Allegro MicroSystems (NASDAQ:ALGM) Shares Gap Down – Time to Sell?

Allegro MicroSystems, Inc. (NASDAQ:ALGM)’s share price gapped down before the market opened on Tuesday . The stock had previously closed at $22.01, but opened at $20.25. Allegro MicroSystems shares last traded at $20.03, with a volume of 885,816 shares trading hands.

Analyst Upgrades and Downgrades

A number of equities research analysts recently commented on ALGM shares. Mizuho lifted their target price on Allegro MicroSystems from $28.00 to $31.00 and gave the stock an “outperform” rating in a report on Monday, March 24th. Needham & Company LLC reiterated a “buy” rating and issued a $30.00 price objective on shares of Allegro MicroSystems in a research note on Monday, February 24th. Barclays boosted their target price on shares of Allegro MicroSystems from $25.00 to $30.00 and gave the company an “overweight” rating in a research report on Friday, January 17th. Wells Fargo & Company upped their price target on shares of Allegro MicroSystems from $23.00 to $27.00 and gave the company an “overweight” rating in a report on Monday, January 13th. Finally, Morgan Stanley lifted their price objective on Allegro MicroSystems from $21.00 to $23.00 and gave the company an “equal weight” rating in a research note on Monday, February 3rd. One investment analyst has rated the stock with a hold rating and nine have assigned a buy rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $31.20.

Allegro MicroSystems Price Performance

The stock has a market capitalization of $3.63 billion, a price-to-earnings ratio of -56.11 and a beta of 1.53. The company has a current ratio of 4.91, a quick ratio of 3.00 and a debt-to-equity ratio of 0.40. The stock has a 50-day moving average price of $24.87 and a 200 day moving average price of $23.02.

Institutional Investors Weigh In On Allegro MicroSystems

A number of hedge funds have recently modified their holdings of the business. JPMorgan Chase & Co. boosted its stake in Allegro MicroSystems by 20.6% during the third quarter. JPMorgan Chase & Co. now owns 11,023,628 shares of the company’s stock worth $256,851,000 after buying an additional 1,884,578 shares during the period. Schonfeld Strategic Advisors LLC purchased a new stake in shares of Allegro MicroSystems in the 4th quarter valued at $35,433,000. Paloma Partners Management Co lifted its stake in Allegro MicroSystems by 312.8% during the 4th quarter. Paloma Partners Management Co now owns 2,103,800 shares of the company’s stock worth $45,989,000 after acquiring an additional 1,594,170 shares in the last quarter. Norges Bank acquired a new position in Allegro MicroSystems during the 4th quarter worth about $26,926,000. Finally, Geode Capital Management LLC boosted its holdings in Allegro MicroSystems by 86.5% during the 3rd quarter. Geode Capital Management LLC now owns 2,561,482 shares of the company’s stock valued at $59,699,000 after acquiring an additional 1,187,792 shares during the period. 56.45% of the stock is currently owned by institutional investors and hedge funds.

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.