The recommendations of Wall Street analysts are often relied on by investors when deciding whether to buy, sell, or hold a stock. Media reports about these brokerage-firm-employed (or sell-side) analysts changing their ratings often affect a stock's price. Do they really matter, though?Before we discuss the reliability of brokerage recommendations and how to use them to your advantage, let's see what these Wall Street heavyweights think about Allegro MicroSystems, Inc. (ALGM) .Allegro MicroSystems, Inc. cur ...

The latest trading session saw Allegro MicroSystems, Inc. (ALGM) ending at $28.19, denoting a +0.43% adjustment from its last day's close. The stock exceeded the S&P 500, which registered a gain of 0.22% for the day. On the other hand, the Dow registered a gain of 0.36%, and the technology-centric Nasdaq increased by 0.32%.Shares of the company witnessed a loss of 9.16% over the previous month, trailing the performance of the Computer and Technology sector with its gain of 3.64% and the S&P 500's gain of 1. ...

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Core Viewpoint - Allegro MicroSystems, Inc. has a strong track record of exceeding earnings estimates and is well-positioned for future earnings surprises, particularly with its upcoming report expected on February 1, 2024 [1][3]. Earnings Performance - The company has achieved an average surprise of 6.76% over the past two quarters, with the latest earnings reported at $0.40 per share against an estimate of $0.37, resulting in a surprise of 8.11% [1]. - In the previous quarter, Allegro MicroSystems reported earnings of $0.39 per share, surpassing the expected $0.37, which led to a surprise of 5.41% [1]. Earnings Estimates and Predictions - Estimates for Allegro MicroSystems have been trending higher, influenced by its history of earnings surprises [2]. - The company currently has a positive Zacks Earnings ESP of +1.16%, indicating that analysts are optimistic about its earnings prospects [3]. - The combination of a positive Earnings ESP and a Zacks Rank of 3 (Hold) suggests a high likelihood of another earnings beat, with historical data showing that such combinations lead to positive surprises nearly 70% of the time [2][3]. Importance of Earnings ESP - The Earnings ESP metric compares the Most Accurate Estimate to the Zacks Consensus Estimate, reflecting the latest analyst revisions [3]. - A negative Earnings ESP can reduce predictive power but does not necessarily indicate an earnings miss [4]. - It is crucial for investors to check a company's Earnings ESP before quarterly releases to enhance the chances of successful investment decisions [4].

In the latest trading session, Allegro MicroSystems, Inc. (ALGM) closed at $26.89, marking a -0.33% move from the previous day. This move lagged the S&P 500's daily loss of 0.07%.The company's shares have seen a decrease of 7.86% over the last month, not keeping up with the Computer and Technology sector's gain of 2.5% and the S&P 500's gain of 3.98%.The investment community will be paying close attention to the earnings performance of Allegro MicroSystems, Inc. in its upcoming release. In that report, anal ...

MANCHESTER, N.H., Jan. 11, 2024 (GLOBE NEWSWIRE) -- Allegro MicroSystems, Inc. (Nasdaq: ALGM) today announced it plans to release financial results for its third quarter fiscal year 2024 prior to the market open on Thursday, February 1, 2024. Following the press release, Vineet Nargolwala, President and Chief Executive Officer, and Derek D’Antilio, Senior Vice President and Chief Financial Officer, will host a conference call at 8:30 a.m. Eastern Time to discuss the Company’s results and business outlook. A ...

MANCHESTER, N.H., Jan. 11, 2024 (GLOBE NEWSWIRE) -- Allegro MicroSystems, Inc. (NASDAQ:ALGM) today announced it plans to release financial results for its third quarter fiscal year 2024 prior to the market open on Thursday, February 1, 2024. Following the press release, Vineet Nargolwala, President and Chief Executive Officer, and Derek D'Antilio, Senior Vice President and Chief Financial Officer, will host a conference call at 8:30 a.m. Eastern Time to discuss the Company's results and business outlook. An ...

MANCHESTER, NH, Jan. 09, 2024 (GLOBE NEWSWIRE) -- Allegro MicroSystems, Inc. ("Allegro") (NASDAQ:ALGM), a global leader in power and sensing solutions for motion control and energy efficient systems, today announced the launch of the second product in its High Voltage Power portfolio. Allegro's AHV85111 isolated gate-driver IC adds critical safety features while simplifying the design of high-power energy conversion systems for e-Mobility and clean energy applications, including OBC/DCDC, solar inverter and ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended September 29, 2023 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to _____________ Commission File Number: 001-39675 ALLEGRO MICROSYSTEMS, INC. (Exact name of registrant as specified in its charter) Delaware 46-2405937 ( ...

Financial Data and Key Metrics Changes - Sales for Q2 2024 were $276 million, representing a 16% year-over-year increase, with non-GAAP earnings per share reaching a record $0.40, up 29% year-over-year [7][17] - Gross margin was 58.3%, operating income was 31.3%, and adjusted EBITDA was 37.1% of sales [17][19] - Automotive sales accounted for $206 million, or 75% of total sales, increasing 31% year-over-year [17] Business Line Data and Key Metrics Changes - E-Mobility sales increased by 60% year-over-year, now representing 50% of automotive sales, up from 41% a year ago [8][17] - Industrial sales were $51 million, declining 25% sequentially but increasing 6% year-over-year [12][17] - Other sales, including consumer applications, were down 42% year-over-year, reflecting inventory destocking [17] Market Data and Key Metrics Changes - Sales by geography were balanced, with 25% in China, 21% in the Americas, 20% in the rest of Asia, and 17% each in Europe and Japan [18] - Japan saw a 14% sequential growth, while China experienced a 12% sequential growth [18] Company Strategy and Development Direction - The company continues to focus on growth in e-mobility and select industrial markets, including clean energy and automation [7][10] - The recent acquisition of Crocus is expected to enhance Allegro's magnetic sensing capabilities and accelerate the deployment of TMR technology [15][21] - The company aims for low double-digit sales growth and above 32% operating margin in the long term [14] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about opportunities in e-mobility and clean energy despite macroeconomic challenges in China [9][10] - The company anticipates a sequential decline in industrial sales due to cautious behavior from OEMs and inventory management [12][13] - Management remains confident in the long-term growth model established in March 2023 [12][14] Other Important Information - The company expects Q3 sales to be in the range of $250 million to $260 million, reflecting normal seasonality and impacts from the UAW strike [22][23] - Gross margin for Q3 is projected to be approximately 54%, with operating expenses expected to decline by 4% sequentially [23] Q&A Session Summary Question: Trends in bookings in China and impact of UAW strike - Management noted a strong return in bookings in China and acknowledged some order movement due to the UAW strike, but the overall impact is not material [28][30] Question: Distribution inventory levels - Current distribution inventory is at the higher end of the target range of 10 to 12 weeks, with stabilization observed [33][34] Question: Industrial inventory correction - Management indicated that industrial sales are expected to be muted in Q3 due to inventory levels and cautious demand [36][37] Question: Gross margin guidance - Gross margin is expected to be around 54% in Q3, with impacts from product mix and channel inventory management [42][43] Question: Auto segment outlook - Management expects e-Mobility to remain strong, while ICE shipments may see a decline, but overall auto sales are projected to grow year-over-year [46][50] Question: Crocus acquisition rationale - The acquisition is aimed at accelerating the roadmap for TMR technology and enhancing the product portfolio for automotive applications [60][62]