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

Allegro MicroSystems, Inc. (NASDAQ:ALGM) saw a large growth in short interest in the month of September. As of September 15th, there was short interest totalling 10,280,000 shares, a growth of 11.7% from the August 31st total of 9,200,000 shares. Based on an average daily volume of 2,550,000 shares, the days-to-cover ratio is currently 4.0 days. Approximately 8.2% of the company’s shares are sold short.

Allegro MicroSystems Trading Up 1.4 %

Shares of NASDAQ:ALGM opened at $24.31 on Friday. 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 has a market capitalization of $4.71 billion, a PE ratio of 31.17 and a beta of 1.68. The business has a 50 day moving average of $23.55 and a two-hundred day moving average of $26.92. Allegro MicroSystems has a 12-month low of $20.42 and a 12-month high of $33.26.

Allegro MicroSystems (NASDAQ:ALGM) last released its quarterly earnings results on Thursday, August 1st. The company reported $0.03 earnings per share for the quarter, topping analysts’ consensus estimates of $0.02 by $0.01. The company had revenue of $166.90 million during the quarter, compared to analysts’ expectations of $165.04 million. Allegro MicroSystems had a return on equity of 13.88% and a net margin of 7.91%. Allegro MicroSystems’s quarterly revenue was down 40.0% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $0.34 EPS. As a group, analysts forecast that Allegro MicroSystems will post 0.16 EPS for the current year.

Analysts Set New Price Targets

A number of analysts recently issued reports on ALGM shares. UBS Group assumed coverage on Allegro MicroSystems in a report on Tuesday, September 3rd. They issued a “buy” rating and a $33.00 price target for the company. Needham & Company LLC reiterated a “buy” rating and issued a $33.00 target price on shares of Allegro MicroSystems in a report on Friday, August 2nd. Finally, TD Cowen increased their price target on Allegro MicroSystems from $32.00 to $35.00 and gave the stock a “buy” rating in a research report on Thursday, June 13th. One investment analyst has rated the stock with a hold rating and eight have given a buy rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and an average target price of $34.44.

Insider Buying and Selling

In related news, major shareholder Electric Co. Ltd. Sanken sold 28,750,000 shares of the business’s stock in a transaction on Monday, July 29th. The stock was sold at an average price of $23.16, for a total transaction of $665,850,000.00. Following the completion of the transaction, the insider now owns 69,750,097 shares in the company, valued at approximately $1,615,412,246.52. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. 0.50% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On Allegro MicroSystems

Several hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Treasurer of the State of North Carolina lifted its stake in Allegro MicroSystems by 1.0% in the 4th quarter. Treasurer of the State of North Carolina now owns 33,247 shares of the company’s stock valued at $1,006,000 after buying an additional 320 shares in the last quarter. State of Michigan Retirement System raised its holdings in Allegro MicroSystems by 2.3% in the 1st quarter. State of Michigan Retirement System now owns 17,500 shares of the company’s stock valued at $472,000 after buying an additional 400 shares during the period. Retirement Systems of Alabama boosted its stake in Allegro MicroSystems by 0.4% during the first quarter. Retirement Systems of Alabama now owns 130,731 shares of the company’s stock worth $3,525,000 after buying an additional 537 shares during the period. GAMMA Investing LLC lifted its holdings in shares of Allegro MicroSystems by 52.2% in the 2nd quarter. GAMMA Investing LLC now owns 1,759 shares of the company’s stock worth $50,000 after acquiring an additional 603 shares during the last quarter. Finally, CWM LLC increased its holdings in Allegro MicroSystems by 27.7% in the 2nd quarter. CWM LLC now owns 4,241 shares of the company’s stock valued at $120,000 after purchasing an additional 921 shares during the last quarter. 56.45% of the stock is owned by hedge funds and other institutional investors.

Allegro MicroSystems Company Profile

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; power ICs comprising motor driver ICs, regulator and LED driver ICs, and isolated gate drivers; and photonic and advanced 3D sensing components.