why Allegro Microsystems Inc. [ALGM] is a Good Choice for Investors After New Price Target of $38.12

Allegro Microsystems Inc. [NASDAQ: ALGM] jumped around 0.02 points on Thursday, while shares priced at $31.25 at the close of the session, up 0.06%. The company report on February 13, 2024 at 8:00 AM that Allegro MicroSystems to Present at Morgan Stanley’s Technology, Media & Telecom Conference on March 4.

A live and archived webcast of the fireside chat will be available on the Investor Relations page of the Company’s website at www.allegromicro.com.

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Compared to the average trading volume of 1.57M shares, ALGM reached a trading volume of 3205041 in the most recent trading day, which is why market watchdogs consider the stock to be active.

What do top market gurus say about Allegro Microsystems Inc. [ALGM]?

Based on careful and fact-backed analyses by Wall Street experts, the current consensus on the target price for ALGM shares is $38.12 per share. Analysis on target price and performance of stocks is usually carefully studied by market experts, and the current Wall Street consensus on ALGM stock is a recommendation set at 1.33. This rating represents a strong Buy recommendation, on the scale from 1 to 5, where 5 would mean strong sell, 4 represents Sell, 3 is Hold, and 2 indicates Buy.

Wolfe Research have made an estimate for Allegro Microsystems Inc. shares, keeping their opinion on the stock as Outperform, with their previous recommendation back on February 02, 2024.

The Average True Range (ATR) for Allegro Microsystems Inc. is set at 1.15, with the Price to Sales ratio for ALGM stock in the period of the last 12 months amounting to 5.60. The Price to Book ratio for the last quarter was 5.32, with the Price to Cash per share for the same quarter was set at 1.16. Price to Free Cash Flow for ALGM in the course of the last twelve months was 81.19 with Quick ratio for the last quarter at 3.19.

How has ALGM stock performed recently?

Allegro Microsystems Inc. [ALGM] gain into the green zone at the end of the last week, gaining into a positive trend and gaining by 1.82. With this latest performance, ALGM shares gained by 22.26% in over the last four-week period, additionally sinking by -17.94% over the last 6 months – not to mention a drop of -29.98% in the past year of trading.

Overbought and oversold stocks can be easily traced with the Relative Strength Index (RSI), where an RSI result of over 70 would be overbought, and any rate below 30 would indicate oversold conditions. An RSI rate of 50 would represent a neutral market momentum. The current RSI for ALGM stock in for the last two-week period is set at 61.57, with the RSI for the last a single of trading hit 64.22, and the three-weeks RSI is set at 59.10 for Allegro Microsystems Inc. [ALGM]. The present Moving Average for the last 50 days of trading for this stock 28.71, while it was recorded at 31.20 for the last single week of trading, and 34.61 for the last 200 days.

Allegro Microsystems Inc. [ALGM]: Deeper insight into the fundamentals

Allegro Microsystems Inc.’s liquidity data is similarly interesting compelling, with a Quick Ratio of 3.19 and a Current Ratio set at 4.57.

Earnings analysis for Allegro Microsystems Inc. [ALGM]

With the latest financial reports released by the company, Allegro Microsystems Inc. posted 0.37/share EPS, while the average EPS was predicted by analysts to be reported at 0.36/share. When compared, the two values demonstrate that the company surpassed the estimates by a Surprise Factor of 2.80%. The progress of the company may be observed through the prism of EPS growth rate, while Wall Street analysts are focusing on predicting the 5-year EPS growth rate for ALGM. When it comes to the mentioned value, analysts are expecting to see the 5-year EPS growth rate for Allegro Microsystems Inc. go to 8.70%.

Insider trade positions for Allegro Microsystems Inc. [ALGM]

The top three institutional holders of ALGM stocks are: VANGUARD GROUP INC with ownership of 1.3 billion shares, which is approximately 8.2815%. BLACKROCK INC., holding 1.03 billion shares of the stock with an approximate value of $176.59 billion in ALGM stocks shares; and BERKSHIRE HATHAWAY INC, currently with $156.75 billion in ALGM stock with ownership which is approximately 5.8325%.