

Allegro MicroSystems Price Performance

The stock has a market capitalization of $3.45 billion, a PE ratio of -141.64 and a beta of 1.69. The business’s 50-day moving average price is $21.70 and its 200 day moving average price is $25.52. The company has a debt-to-equity ratio of 0.42, a quick ratio of 2.80 and a current ratio of 4.22.

Allegro MicroSystems (NASDAQ:ALGM) last posted its earnings results on Thursday, October 31st. The company reported $0.08 EPS for the quarter, topping the consensus estimate of $0.06 by $0.02. Allegro MicroSystems had a positive return on equity of 8.48% and a negative net margin of 2.96%. The business had revenue of $187.39 million during the quarter, compared to analysts’ expectations of $187.52 million. During the same period in the previous year, the business earned $0.36 earnings per share. The firm’s revenue was down 32.0% on a year-over-year basis.

Hedge Funds Weigh In On Allegro MicroSystems

Institutional investors have recently made changes to their positions in the stock. FMR LLC grew its position in Allegro MicroSystems by 43.3% in the third quarter. FMR LLC now owns 28,253,811 shares of the company’s stock worth $658,314,000 after acquiring an additional 8,534,089 shares in the last quarter. Vanguard Group Inc. boosted its holdings in shares of Allegro MicroSystems by 13.5% in the 1st quarter. Vanguard Group Inc. now owns 8,400,064 shares of the company’s stock worth $226,466,000 after purchasing an additional 999,939 shares in the last quarter. Loomis Sayles & Co. L P bought a new position in shares of Allegro MicroSystems during the 3rd quarter valued at about $18,269,000. Westfield Capital Management Co. LP raised its holdings in shares of Allegro MicroSystems by 54.6% during the 3rd quarter. Westfield Capital Management Co. LP now owns 2,014,481 shares of the company’s stock valued at $46,937,000 after buying an additional 711,185 shares in the last quarter. Finally, Charles Schwab Investment Management Inc. lifted its position in Allegro MicroSystems by 101.6% in the 3rd quarter. Charles Schwab Investment Management Inc. now owns 1,366,308 shares of the company’s stock worth $31,835,000 after buying an additional 688,539 shares during the last quarter. 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.