Allegro MicroSystems (NASDAQ:ALGM) Shares Up 3.5% - Time to Buy?

Allegro MicroSystems, Inc. (NASDAQ:ALGM - Get Free Report)'s share price shot up 3.5% on Wednesday . The stock traded as high as $20.89 and last traded at $20.89. 251,410 shares were traded during trading, a decline of 87% from the average session volume of 1,916,370 shares. The stock had previously closed at $20.19.

Analyst Ratings Changes

ALGM has been the subject of a number of research analyst reports. Mizuho set a $26.00 target price on Allegro MicroSystems in a research note on Friday, October 18th. Needham & Company LLC reaffirmed a "buy" rating and issued a $33.00 target price on shares of Allegro MicroSystems in a research report on Friday, August 2nd. Finally, UBS Group started coverage on Allegro MicroSystems in a report on Tuesday, September 3rd. They issued a "buy" rating and a $33.00 target price on the stock. Eight equities research analysts have rated the stock with a buy rating, Based on data from MarketBeat, the company has an average rating of "Buy" and a consensus price target of $33.38.

Allegro MicroSystems Stock Up 3.1 %

The stock has a market cap of $4.03 billion, a P/E ratio of 26.38 and a beta of 1.67. The company has a current ratio of 4.65, a quick ratio of 2.98 and a debt-to-equity ratio of 0.18. The company's 50 day moving average price is $22.68 and its two-hundred day moving average price is $26.20.

Allegro MicroSystems (NASDAQ:ALGM - Get Free Report) last released its quarterly earnings results on Thursday, August 1st. The company reported $0.03 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.02 by $0.01. Allegro MicroSystems had a return on equity of 13.88% and a net margin of 7.91%. The business had revenue of $166.90 million during the quarter, compared to analyst estimates of $165.04 million. During the same quarter in the previous year, the company posted $0.34 earnings per share. Allegro MicroSystems's revenue for the quarter was down 40.0% on a year-over-year basis. Equities analysts forecast that Allegro MicroSystems, Inc. will post 0.16 earnings per share for the current year.

Insider Buying and Selling at Allegro MicroSystems

In other news, major shareholder Electric Co. Ltd. Sanken sold 28,750,000 shares of the firm's stock in a transaction on Monday, July 29th. The shares were sold at an average price of $23.16, for a total transaction of $665,850,000.00. Following the sale, the insider now directly owns 69,750,097 shares in the company, valued at $1,615,412,246.52. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this hyperlink. Insiders own 0.50% of the company's stock.

Institutional Investors Weigh In On Allegro MicroSystems

Several large investors have recently made changes to their positions in ALGM. nVerses Capital LLC purchased a new position in Allegro MicroSystems during the 3rd quarter valued at approximately $231,000. Ecofi Investissements SA purchased a new position in shares of Allegro MicroSystems in the second quarter valued at $2,349,000. Creative Planning increased its position in Allegro MicroSystems by 25.6% in the second quarter. Creative Planning now owns 17,349 shares of the company's stock worth $490,000 after purchasing an additional 3,540 shares during the last quarter. Algert Global LLC raised its stake in Allegro MicroSystems by 26.8% during the second quarter. Algert Global LLC now owns 25,744 shares of the company's stock valued at $727,000 after purchasing an additional 5,444 shares in the last quarter. Finally, The Manufacturers Life Insurance Company lifted its position in Allegro MicroSystems by 15.3% during the second quarter. The Manufacturers Life Insurance Company now owns 2,148,478 shares of the company's stock valued at $60,673,000 after purchasing an additional 285,747 shares during the last quarter. 56.45% of the stock is owned by institutional investors.

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.