Allegro MicroSystems, Inc. (NASDAQ:ALGM) Sees Large Increase in Short Interest

Allegro MicroSystems, Inc. (NASDAQ:ALGM) was the target of a large growth in short interest in October. As of October 31st, there was short interest totalling 12,310,000 shares, a growth of 5.3% from the October 15th total of 11,690,000 shares. Based on an average daily trading volume, of 2,150,000 shares, the days-to-cover ratio is presently 5.7 days. Approximately 10.1% of the shares of the stock are sold short.

Allegro MicroSystems Trading Up 0.9 %

Shares of ALGM opened at $19.24 on Tuesday. The firm has a market capitalization of $3.54 billion, a price-to-earnings ratio of -137.42 and a beta of 1.69. The company has a debt-to-equity ratio of 0.42, a current ratio of 4.22 and a quick ratio of 2.80. Allegro MicroSystems has a 1-year low of $18.59 and a 1-year high of $33.26. The company has a 50-day moving average of $21.60 and a 200 day moving average of $25.31.

Allegro MicroSystems (NASDAQ:ALGM) last announced its quarterly earnings results on Thursday, October 31st. The company reported $0.08 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.06 by $0.02. Allegro MicroSystems had a positive return on equity of 8.48% and a negative net margin of 2.96%. The firm had revenue of $187.39 million during the quarter, compared to analyst estimates of $187.52 million. During the same quarter in the previous year, the business earned $0.36 earnings per share. Allegro MicroSystems’s quarterly revenue was down 32.0% on a year-over-year basis.

Hedge Funds Weigh In On Allegro MicroSystems

Hedge funds and other institutional investors have recently modified their holdings of the business. Clearbridge Investments LLC lifted its position in shares of Allegro MicroSystems by 6.7% during the first quarter. Clearbridge Investments LLC now owns 3,731,268 shares of the company’s stock valued at $100,595,000 after buying an additional 235,335 shares during the last quarter. Silvercrest Asset Management Group LLC grew its stake in Allegro MicroSystems by 363.0% during the 1st quarter. Silvercrest Asset Management Group LLC now owns 632,546 shares of the company’s stock valued at $17,053,000 after purchasing an additional 495,935 shares during the last quarter. Russell Investments Group Ltd. increased its holdings in Allegro MicroSystems by 238.9% in the 1st quarter. Russell Investments Group Ltd. now owns 55,734 shares of the company’s stock worth $1,503,000 after buying an additional 39,289 shares during the period. XTX Topco Ltd acquired a new position in Allegro MicroSystems during the second quarter valued at $856,000. Finally, Principal Financial Group Inc. raised its stake in shares of Allegro MicroSystems by 14.1% during the 3rd quarter. Principal Financial Group Inc. now owns 2,499,760 shares of the company’s stock valued at $58,244,000 after buying an additional 308,943 shares during the last quarter. 56.45% of the stock is currently owned by institutional investors.

Wall Street Analysts Forecast Growth

A number of research analysts have recently commented on ALGM shares. Barclays lowered their target price on Allegro MicroSystems from $32.00 to $25.00 and set an “overweight” rating for the company in a research report on Friday, November 1st. Loop Capital began coverage on shares of Allegro MicroSystems in a research report on Tuesday, November 12th. They set a “buy” rating and a $30.00 price objective for the company. UBS Group began coverage on Allegro MicroSystems in a research report on Tuesday, September 3rd. They issued a “buy” rating and a $33.00 price target for the company. Morgan Stanley started coverage on Allegro MicroSystems in a research report on Thursday, November 7th. They set an “equal weight” rating and a $21.00 target price on the stock. Finally, Needham & Company LLC lowered their price target on Allegro MicroSystems from $33.00 to $30.00 and set a “buy” rating for the company in a research report on Thursday, October 31st. One investment analyst has rated the stock with a hold rating and nine have issued a buy rating to the company. According to MarketBeat, the company currently has an average rating of “Moderate Buy” and an average price target of $30.80.

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.