Allegro Microsystems (ALGM)
Market Price (5/11/2026): $48.0 | Market Cap: $8.9 BilSector: Information Technology | Industry: Semiconductor Materials & Equipment
Allegro Microsystems (ALGM)
Market Price (5/11/2026): $48.0Market Cap: $8.9 BilSector: Information TechnologyIndustry: Semiconductor Materials & Equipment
Investment Highlights Why It Matters Detailed financial logic regarding cash flow yields vs trend-riding momentum.
Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 18%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 14% Megatrend and thematic driversMegatrends include Electric Vehicles & Autonomous Driving, and Automation & Robotics. Themes include EV Manufacturing, Autonomous Driving Technology, Show more. | Weak multi-year price returns3Y Excs Rtn is -50% | Not profitable at operating income levelOp Inc LTMOperating Income, Last Twelve Months is -0.1 Mil, Op Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is 0.0% Expensive valuation multiplesP/CFOPrice/(Cash Flow from Operations). CFO is cash before capital expenditures. is 61x Stock price has recently run up significantly12M Rtn12 month market price return is 117% Weak revenue growthRev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -0.2% Valuation getting more expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is 56% Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -4.2% Key risksALGM key risks include [1] a high dependency on the cyclical automotive and industrial sectors and [2] reliance on a limited number of third-party fabrication facilities. |
| Attractive cash flow generationCFO/Rev LTMCash Flow from Operations / Revenue (Sales), Last Twelve Months (LTM) is 18%, FCF/Rev LTMFree Cash Flow / Revenue (Sales), Last Twelve Months (LTM) is 14% |
| Megatrend and thematic driversMegatrends include Electric Vehicles & Autonomous Driving, and Automation & Robotics. Themes include EV Manufacturing, Autonomous Driving Technology, Show more. |
| Weak multi-year price returns3Y Excs Rtn is -50% |
| Not profitable at operating income levelOp Inc LTMOperating Income, Last Twelve Months is -0.1 Mil, Op Mgn LTMOperating Margin = Operating Income / Revenue Reflects profitability before taxes and before impact of capital structure (interest payments). is 0.0% |
| Expensive valuation multiplesP/CFOPrice/(Cash Flow from Operations). CFO is cash before capital expenditures. is 61x |
| Stock price has recently run up significantly12M Rtn12 month market price return is 117% |
| Weak revenue growthRev Chg 3Y AvgRevenue Change % averaged over trailing 3 years is -0.2% |
| Valuation getting more expensiveP/S 6M Chg %Price/Sales change over 6 months. Declining P/S indicates valuation has become less expensive. is 56% |
| Yield minus risk free rate is negativeERPEquity Risk Premium (ERP) = Total Yield - Risk Free Rate, Reflects the premium above risk free assets offered by the investment. is -4.2% |
| Key risksALGM key risks include [1] a high dependency on the cyclical automotive and industrial sectors and [2] reliance on a limited number of third-party fabrication facilities. |
Qualitative Assessment
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Allegro Microsystems (ALGM) stock has gained about 30% since 1/31/2026 because of the following key factors:
1. Allegro MicroSystems delivered strong financial results, beating earnings expectations and providing a positive outlook. The company reported Q3 fiscal year 2026 earnings per share of $0.15 on January 29, 2026, surpassing analyst estimates by $0.01, with revenue growing 28.9% year-over-year to $229.21 million. This robust performance contributed to a 9.9% stock gain on the announcement day. Additionally, Q4 fiscal year 2026 sales, reported on May 7, 2026, reached $243.2 million, a 26% increase year-over-year, and non-GAAP diluted EPS was $0.17, exceeding expectations.
2. Multiple analyst upgrades and increased price targets signaled growing confidence in the company's future. Throughout the period, various financial institutions upgraded Allegro MicroSystems' stock and raised their price objectives. For instance, Morgan Stanley upgraded the company from "equal weight" to "overweight" with a $51.00 target price on February 13, 2026. Zacks also elevated ALGM to a "Buy" rating on February 4, 2026, citing an optimistic earnings outlook. The average analyst price target for ALGM converged around $45.00, with some individual targets reaching $51.00.
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1. Allegro MicroSystems delivered strong financial results, beating earnings expectations and providing a positive outlook. The company reported Q3 fiscal year 2026 earnings per share of $0.15 on January 29, 2026, surpassing analyst estimates by $0.01, with revenue growing 28.9% year-over-year to $229.21 million. This robust performance contributed to a 9.9% stock gain on the announcement day. Additionally, Q4 fiscal year 2026 sales, reported on May 7, 2026, reached $243.2 million, a 26% increase year-over-year, and non-GAAP diluted EPS was $0.17, exceeding expectations.
2. Multiple analyst upgrades and increased price targets signaled growing confidence in the company's future. Throughout the period, various financial institutions upgraded Allegro MicroSystems' stock and raised their price objectives. For instance, Morgan Stanley upgraded the company from "equal weight" to "overweight" with a $51.00 target price on February 13, 2026. Zacks also elevated ALGM to a "Buy" rating on February 4, 2026, citing an optimistic earnings outlook. The average analyst price target for ALGM converged around $45.00, with some individual targets reaching $51.00.
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Stock Movement Drivers
Fundamental Drivers
The 30.0% change in ALGM stock from 1/31/2026 to 5/11/2026 was primarily driven by a 30.0% change in the company's P/S Multiple.| (LTM values as of) | 1312026 | 5112026 | Change |
|---|---|---|---|
| Stock Price ($) | 36.91 | 48.00 | 30.0% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 840 | 840 | 0.0% |
| P/S Multiple | 8.1 | 10.6 | 30.0% |
| Shares Outstanding (Mil) | 185 | 185 | 0.0% |
| Cumulative Contribution | 30.0% |
Market Drivers
1/31/2026 to 5/11/2026| Return | Correlation | |
|---|---|---|
| ALGM | 31.1% | |
| Market (SPY) | 3.6% | 65.2% |
| Sector (XLK) | 23.8% | 54.2% |
Fundamental Drivers
The 60.4% change in ALGM stock from 10/31/2025 to 5/11/2026 was primarily driven by a 50.7% change in the company's P/S Multiple.| (LTM values as of) | 10312025 | 5112026 | Change |
|---|---|---|---|
| Stock Price ($) | 29.92 | 48.00 | 60.4% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 788 | 840 | 6.5% |
| P/S Multiple | 7.0 | 10.6 | 50.7% |
| Shares Outstanding (Mil) | 185 | 185 | -0.1% |
| Cumulative Contribution | 60.4% |
Market Drivers
10/31/2025 to 5/11/2026| Return | Correlation | |
|---|---|---|
| ALGM | 61.7% | |
| Market (SPY) | 5.5% | 58.1% |
| Sector (XLK) | 18.6% | 48.9% |
Fundamental Drivers
The 151.7% change in ALGM stock from 4/30/2025 to 5/11/2026 was primarily driven by a 133.1% change in the company's P/S Multiple.| (LTM values as of) | 4302025 | 5112026 | Change |
|---|---|---|---|
| Stock Price ($) | 19.07 | 48.00 | 151.7% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 773 | 840 | 8.7% |
| P/S Multiple | 4.5 | 10.6 | 133.1% |
| Shares Outstanding (Mil) | 184 | 185 | -0.6% |
| Cumulative Contribution | 151.7% |
Market Drivers
4/30/2025 to 5/11/2026| Return | Correlation | |
|---|---|---|
| ALGM | 153.7% | |
| Market (SPY) | 30.4% | 56.9% |
| Sector (XLK) | 70.4% | 51.7% |
Fundamental Drivers
The 34.2% change in ALGM stock from 4/30/2023 to 5/11/2026 was primarily driven by a 39.9% change in the company's P/S Multiple.| (LTM values as of) | 4302023 | 5112026 | Change |
|---|---|---|---|
| Stock Price ($) | 35.77 | 48.00 | 34.2% |
| Change Contribution By: | |||
| Total Revenues ($ Mil) | 905 | 840 | -7.2% |
| P/S Multiple | 7.6 | 10.6 | 39.9% |
| Shares Outstanding (Mil) | 191 | 185 | 3.3% |
| Cumulative Contribution | 34.2% |
Market Drivers
4/30/2023 to 5/11/2026| Return | Correlation | |
|---|---|---|
| ALGM | 35.3% | |
| Market (SPY) | 78.7% | 59.9% |
| Sector (XLK) | 140.8% | 58.6% |
Price Returns Compared
| 2021 | 2022 | 2023 | 2024 | 2025 | 2026 | Total [1] | |
|---|---|---|---|---|---|---|---|
| Returns | |||||||
| ALGM Return | 36% | -17% | 1% | -28% | 21% | 86% | 84% |
| Peers Return | 45% | -16% | 38% | -3% | 14% | 65% | 209% |
| S&P 500 Return | 27% | -19% | 24% | 23% | 16% | 8% | 97% |
Monthly Win Rates [3] | |||||||
| ALGM Win Rate | 58% | 42% | 67% | 50% | 42% | 60% | |
| Peers Win Rate | 67% | 38% | 62% | 40% | 52% | 72% | |
| S&P 500 Win Rate | 75% | 42% | 67% | 75% | 67% | 60% | |
Max Drawdowns [4] | |||||||
| ALGM Max Drawdown | -14% | -46% | -17% | -37% | -24% | 0% | |
| Peers Max Drawdown | -4% | -30% | -5% | -13% | -28% | -3% | |
| S&P 500 Max Drawdown | -1% | -25% | -1% | -2% | -15% | -7% | |
[1] Cumulative total returns since the beginning of 2021
[2] Peers: ON, NXPI, TXN, ADI, MPWR.
[3] Win Rate = % of calendar months in which monthly returns were positive
[4] Max drawdown represents maximum peak-to-trough decline within a year
[5] 2026 data is for the year up to 5/11/2026 (YTD)
How Low Can It Go
| Event | ALGM | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -40.3% | -18.8% |
| % Gain to Breakeven | 67.6% | 23.1% |
| Time to Breakeven | 44 days | 79 days |
| 2024 Yen Carry Trade Unwind | ||
| % Loss | -36.1% | -7.8% |
| % Gain to Breakeven | 56.4% | 8.5% |
| Time to Breakeven | 321 days | 18 days |
| Summer-Fall 2023 Five Percent Yield Shock | ||
| % Loss | -49.8% | -9.5% |
| % Gain to Breakeven | 99.2% | 10.5% |
| Time to Breakeven | 908 days | 24 days |
| 2023 SVB Regional Banking Crisis | ||
| % Loss | -18.6% | -6.7% |
| % Gain to Breakeven | 22.8% | 7.1% |
| Time to Breakeven | 64 days | 31 days |
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -46.1% | -24.5% |
| % Gain to Breakeven | 85.5% | 32.4% |
| Time to Breakeven | 210 days | 427 days |
In The Past
Allegro Microsystems's stock fell -40.3% during the 2025 US Tariff Shock. Such a loss loss requires a 67.6% gain to breakeven.
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Asset Allocation
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| Event | ALGM | S&P 500 |
|---|---|---|
| 2025 US Tariff Shock | ||
| % Loss | -40.3% | -18.8% |
| % Gain to Breakeven | 67.6% | 23.1% |
| Time to Breakeven | 44 days | 79 days |
| 2024 Yen Carry Trade Unwind | ||
| % Loss | -36.1% | -7.8% |
| % Gain to Breakeven | 56.4% | 8.5% |
| Time to Breakeven | 321 days | 18 days |
| Summer-Fall 2023 Five Percent Yield Shock | ||
| % Loss | -49.8% | -9.5% |
| % Gain to Breakeven | 99.2% | 10.5% |
| Time to Breakeven | 908 days | 24 days |
| 2022 Inflation Shock & Fed Tightening | ||
| % Loss | -46.1% | -24.5% |
| % Gain to Breakeven | 85.5% | 32.4% |
| Time to Breakeven | 210 days | 427 days |
In The Past
Allegro Microsystems's stock fell -40.3% during the 2025 US Tariff Shock. Such a loss loss requires a 67.6% gain to breakeven.
Preserve Wealth
Limiting losses and compounding gains is essential to preserving wealth.
Asset Allocation
Actively managed asset allocation strategies protect wealth. Learn more.
About Allegro Microsystems (ALGM)
Allegro MicroSystems, Inc. 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, and regulator and LED driver ICs, as well as photonic and 3D sensing components, including photodiodes, eye-safe lasers and rangefinders, and readout ICs for LiDAR applications. The company sells its products to original equipment manufacturers and suppliers primarily in the automotive and industrial markets through its direct sales force, third party distributors, independent sales representatives, and consignment. It operates in the United States, rest of the Americas, Europe, Japan, Greater China, South Korea, and other Asian markets. The company was incorporated in 1990 and is headquartered in Manchester, New Hampshire. Allegro MicroSystems, Inc. is a subsidiary of Sanken Electric Co., Ltd.
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Here are 1-2 brief analogies for Allegro MicroSystems:
- Allegro MicroSystems is like Texas Instruments for specialized sensor and power chips in automotive and industrial markets.
- Allegro MicroSystems is like NXP Semiconductors for critical sensor and power chips used in cars and factory machines.
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```html- Magnetic Sensor ICs: Integrated circuits designed to detect position, speed, and current.
- Power ICs: Integrated circuits comprising motor drivers, regulators, and LED drivers for energy-efficient systems.
- Photonic and 3D Sensing Components: Products including photodiodes, eye-safe lasers, rangefinders, and readout ICs for LiDAR applications.
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Allegro MicroSystems (ALGM) Major Customers
Allegro MicroSystems (ALGM) primarily sells its products to other companies. Based on the provided background information, specific names of major customer companies are not disclosed. However, the company's major customers are identified as:
- Original equipment manufacturers (OEMs) in the automotive market.
- Suppliers in the automotive market.
- Original equipment manufacturers (OEMs) in the industrial market.
- Suppliers in the industrial market.
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- United Microelectronics Corporation (UMC)
- Semiconductor Manufacturing International Corporation (0981)
- ASE Technology Holding Co., Ltd. (ASX)
- Amkor Technology, Inc. (AMKR)
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Mike Doogue, President and Chief Executive OfficerMike Doogue was appointed President and Chief Executive Officer of Allegro MicroSystems in February 2025, succeeding Vineet Nargolwala. He joined Allegro in 1998 as a Design Engineer and has since held numerous leadership roles, including Director of Strategic Marketing, Vice President of Advanced Sensor Technologies, Senior Vice President of Technology and Products, and Executive Vice President and the company's first Chief Technology Officer (CTO). As CTO, he was responsible for technology development and worldwide operations. Mr. Doogue holds 75 U.S. patents related to semiconductors.
Derek D'Antilio, Executive Vice President, Chief Financial Officer and Treasurer
Derek D'Antilio joined Allegro MicroSystems in January 2022. He brings over 20 years of financial and operating experience in semiconductor and high-technology companies. Prior to Allegro, he served as Chief Financial Officer for a Summit Partners Portfolio Company, where he led its sale and recapitalization. He also held the CFO position at IDEX Biometrics, a publicly traded fabless semiconductor company, where he was instrumental in a Nasdaq listing. His career also includes various finance and operations roles at MKS Instruments, Hewlett Packard, and Xerium Technologies, and he was an audit manager at PwC.
Richard Madormo, Senior Vice President, Worldwide Sales
Rick Madormo joined Allegro MicroSystems in March 2025 as Senior Vice President of Worldwide Sales, bringing over 25 years of experience in the semiconductor industry. In this role, he leads Allegro's global sales organization to accelerate growth in e-Mobility and industrial markets. Previously, Mr. Madormo served as Senior Vice President of Global Sales and Marketing at Wolfspeed, where he was key in the company's transformation and achieved record sales. He also held sales leadership positions at Intel and Altera.
Ian Kent, Senior Vice President, Operations
Ian Kent was promoted to Senior Vice President, Operations in February 2026. He joined Allegro MicroSystems in 2023 and has 25 years of experience in the semiconductor industry. In his current role, he oversees worldwide manufacturing, quality, and supply chain operations, including the company's assembly and test facility in the Philippines.
Jamie Haas, Vice President, Chief Technology Officer
Jamie Haas was promoted to Vice President, Chief Technology Officer in February 2026. She has 25 years of semiconductor design experience, with over 20 years spent at Allegro MicroSystems. Ms. Haas leads the company's technology vision, strategic technology development, and AI product strategy.
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The key risks to Allegro MicroSystems (ALGM) include:
- Competitive Market Dynamics and Price Pressure: Allegro MicroSystems operates within a highly competitive semiconductor industry characterized by rapid technological change and significant price pressures. The company faces ongoing competition from established players and new entrants, particularly in regions like China, which can negatively impact its market share and pricing power. To maintain its competitive edge and profitability, Allegro must continuously innovate and differentiate its products.
- Macroeconomic and Geopolitical Risks: Allegro MicroSystems is significantly exposed to global economic conditions and geopolitical uncertainties. Downturns or volatility in the global economy, especially in its primary automotive and industrial markets, can adversely affect demand for its products. Furthermore, geopolitical risks such as changes in trade policies, tariffs (particularly between the U.S. and China), currency fluctuations, and potential political instability can increase operational costs, limit sales, and impact overall profitability. Inflationary pressures also contribute to these economic vulnerabilities.
- Reliance on Third-Party Supply Chain and Manufacturing: The company's operations are dependent on a limited number of third-party semiconductor wafer fabrication facilities and other material suppliers. Any disruptions, sustained yield problems, or delays at these external facilities, or an inability to effectively manage inventory based on changing market conditions or customer demand, could negatively impact its gross margins and ability to meet customer orders.
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Allegro MicroSystems (ALGM) estimates its total serviceable addressable market (SAM) to be approximately $12 billion, growing at a compound annual growth rate (CAGR) of 9%. This global market opportunity is primarily driven by the automotive and industrial sectors.
A breakdown of their main product addressable markets is as follows:
- Automotive Market: Allegro estimates its automotive market opportunity at $8 billion, with a CAGR of 7%. This segment includes solutions for xEV (electric vehicles) and Advanced Driver-Assistance Systems (ADAS).
- Magnetic Sensor ICs: The global magnetic sensor ICs market is projected to be valued at USD 2.15 billion in 2026 and is expected to reach USD 5.54 billion by 2035, growing at an 11.1% CAGR. Asia-Pacific is a dominant region in this market. Another estimate places the global magnetic sensor market size at USD 6.00 billion in 2026, anticipated to grow to USD 11.80 billion by 2034 with an 8.80% CAGR.
- Automotive Hall Effect Current Sensors: This specific sub-segment of magnetic sensors for the global automotive market was valued at USD 136 million in 2026 and is projected to grow to USD 226 million by 2034, at a CAGR of 9.1%.
- Automotive Position Sensors: The global automotive position sensor market reached USD 29.1 billion in 2024 and is expected to reach USD 55.4 billion by 2033, growing at a CAGR of 7.06%. North America currently holds approximately 40% of the global market share for automotive position sensors.
- Current Sensors (overall): The global current sensor market size was valued at USD 3.73 billion in 2026 and is projected to reach USD 7.91 billion by 2034, exhibiting a CAGR of 9.8%. North America held the largest market share in 2025.
- Motor Driver ICs: The global motor driver IC market size was valued at USD 7.82 billion in 2026 and is projected to reach USD 13.71 billion by 2034, exhibiting a CAGR of 7.26%. Another estimate values the global market at USD 6.8 billion in 2025, growing to USD 12.16 billion by 2035 at a CAGR of 6.1%.
- LED Driver ICs: The global LED driver IC market is projected to be valued at USD 6.7 billion in 2025 and is anticipated to reach USD 29.2 billion by 2035, with a CAGR of 15.9%. Another source estimates the global LED driver IC market size at USD 23.79 billion in 2025, projected to grow to USD 50.65 billion by 2034, exhibiting a CAGR of 8.86%.
- Magnetic Sensor ICs: The global magnetic sensor ICs market is projected to be valued at USD 2.15 billion in 2026 and is expected to reach USD 5.54 billion by 2035, growing at an 11.1% CAGR. Asia-Pacific is a dominant region in this market. Another estimate places the global magnetic sensor market size at USD 6.00 billion in 2026, anticipated to grow to USD 11.80 billion by 2034 with an 8.80% CAGR.
- Industrial Market: Allegro identifies its industrial market opportunity at $4 billion, with a more robust CAGR of 12%. This includes applications in areas such as industrial automation, robotics, and data centers.
- LiDAR for Automotive and Industrial: The global LiDAR for Automotive and Industrial Market size was valued at USD 5.88 billion in 2026 and is expected to reach USD 39.30 billion by 2035, at a CAGR of 23.5%.
- Automotive LiDAR: Specifically for automotive applications, the global LiDAR sensor market size was USD 1.90 billion in 2025 and is predicted to increase to approximately USD 9.94 billion by 2035, expanding at a CAGR of 18.00%.
- Photonic Sensors (broader category that includes some 3D sensing components): The global photonic sensor market size was valued at USD 24.51 billion in 2024 and is projected to grow from USD 27.95 billion in 2025 to USD 71.93 billion by 2032, exhibiting a CAGR of 14.5%. Asia-Pacific holds the dominant share in this market. Another report estimates the global photonic sensor market to reach nearly USD 125.13 billion by 2030, from USD 42.32 billion in 2023, at a CAGR of 16.75%.
- LiDAR for Automotive and Industrial: The global LiDAR for Automotive and Industrial Market size was valued at USD 5.88 billion in 2026 and is expected to reach USD 39.30 billion by 2035, at a CAGR of 23.5%.
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Allegro MicroSystems (ALGM) is expected to drive future revenue growth over the next 2-3 years through several key initiatives and market trends:
- Increased Content in Automotive e-Mobility and ADAS: Allegro MicroSystems anticipates substantial growth from the automotive sector, particularly within e-Mobility (Electric Vehicles or xEVs) and Advanced Driver-Assistance Systems (ADAS). This growth is fueled by securing design wins for sensor ICs and power ICs in areas such as position sensors, motor drivers, power steering systems, onboard charging, and high-voltage traction inverters, leading to increased semiconductor content per vehicle.
- Expansion in Data Center Applications: The company is targeting significant revenue growth from the data center market. This is driven by an increase in content per server rack, including fan driver ICs, high-speed current sensors, and isolated gate drivers for silicon carbide transistors. Allegro projects its content per rack to nearly triple, capitalizing on the ongoing development and transition to higher power distribution in data centers.
- Growth in Industrial Robotics: Allegro MicroSystems identifies industrial robotics as a major growth opportunity within its industrial segment. The company is actively working to secure market share in this area, expecting a high content of its sensor ICs and power ICs in advanced robots, including humanoid robotics.
- New Product Introductions and Design Wins: A core part of Allegro's strategy involves the consistent introduction of new, differentiated magnetic sensing and power products. These new product launches, such as TMR sensors and isolated gate drivers, are crucial for securing design wins across its target markets, expanding its serviceable addressable market, and driving content expansion.
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Share Repurchases
- Allegro MicroSystems repurchased a total of 39 million shares of common stock from its largest shareholder, Sanken Electric Co., Ltd., at $23.16 per share in 2024.
- The total value of this share repurchase was approximately $901.24 million.
- The company intends to deploy a leveraged buyback of the remaining 14 million shares from Sanken, which is estimated to be about $300 million.
Share Issuance
- Allegro MicroSystems issued approximately 29 million shares of common stock for $666 million in net proceeds to finance the first closing of the share repurchase from Sanken in 2024.
Outbound Investments
- Allegro MicroSystems acquired Crocus Technology, Inc. to enhance its magnetic sensor capabilities.
Capital Expenditures
- Allegro MicroSystems is making strategic capital investments in the power and sensor integrated circuits (ICs) space.
Latest Trefis Analyses
Trade Ideas
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| 04302026 | PLTR | Palantir Technologies | Monopoly | MY | Getting CheaperMonopoly-Like with P/S DeclineLarge cap with monopoly-like margins or cash flow generation and getting cheaper based on P/S multiple | 0.0% | 0.0% | 0.0% |
| 04102026 | ADSK | Autodesk | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 8.5% | 8.5% | 0.0% |
| 04102026 | BSY | Bentley Systems | Dip Buy | DB | FCFY OPMDip Buy with High FCF Yield and High MarginBuying dips for companies with high FCF yield and meaningfully high operating margin | 4.2% | 4.2% | 0.0% |
| 04102026 | ENPH | Enphase Energy | Dip Buy | DB | P/E OPMDip Buy with Low PE and High MarginBuying dips for companies with tame PE and meaningfully high operating margin | 5.7% | 5.7% | 0.0% |
| 04102026 | BL | BlackLine | Dip Buy | DB | CFO/Rev | Low D/EDip Buy with High Cash Flow MarginsBuying dips for companies with significant cash flows from operations and reasonable debt / market cap | 3.2% | 3.2% | -3.0% |
| 11302023 | ALGM | Allegro Microsystems | Dip Buy | DB | P/E OPMDip Buy with Low PE and High MarginBuying dips for companies with tame PE and meaningfully high operating margin | 9.4% | -20.2% | -29.9% |
Research & Analysis
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Peer Comparisons
| Peers to compare with: |
Financials
| Median | |
|---|---|
| Name | |
| Mkt Price | 302.41 |
| Mkt Cap | 79.6 |
| Rev LTM | 8,910 |
| Op Inc LTM | 2,138 |
| FCF LTM | 1,868 |
| FCF 3Y Avg | 1,555 |
| CFO LTM | 2,222 |
| CFO 3Y Avg | 2,458 |
Growth & Margins
| Median | |
|---|---|
| Name | |
| Rev Chg LTM | 11.8% |
| Rev Chg 3Y Avg | -0.8% |
| Rev Chg Q | 22.4% |
| QoQ Delta Rev Chg LTM | 5.1% |
| Op Inc Chg LTM | 8.8% |
| Op Inc Chg 3Y Avg | -7.1% |
| Op Mgn LTM | 26.3% |
| Op Mgn 3Y Avg | 26.3% |
| QoQ Delta Op Mgn LTM | 1.3% |
| CFO/Rev LTM | 26.1% |
| CFO/Rev 3Y Avg | 29.4% |
| FCF/Rev LTM | 20.2% |
| FCF/Rev 3Y Avg | 17.2% |
Valuation
| Median | |
|---|---|
| Name | |
| Mkt Cap | 79.6 |
| P/S | 12.6 |
| P/Op Inc | 40.2 |
| P/EBIT | 49.2 |
| P/E | 61.8 |
| P/CFO | 37.7 |
| Total Yield | 1.8% |
| Dividend Yield | 0.6% |
| FCF Yield 3Y Avg | 2.5% |
| D/E | 0.0 |
| Net D/E | 0.0 |
Returns
| Median | |
|---|---|
| Name | |
| 1M Rtn | 33.7% |
| 3M Rtn | 35.8% |
| 6M Rtn | 78.5% |
| 12M Rtn | 110.6% |
| 3Y Rtn | 99.0% |
| 1M Excs Rtn | 25.0% |
| 3M Excs Rtn | 29.4% |
| 6M Excs Rtn | 69.1% |
| 12M Excs Rtn | 88.8% |
| 3Y Excs Rtn | 17.3% |
Price Behavior
Price Behavior
| Market Price | $48.39 | |
| Market Cap ($ Bil) | 9.0 | |
| First Trading Date | 10/29/2020 | |
| Distance from 52W High | -5.8% | |
| 50 Days | 200 Days | |
| DMA Price | $37.46 | $32.46 |
| DMA Trend | up | up |
| Distance from DMA | 29.2% | 49.1% |
| 3M | 1YR | |
| Volatility | 63.5% | 50.7% |
| Downside Capture | 0.87 | 0.72 |
| Upside Capture | 211.34 | 193.64 |
| Correlation (SPY) | 58.2% | 54.8% |
ALGM Betas & Captures as of 4/30/2026
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
| 1M | 2M | 3M | 6M | 1Y | 3Y | |
|---|---|---|---|---|---|---|
| Beta | 2.31 | 2.75 | 2.48 | 2.43 | 2.34 | 2.09 |
| Up Beta | 3.84 | 3.73 | 3.93 | 3.77 | 3.38 | 2.36 |
| Down Beta | -0.79 | 2.82 | 2.52 | 2.49 | 2.51 | 1.84 |
| Up Capture | 298% | 297% | 265% | 297% | 345% | 1031% |
| Bmk +ve Days | 15 | 22 | 31 | 66 | 141 | 428 |
| Stock +ve Days | 18 | 26 | 36 | 64 | 123 | 364 |
| Down Capture | -602% | 196% | 142% | 143% | 132% | 112% |
| Bmk -ve Days | 4 | 18 | 30 | 56 | 108 | 321 |
| Stock -ve Days | 4 | 17 | 28 | 61 | 127 | 387 |
[1] Upside and downside betas calculated using positive and negative benchmark daily returns respectively
Based On 1-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with ALGM | |
|---|---|---|---|---|
| ALGM | 132.5% | 52.1% | 1.80 | - |
| Sector ETF (XLK) | 64.5% | 20.8% | 2.29 | 52.5% |
| Equity (SPY) | 28.1% | 12.5% | 1.78 | 57.5% |
| Gold (GLD) | 42.9% | 26.9% | 1.30 | 18.1% |
| Commodities (DBC) | 48.6% | 18.0% | 2.14 | -5.4% |
| Real Estate (VNQ) | 13.6% | 13.5% | 0.70 | 32.8% |
| Bitcoin (BTCUSD) | -22.4% | 41.7% | -0.50 | 26.6% |
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Based On 5-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with ALGM | |
|---|---|---|---|---|
| ALGM | 15.2% | 49.5% | 0.46 | - |
| Sector ETF (XLK) | 22.0% | 24.8% | 0.78 | 62.8% |
| Equity (SPY) | 12.9% | 17.1% | 0.59 | 61.5% |
| Gold (GLD) | 21.2% | 17.9% | 0.96 | 13.0% |
| Commodities (DBC) | 13.5% | 19.1% | 0.58 | 12.7% |
| Real Estate (VNQ) | 3.6% | 18.8% | 0.09 | 39.1% |
| Bitcoin (BTCUSD) | 8.5% | 56.0% | 0.36 | 29.2% |
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Based On 10-Year Data
| Annualized Return | Annualized Volatility | Sharpe Ratio | Correlation with ALGM | |
|---|---|---|---|---|
| ALGM | 10.7% | 51.2% | 0.55 | - |
| Sector ETF (XLK) | 25.1% | 24.4% | 0.93 | 60.9% |
| Equity (SPY) | 15.0% | 17.9% | 0.72 | 59.7% |
| Gold (GLD) | 13.4% | 15.9% | 0.70 | 11.6% |
| Commodities (DBC) | 9.5% | 17.7% | 0.45 | 12.2% |
| Real Estate (VNQ) | 5.6% | 20.7% | 0.24 | 38.2% |
| Bitcoin (BTCUSD) | 68.1% | 66.9% | 1.07 | 25.6% |
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Returns Analyses
Earnings Returns History
Expand for More| Forward Returns | |||
|---|---|---|---|
| Earnings Date | 1D Returns | 5D Returns | 21D Returns |
| 5/7/2026 | -6.7% | ||
| 1/29/2026 | 9.9% | 10.6% | 5.6% |
| 10/30/2025 | -1.5% | -10.8% | -15.5% |
| 7/31/2025 | -7.3% | -9.0% | -5.5% |
| 5/8/2025 | 12.7% | 44.6% | 54.1% |
| 1/30/2025 | 5.0% | 7.7% | -2.4% |
| 10/31/2024 | -6.2% | -0.9% | -2.2% |
| 7/23/2024 | -10.7% | -18.9% | -8.7% |
| ... | |||
| SUMMARY STATS | |||
| # Positive | 14 | 12 | 13 |
| # Negative | 9 | 10 | 9 |
| Median Positive | 4.9% | 10.8% | 9.0% |
| Median Negative | -6.7% | -3.8% | -5.5% |
| Max Positive | 12.7% | 44.6% | 54.1% |
| Max Negative | -12.3% | -18.9% | -25.1% |
SEC Filings
Expand for More| Report Date | Filing Date | Filing |
|---|---|---|
| 12/31/2025 | 01/30/2026 | 10-Q |
| 09/30/2025 | 10/31/2025 | 10-Q |
| 06/30/2025 | 08/01/2025 | 10-Q |
| 03/31/2025 | 05/22/2025 | 10-K |
| 12/31/2024 | 01/31/2025 | 10-Q |
| 09/30/2024 | 11/01/2024 | 10-Q |
| 06/30/2024 | 08/02/2024 | 10-Q |
| 03/31/2024 | 05/23/2024 | 10-K |
| 12/31/2023 | 02/06/2024 | 10-Q |
| 09/30/2023 | 11/06/2023 | 10-Q |
| 06/30/2023 | 08/04/2023 | 10-Q |
| 03/31/2023 | 05/25/2023 | 10-K |
| 12/31/2022 | 02/01/2023 | 10-Q |
| 09/30/2022 | 10/31/2022 | 10-Q |
| 06/30/2022 | 08/01/2022 | 10-Q |
| 03/31/2022 | 05/18/2022 | 10-K |
Recent Forward Guidance [BETA]
Latest: Q4 2026 Earnings Reported 5/7/2026
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q1 2027 Revenue | 245.00 Mil | 250.00 Mil | 255.00 Mil | 6.4% | Higher New | Guidance: 235.00 Mil for Q4 2026 | |
| Q1 2027 Gross Margin | 50.0% | 50.5% | 51.0% | 1.0% | 0.5% | Higher New | Guidance: 50.0% for Q4 2026 |
| Q1 2027 Diluted Earnings per Share | 0.19 | 0.21 | 0.23 | 31.2% | Higher New | Guidance: 0.16 for Q4 2026 | |
| Q1 2027 Operating Expenses | 78.00 Mil | 80.00 Mil | 82.00 Mil | -1.2% | Lower New | Guidance: 81.00 Mil for Q4 2026 | |
Prior: Q3 2026 Earnings Reported 1/29/2026
| Forward Guidance | Guidance Change | ||||||
|---|---|---|---|---|---|---|---|
| Metric | Low | Mid | High | % Chg | % Delta | Change | Prior |
| Q4 2026 Revenue | 230.00 Mil | 235.00 Mil | 240.00 Mil | 6.8% | Raised | Guidance: 220.00 Mil for Q3 2026 | |
| Q4 2026 Gross Margin | 49.0% | 50.0% | 51.0% | 0 | 0 | Affirmed | Guidance: 50.0% for Q3 2026 |
| Q4 2026 Interest Expense | 5.00 Mil | 0 | Affirmed | Guidance: 5.00 Mil for Q3 2026 | |||
| Q4 2026 Diluted Earnings per Share | 0.14 | 0.16 | 0.18 | 14.3% | Raised | Guidance: 0.14 for Q3 2026 | |
| Q4 2026 Operating Expenses | 81.00 Mil | ||||||
Insider Activity
Expand for More| # | Owner | Title | Holding | Action | Filing Date | Price | Shares | Transacted Value | Value of Held Shares | Form |
|---|---|---|---|---|---|---|---|---|---|---|
| 1 | Briansky, Sharon | SVP, GC and Secretary | Direct | Sell | 3032026 | 35.00 | 9,727 | 340,445 | 2,946,300 | Form |
| 2 | Hagen, Erin | SVP, CHRO | Direct | Sell | 3032026 | 35.00 | 2,598 | 90,930 | 1,053,290 | Form |
| 3 | Briansky, Sharon | SVP, GC and Secretary | Direct | Sell | 2182026 | 41.56 | 9,258 | 384,762 | 4,281,262 | Form |
| 4 | Briansky, Sharon | SVP, GC and Secretary | Direct | Sell | 12122025 | 30.00 | 27,873 | 836,190 | 3,637,890 | Form |
| 5 | Webster, Roald Graham | VP, Chief Accounting Officer | Direct | Sell | 8252025 | 32.81 | 8,266 | 271,193 | 567,582 | Form |
External Quote Links
| Y Finance | Barrons |
| TradingView | Morningstar |
| SeekingAlpha | ValueLine |
| Motley Fool | Robinhood |
| CNBC | Etrade |
| MarketWatch | Unusual Whales |
| YCharts | Perplexity Finance |
| FinViz |
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