Allegro MicroSystems (NASDAQ:ALGM) Shares Down 10.8% - Should You Sell?

Allegro MicroSystems, Inc. (NASDAQ:ALGM - Get Free Report)'s stock price dropped 10.8% during trading on Tuesday . The company traded as low as $19.21 and last traded at $18.78. Approximately 2,517,200 shares were traded during trading, an increase of 9% from the average daily volume of 2,317,367 shares. The stock had previously closed at $21.06.

Analyst Ratings Changes

A number of equities research analysts have recently weighed in on ALGM shares. Morgan Stanley boosted their price target on Allegro MicroSystems from $21.00 to $23.00 and gave the company an "equal weight" rating in a report on Monday, February 3rd. Needham & Company LLC reissued a "buy" rating and set a $30.00 target price on shares of Allegro MicroSystems in a report on Monday, February 24th. Barclays lifted their price target on shares of Allegro MicroSystems from $25.00 to $30.00 and gave the company an "overweight" rating in a report on Friday, January 17th. Mizuho increased their price objective on shares of Allegro MicroSystems from $28.00 to $31.00 and gave the stock an "outperform" rating in a research note on Monday, March 24th. Finally, Wells Fargo & Company lifted their target price on Allegro MicroSystems from $23.00 to $27.00 and gave the company an "overweight" rating in a research note on Monday, January 13th. One analyst has rated the stock with a hold rating and nine have issued a buy rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and an average target price of $31.20.

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Allegro MicroSystems Price Performance

The business has a fifty day moving average of $24.92 and a 200-day moving average of $23.04. The company has a debt-to-equity ratio of 0.40, a quick ratio of 3.00 and a current ratio of 4.91. The firm has a market capitalization of $4.09 billion, a P/E ratio of -63.51 and a beta of 1.53.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the business. TD Waterhouse Canada Inc. bought a new position in Allegro MicroSystems in the 4th quarter valued at about $40,000. Venturi Wealth Management LLC acquired a new stake in shares of Allegro MicroSystems in the 4th quarter worth approximately $47,000. Quarry LP bought a new position in shares of Allegro MicroSystems in the fourth quarter valued at approximately $79,000. Sterling Capital Management LLC increased its stake in shares of Allegro MicroSystems by 59.9% during the fourth quarter. Sterling Capital Management LLC now owns 7,364 shares of the company's stock valued at $161,000 after acquiring an additional 2,758 shares during the period. Finally, Aster Capital Management DIFC Ltd bought a new stake in Allegro MicroSystems during the fourth quarter worth approximately $186,000. 56.45% of the stock is owned by institutional investors and hedge funds.

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