Traders Purchase Large Volume of Allegro MicroSystems Call Options (NASDAQ:ALGM)

Allegro MicroSystems, Inc. (NASDAQ:ALGM) was the recipient of unusually large options trading activity on Friday. Investors purchased 5,214 call options on the company. This is an increase of 300% compared to the average volume of 1,305 call options.

Allegro MicroSystems Price Performance

ALGM stock opened at $22.00 on Friday. The firm has a market cap of $4.05 billion, a P/E ratio of -157.14 and a beta of 1.67. The firm’s fifty day moving average is $21.16 and its 200 day moving average is $24.31. Allegro MicroSystems has a 52 week low of $18.59 and a 52 week high of $33.26. The company has a debt-to-equity ratio of 0.42, a quick ratio of 2.80 and a current ratio of 4.22.

Allegro MicroSystems (NASDAQ:ALGM) last announced its quarterly earnings data 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 for the quarter, compared to analysts’ expectations of $187.52 million. During the same period last year, the firm earned $0.36 earnings per share. The company’s revenue for the quarter was down 32.0% compared to the same quarter last year.

Insider Transactions at Allegro MicroSystems

In other news, SVP Michael Doogue purchased 15,000 shares of Allegro MicroSystems stock in a transaction dated Monday, November 18th. The stock was purchased at an average cost of $19.00 per share, for a total transaction of $285,000.00. Following the transaction, the senior vice president now directly owns 246,086 shares of the company’s stock, valued at approximately $4,675,634. This trade represents a 6.49 % increase in their ownership of the stock. The purchase was disclosed in a document filed with the SEC, which is available through this hyperlink. Insiders own 0.50% of the company’s stock.

Hedge Funds Weigh In On Allegro MicroSystems

Large investors have recently bought and sold shares of the stock. FMR LLC boosted its stake in shares of Allegro MicroSystems by 43.3% during the third quarter. FMR LLC now owns 28,253,811 shares of the company’s stock valued at $658,314,000 after purchasing an additional 8,534,089 shares during the period. Wellington Management Group LLP purchased a new stake in Allegro MicroSystems during the 3rd quarter valued at $71,289,000. State Street Corp grew its holdings in Allegro MicroSystems by 41.7% in the 3rd quarter. State Street Corp now owns 5,486,289 shares of the company’s stock worth $127,831,000 after acquiring an additional 1,615,351 shares during the last quarter. Geode Capital Management LLC increased its position in shares of Allegro MicroSystems by 86.5% in the third 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. Finally, Loomis Sayles & Co. L P bought a new position in shares of Allegro MicroSystems during the third quarter valued at about $18,269,000. 56.45% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analyst Weigh In

Several research firms recently commented on ALGM. Loop Capital initiated coverage on Allegro MicroSystems in a research report on Tuesday, November 12th. They set a “buy” rating and a $30.00 target price for the company. Needham & Company LLC cut their price objective on Allegro MicroSystems from $33.00 to $30.00 and set a “buy” rating for the company in a report on Thursday, October 31st. Morgan Stanley assumed coverage on shares of Allegro MicroSystems in a research note on Thursday, November 7th. They issued an “equal weight” rating and a $21.00 target price on the stock. Barclays cut their price target on shares of Allegro MicroSystems from $32.00 to $25.00 and set an “overweight” rating for the company in a research note on Friday, November 1st. Finally, Wells Fargo & Company started coverage on shares of Allegro MicroSystems in a research report on Friday, November 22nd. They set an “overweight” rating and a $23.00 price objective on the stock. One research analyst has rated the stock with a hold rating and ten have issued a buy rating to the company’s stock. Based on data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus target price of $30.09.

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.