Allegro Microsystems Stock: A Deep Dive Into Analyst Perspectives (6 Ratings)
Analysts' ratings for Allegro Microsystems (NASDAQ:ALGM) over the last quarter vary from bullish to bearish, as provided by 6 analysts.
The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 4 | 2 | 0 | 0 | 0 |
| Last 30D | 1 | 0 | 0 | 0 | 0 |
| 1M Ago | 3 | 2 | 0 | 0 | 0 |
| 2M Ago | 0 | 0 | 0 | 0 | 0 |
| 3M Ago | 0 | 0 | 0 | 0 | 0 |
In the assessment of 12-month price targets, analysts unveil insights for Allegro Microsystems, presenting an average target of $34.17, a high estimate of $37.00, and a low estimate of $32.00. Highlighting a 11.82% decrease, the current average has fallen from the previous average price target of $38.75.
Deciphering Analyst Ratings: An In-Depth Analysis
In examining recent analyst actions, we gain insights into how financial experts perceive Allegro Microsystems. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| Blayne Curtis | Jefferies | Announces | Buy | $37.00 | - |
| Blayne Curtis | Barclays | Lowers | Overweight | $32.00 | $35.00 |
| Joshua Buchalter | TD Cowen | Lowers | Buy | $32.00 | $35.00 |
| Vijay Rakesh | Mizuho | Lowers | Buy | $35.00 | $45.00 |
| Quinn Bolton | Needham | Lowers | Buy | $33.00 | $40.00 |
| Mark Lipacis | Evercore ISI Group | Announces | Outperform | $36.00 | - |
Key Insights:
- Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Allegro Microsystems. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Allegro Microsystems compared to the broader market.
- Price Targets: Understanding forecasts, analysts offer estimates for Allegro Microsystems's future value. Examining the current and prior targets provides insight into analysts' changing expectations.
For valuable insights into Allegro Microsystems's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.
Stay up to date on Allegro Microsystems analyst ratings.
Get to Know Allegro Microsystems Better
Allegro Microsystems Inc is a designer, developer, fabless manufacturer and marketer of sensor ICs and application-specific analog power ICs enabling the critical emerging technologies in the automotive and industrial markets. It is a supplier of power ICs. Its sensor IC allow customers to precisely measure motion, speed, position and current. At the same time, its power ICs include high-temperature and high-voltage capable motor driver, power management and LED driver ICs. Its products are divided into three categories such as SENSE which include Current Sensors, Switches and Latches, Linear and Angular Position, Magnetic Speed Sensors, and Photonics; REGULATE which include Regulators, ClearPower Modules, and LED Drivers; and DRIVE which includes BLDC Drivers, Brush DC and Stepper Driver.
Allegro Microsystems's Economic Impact: An Analysis
Market Capitalization: Indicating a reduced size compared to industry averages, the company's market capitalization poses unique challenges.
Revenue Challenges: Allegro Microsystems's revenue growth over 3 months faced difficulties. As of 31 March, 2024, the company experienced a decline of approximately -5.65%. This indicates a decrease in top-line earnings. When compared to others in the Information Technology sector, the company faces challenges, achieving a growth rate lower than the average among peers.
Net Margin: Allegro Microsystems's net margin excels beyond industry benchmarks, reaching -2.96%. This signifies efficient cost management and strong financial health.
Return on Equity (ROE): Allegro Microsystems's ROE lags behind industry averages, suggesting challenges in maximizing returns on equity capital. With an ROE of -0.63%, the company may face hurdles in achieving optimal financial performance.
Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of -0.46%, the company showcases effective utilization of assets.
Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.22.
Understanding the Relevance of Analyst Ratings
Benzinga tracks 150 analyst firms and reports on their stock expectations. Analysts typically arrive at their conclusions by predicting how much money a company will make in the future, usually the upcoming five years, and how risky or predictable that company's revenue streams are.
Analysts attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish their ratings on stocks. Analysts typically rate each stock once per quarter or whenever the company has a major update.
In addition to their assessments, some analysts extend their insights by offering predictions for key metrics such as earnings, revenue, and growth estimates. This supplementary information provides further guidance for traders. It is crucial to recognize that, despite their specialization, analysts are human and can only provide forecasts based on their beliefs.
This article was generated by Benzinga's automated content engine and reviewed by an editor.