Forecasting The Future: 9 Analyst Projections For Allegro Microsystems
In the preceding three months, 9 analysts have released ratings for Allegro Microsystems (NASDAQ:ALGM), presenting a wide array of perspectives from bullish to bearish.
The table below summarizes their recent ratings, showcasing the evolving sentiments within the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 5 | 3 | 1 | 0 | 0 |
| Last 30D | 0 | 1 | 0 | 0 | 0 |
| 1M Ago | 5 | 2 | 1 | 0 | 0 |
| 2M Ago | 0 | 0 | 0 | 0 | 0 |
| 3M Ago | 0 | 0 | 0 | 0 | 0 |
Analysts have recently evaluated Allegro Microsystems and provided 12-month price targets. The average target is $44.0, accompanied by a high estimate of $48.00 and a low estimate of $39.00. This current average has increased by 15.46% from the previous average price target of $38.11.
Diving into Analyst Ratings: An In-Depth Exploration
The standing of Allegro Microsystems among financial experts is revealed through an in-depth exploration of recent analyst actions. The summary below 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 |
|---|---|---|---|---|---|
| Joseph Quatrochi | Wells Fargo | Raises | Overweight | $48.00 | $45.00 |
| Blayne Curtis | Jefferies | Raises | Buy | $43.00 | $37.00 |
| Timothy Arcuri | UBS | Raises | Buy | $44.00 | $40.00 |
| Joshua Buchalter | TD Cowen | Raises | Buy | $45.00 | $38.00 |
| Joseph Moore | Morgan Stanley | Raises | Equal-Weight | $45.00 | $35.00 |
| Joseph Quatrochi | Wells Fargo | Raises | Overweight | $45.00 | $40.00 |
| Tom O'Malley | Barclays | Raises | Overweight | $46.00 | $35.00 |
| N. Quinn Bolton | Needham | Raises | Buy | $41.00 | $37.00 |
| Vivek Arya | B of A Securities | Raises | Buy | $39.00 | $36.00 |
Key Insights:
- Action Taken: In response to dynamic market conditions and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their reaction to recent developments related to Allegro Microsystems. This insight gives a snapshot of analysts' perspectives on 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: Analysts explore the dynamics of price targets, providing estimates for the future value of Allegro Microsystems's stock. This examination reveals shifts in analysts' expectations over time.
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 for automotive and industrial markets. Its Sensor IC allows customers to precisely measure motion, speed, position, and current, and Power ICs include high-temperature and high-voltage capable motor drivers, power management, and LED driver ICs. Its products are divided into three categories such as SENSE which includes Current Sensors, Switches and Latches, and Interface ICs among others; REGULATE which includes Regulators, ClearPower Modules, and LED Drivers; and DRIVE which includes BLDC Drivers, Brush DC, and others. Key revenue for the company is generated from Greater China and the rest from the United States, Japan, Europe, and other regions.
Financial Milestones: Allegro Microsystems's Journey
Market Capitalization Analysis: Below industry benchmarks, the company's market capitalization reflects a smaller scale relative to peers. This could be attributed to factors such as growth expectations or operational capacity.
Positive Revenue Trend: Examining Allegro Microsystems's financials over 3M reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 28.86% as of 31 December, 2025, showcasing a substantial increase in top-line earnings. As compared to its peers, the company achieved a growth rate higher than the average among peers in Information Technology sector.
Net Margin: Allegro Microsystems's net margin excels beyond industry benchmarks, reaching 3.62%. This signifies efficient cost management and strong financial health.
Return on Equity (ROE): Allegro Microsystems's financial strength is reflected in its exceptional ROE, which exceeds industry averages. With a remarkable ROE of 0.87%, the company showcases efficient use of equity capital and strong financial health.
Return on Assets (ROA): The company's ROA is a standout performer, exceeding industry averages. With an impressive ROA of 0.59%, the company showcases effective utilization of assets.
Debt Management: Allegro Microsystems's debt-to-equity ratio stands notably higher than the industry average, reaching 0.32. This indicates a heavier reliance on borrowed funds, raising concerns about financial leverage.
The Basics of Analyst Ratings
Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.
Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.
This article was generated by Benzinga's automated content engine and reviewed by an editor.