We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Here's Why Allegro MicroSystems, Inc. (ALGM) Fell More Than Broader Market
Read MoreHide Full Article
In the latest market close, Allegro MicroSystems, Inc. (ALGM - Free Report) reached $26.32, with a -1.05% movement compared to the previous day. This change lagged the S&P 500's daily loss of 0.39%. Elsewhere, the Dow lost 0.19%, while the tech-heavy Nasdaq lost 0.59%.
Coming into today, shares of the company had gained 1.68% in the past month. In that same time, the Computer and Technology sector gained 6.19%, while the S&P 500 gained 5.08%.
Investors will be eagerly watching for the performance of Allegro MicroSystems, Inc. in its upcoming earnings disclosure. The company is forecasted to report an EPS of $0.29, showcasing a 17.14% downward movement from the corresponding quarter of the prior year. Alongside, our most recent consensus estimate is anticipating revenue of $255 million, indicating a 2.5% upward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.36 per share and revenue of $1.05 billion, indicating changes of +6.25% and +11.38%, respectively, compared to the previous year.
Investors should also take note of any recent adjustments to analyst estimates for Allegro MicroSystems, Inc. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 6.07% lower within the past month. Currently, Allegro MicroSystems, Inc. is carrying a Zacks Rank of #4 (Sell).
In terms of valuation, Allegro MicroSystems, Inc. is presently being traded at a Forward P/E ratio of 19.61. This indicates a discount in contrast to its industry's Forward P/E of 26.57.
Meanwhile, ALGM's PEG ratio is currently 1.98. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The average PEG ratio for the Electronics - Semiconductors industry stood at 4.14 at the close of the market yesterday.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 192, finds itself in the bottom 24% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Here's Why Allegro MicroSystems, Inc. (ALGM) Fell More Than Broader Market
In the latest market close, Allegro MicroSystems, Inc. (ALGM - Free Report) reached $26.32, with a -1.05% movement compared to the previous day. This change lagged the S&P 500's daily loss of 0.39%. Elsewhere, the Dow lost 0.19%, while the tech-heavy Nasdaq lost 0.59%.
Coming into today, shares of the company had gained 1.68% in the past month. In that same time, the Computer and Technology sector gained 6.19%, while the S&P 500 gained 5.08%.
Investors will be eagerly watching for the performance of Allegro MicroSystems, Inc. in its upcoming earnings disclosure. The company is forecasted to report an EPS of $0.29, showcasing a 17.14% downward movement from the corresponding quarter of the prior year. Alongside, our most recent consensus estimate is anticipating revenue of $255 million, indicating a 2.5% upward movement from the same quarter last year.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $1.36 per share and revenue of $1.05 billion, indicating changes of +6.25% and +11.38%, respectively, compared to the previous year.
Investors should also take note of any recent adjustments to analyst estimates for Allegro MicroSystems, Inc. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 6.07% lower within the past month. Currently, Allegro MicroSystems, Inc. is carrying a Zacks Rank of #4 (Sell).
In terms of valuation, Allegro MicroSystems, Inc. is presently being traded at a Forward P/E ratio of 19.61. This indicates a discount in contrast to its industry's Forward P/E of 26.57.
Meanwhile, ALGM's PEG ratio is currently 1.98. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The average PEG ratio for the Electronics - Semiconductors industry stood at 4.14 at the close of the market yesterday.
The Electronics - Semiconductors industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 192, finds itself in the bottom 24% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.