CleaRank Financial AI • AI-powered analysis using real-time market data from TwelveData
Analysis reviewed by Kate Leaman, Financial Journalist and Market Analyst. Data refreshed daily. Not financial advice.
Allegro MicroSystems, Inc. (ALGM) is currently trading at $32.22, below its 50-day and 200-day moving averages ($37.28 and $40.63), indicating near-term technical weakness. The company's recent earnings reports have shown positive surprises, with EPS beating estimates in both the latest reported quarters. Despite the positive analyst outlook and projected revenue growth of 23.00% for the current year and 17.00% for the next, current technical indicators and insider selling present near-term caution. The 14-day RSI is in bearish territory at 33.5, and insiders have been net sellers, with total sales exceeding $6.2 million. However, the company's fundamentals, including a profit margin of 1.50% and a debt-to-equity ratio of 0.31, are within reasonable bounds for the semiconductor sector.
ALGM at a glance
Allegro MicroSystems, Inc. (ALGM): Buy, 79/100 on CleaRank's AI score.
TrendDown: the price is below both its 50- and 200-day moving averages ($37.28 and $40.63).
InsidersInsiders sold $6.2M and made no open-market purchases over the last 18 months.
ValuationP/E of 560.8 against 34.0 for the Technology sector: a premium to peers (+1,550%).
As of October 15, 2026, Allegro MicroSystems, Inc. (ALGM) trades at $32.22. Wall Street's consensus target is $54.50 across 13 analysts. The 14-day RSI (daily closes) is 34, showing bearish momentum without being oversold, and the price is below its 50-day simple moving average of $37.28.
Figures as of October 15, 2026.
Only on CleaRank
Figures we compute ourselves from ALGM's own price, earnings and insider-filing history. Tap one to see it in context.
Trading at a significant premium to sector peers (+1,550%), suggesting market expectations for superior growth or market position.
ALGM Financial Performance
Revenue vs. Earnings
Annual
Quarterly
Earnings Reality Check
In the last 2 quarters, ALGM beat the analyst estimate 2 times; the stock rose in the first session after every beat.
ALGM earnings surprises and the stock's reaction
Report
EPS estimate
EPS actual
Surprise
First session
5 sessions
Jul 30, 2026
$0.21
$0.23
+9.52%
+0.12%
+2.42%
May 7, 2026
$0.16
$0.17
+6.25%
+2.13%
-6.18%
The first session is the first full trading day on the news: the report day itself for a report before the open, the next day for one after the close. Surprise is actual EPS against the consensus estimate.
As of October 15, 2026, ALGM has beaten the analyst EPS estimate in 2 of its last 2 reported quarters and rose in the first trading session after every one of those beats; its latest report, on July 30, 2026, came in 9.52% above the estimate and the stock moved +0.12% in the first session.
ALGM Analysis
Company's Health3/5
12-Month Analyst Target+69.15% above price
Median of 13 analysts (12-month)
$54.50
AI Analyst Consensus ScoreBuy
Allegro MicroSystems, Inc. is trading below its 50-day SMA of $37.28 and its 200-day SMA of $40.63, signaling a bearish trend. The 14-day RSI at 33.5 indicates bearish momentum, and the MACD at -0.80 further suggests downward pressure. The stock's current price of $32.22 is also below its 20-day EMA of $35.76. The current price action suggests potential for further downside if these moving averages continue to act as resistance. Volume was below average on the last trading day, indicating a lack of strong conviction from buyers. The technical picture suggests caution, with a potential for a bounce from oversold conditions, but the overall trend remains downward.
ProTips
The stock is currently trading below its 50-day and 200-day moving averages ($37.28 and $40.63), indicating a bearish technical trend that investors should monitor closely.
Key Catalysts
BullishPositive Earnings Surprises
Allegro MicroSystems, Inc. has consistently beaten EPS estimates in its last two reported quarters, indicating strong operational execution and market demand.
Source: Company Earnings Reports
BullishStrong Analyst Price Targets
The median analyst price target for ALGM is $54.50, representing a potential upside of 69.1% from the current price, reflecting positive Wall Street sentiment.
Source: Wall Street Analysts
BearishInsider Net Selling Activity
Insiders have been net sellers, with total sales exceeding $6.2 million, suggesting potential concerns about current valuation or near-term prospects.
Source: Insider Trading Filings
BearishBearish Technical Momentum
The stock is trading below its 50-day and 200-day moving averages ($37.28 and $40.63), and the 14-day RSI is at 33.5, indicating bearish momentum and potential for further price declines.
Source: Technical Analysis Data
Market Outlook
Allegro MicroSystems, Inc. is positioned for growth, with analysts projecting a 23.00% revenue increase for the current year and 17.00% for the next, supported by a 5-year average annual growth rate of 18.5%. The median analyst price target of $54.50 suggests a significant upside of 69.1% from the current price, indicating confidence in the company's future performance. However, the near-term outlook is tempered by technical indicators showing bearish momentum and the stock trading below key moving averages. Insider selling also presents a cautionary note. Should the company continue to deliver on its earnings expectations and achieve its projected growth targets, the stock could move towards the analyst targets. Conversely, a failure to meet growth expectations or a worsening technical picture could lead to a re-evaluation of the current bullish stance.
Key Statistics
Market Cap
6.01B
P/E Ratio
560.83
EPS (TTM)
0.0600
Dividend Yield
0.00%
52 Week High
71.77
52 Week Low
22.41
As of October 15, 2026, ALGM trades at $32.22, with a market value of $6.01B and a P/E ratio of 560.83.
Allegro MicroSystems, Inc. exhibits a high P/E ratio of 560.83, significantly above the sector median of 34, suggesting a premium valuation. The company's return on equity stands at 1.53%, which is below the sector average of 13.4%. Despite the elevated valuation multiples, analysts project strong growth, with current year revenue growth estimated at 23.00% and next year at 17.00%. The company's profit margin is 1.50% and operating margin is 9.82%, with a debt-to-equity ratio of 0.31, which is in line with the sector average. The current valuation appears stretched relative to its profitability and sector averages, but this is balanced by strong forward growth expectations.
Earnings & Growth Analysis
Allegro MicroSystems, Inc. has demonstrated a pattern of beating analyst EPS estimates in its recent quarterly reports. The latest results reported on July 30, 2026, showed an EPS of $0.23 against an estimate of $0.21, a 9.52% surprise, with the stock price reacting positively with a 0.12% increase. Prior to that, on May 7, 2026, the company reported an EPS of $0.17, exceeding the estimate of $0.16 by 6.25%, and the stock saw a 2.13% gain. These consistent positive earnings surprises suggest operational strength and effective management in meeting or exceeding financial targets. The company's forward revenue growth estimates also remain strong, with the current year projected at 23.00% and next year at 17.00%.
Key Risks
Allegro MicroSystems, Inc. faces risks related to its elevated valuation multiples, with a P/E ratio significantly higher than the sector median. Insiders have been net sellers, with over $6.2 million in sales, indicating a lack of strong conviction from management in the short term. Also, the stock is currently trading below key technical indicators like the 50-day and 200-day SMAs, suggesting potential for continued downward price pressure.
Technical Indicators i
RSI (14-day)
33.50
MACD (12, 26)
-0.803
SMA (50-day)
37.28
SMA (200-day)
40.63
Technical RatingBearish
RSI
Bearish
SMA Cross
Bearish
Price vs SMA
Bearish
MACD
Bearish
Moving averages show a lagging Death Cross (50-day: $37.28, 200-day: $40.63), price is trading below the 50-day SMA.
As of October 15, 2026, with ALGM at $32.22, its 14-day RSI is 33.5 (showing bearish momentum without being oversold), its 50-day simple moving average is $37.28 and its 200-day is $40.63.
Calculated by CleaRank on daily closes as of October 15, 2026: Wilder's 14-day RSI, 50- and 200-day simple moving averages, MACD line (12, 26).
Market Correlations
How this stock moves relative to other assets
Based on 1 year of daily price data. Correlations may vary over different time periods.
S&P 500 (SPY)+0.58
Moderate correlation
Nasdaq 100 (QQQ)+0.64
Moderate correlation
Bitcoin (BTC)+0.18
Weak correlation
Gold (XAU)+0.14
Weak correlation
As of October 15, 2026, ALGM's 1-year correlation of daily returns is +0.58 with S&P 500 (SPY), +0.64 with Nasdaq 100 (QQQ), +0.18 with Bitcoin (BTC) and +0.14 with gold (XAU).
Check Custom Correlation
How does any other asset move with ALGM? One year of daily closes, Pearson correlation.
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ALGM Wall Street View
12-month price targets
Low $48.00Median $54.50 (+69.1%)High $62.00
The price, $32.22, sits below every analyst's target.
Ratings
Buy 12Hold 1Sell 03 months ago: 10 of 11 buy
Recent rating actions
Recent analyst rating actions on ALGM
Date
Firm
Action
Rating
Oct 2, 2026
RBC Capital
Initiates
Outperform
Aug 13, 2026
Benchmark
Initiates
Buy
Jul 31, 2026
Mizuho
Maintains
Outperform
Jul 31, 2026
Morgan Stanley
Maintains
Overweight
Jul 31, 2026
TD Cowen
Maintains
Buy
Jul 30, 2026
Needham
Maintains
Buy
As of October 15, 2026, 13 Wall Street analysts cover ALGM: 12 rate it a buy or strong buy, 1 a hold and 0 a sell or strong sell. Their 12-month price targets range from $48.00 to $62.00, with a median of $54.50, 69.1% above the price of $32.22.
Source: TwelveData analyst consensus. Targets and ratings belong to the analysts, not to CleaRank.
ALGM Trade Plans
Specific entry, exit, and risk management levels
Select Your Trade Bias
Risk Tolerance
Conservative2%Aggressive
Portfolio Value
$
Position Size: Enter portfolio size →
Long entry pick an entry style
Conservative
$31.58
2% below current price (Pullback entry)
Lower risk, wait for pullback
Aggressive
$32.22
Buy at current price
Higher risk, immediate entry
Risk Management
STOP LOSS
$28.93
MAX LOSS
-8.4%
Volatility-Adjusted Stop Loss
Calculated based on RSI (33.5) and current market volatility
ALGM moves about 3.1% a day on average, so a stop can fill well past its level. Educational levels, not financial advice; the full disclaimer is at the foot of the page.
Growth of $10,000
A $10,000 investment in ALGM in October 2020 would be worth about $18,203 today, compared with about $23,323 for the same investment in the S&P 500 benchmark.
Compare with Another Ticker
ALGM Drawdowns & Recovery
Worst fall, last 6 years
-63.8%
July 2023 to May 2025
Recovery
14 months
back at the old peak by June 2026
From the 6-year high
-53.7%
highest close, June 2026
1-year holds that gained
51%
of every 1-year window
As of October 15, 2026, ALGM's worst peak-to-trough fall over the last 6 years was -63.8% (July 2023 to May 2025); it regained that peak by June 2026, 14 months after the low, and 51% of 1-year holding periods ended with a gain.
From weekly closing values. A drawdown is the fall from the highest value reached so far to a later low.
Monte Carlo Projection (10yr)
CleaRank's 10-year Monte Carlo simulation projects that a $10,000 investment in ALGM today could grow to about $21,493 by 2036 in the base case, with a 90th-percentile outcome near $163,060 and a 10th-percentile outcome around $2,833. Projections are statistical simulations, not guarantees.
ALGM Stock Price Prediction: 2030
CleaRank's simulation projects a price near $43.76 for ALGM by 2030 in the base case, from $32.22 today (1.4x over 4 years). The 10th-percentile path ends near $12.15. These are outcomes of a Monte Carlo simulation run on ALGM's historical return distribution, not price targets, and they assume no dividends are reinvested.
ALGM simulated price paths by year
Year
10th percentile
Base case
90th percentile
2027
$18.33
$34.78
$66.02
2028
$15.17
$37.55
$92.93
2029
$13.36
$40.53
$123
2030
$12.15
$43.76
$158
2031
$11.27
$47.24
$198
Method: a lognormal simulation of ALGM's own volatility and capped historical trend, re-run daily; base case is the median path, the outer columns the 10th and 90th percentiles.
As of October 15, 2026, ALGM insiders reported 18 open-market sales worth $6.2M and no open-market purchases over the last 18 months; grants and option exercises are not counted.
Recent insider transactions in ALGM
Date
Insider
Type
Shares
Value
Aug 17, 2026
RAUBACHER JENNIE
Director
Sell
1.0K
$45.3K
Aug 10, 2026
HAGEN ERIN
Officer
Sell
2.3K
$101.4K
Aug 5, 2026
MARTIN JOSEPH R
Director
Grant
4.3K
-
Aug 5, 2026
PALEPU KRISHNA G
Director
Grant
4.3K
-
Aug 5, 2026
PUMA MARY G
Director
Grant
4.3K
-
Aug 5, 2026
SUZUKI YOSHIHIRO
Director
Grant
4.3K
-
Jun 17, 2026
WHITE BRIAN C
Director
Grant
594
-
Jun 3, 2026
MADORMO RICHARD
Officer
Sell
5.0K
$263.6K
May 22, 2026
COLEMAN TROY
Officer
Sell
4.5K
$205.7K
May 21, 2026
WEBSTER ROALD GRAHAM
Officer
Sell
5.2K
$234.2K
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Frequently Asked Questions
What is Allegro MicroSystems, Inc.'s long-term outlook?
The long-term outlook for Allegro MicroSystems, Inc. appears positive, with analysts projecting revenue growth of 23.00% for the current year and 17.00% for the next. The projected 5-year average annual growth rate is 18.5%, suggesting sustained expansion. The company's stock forecast for 2030 suggests a base price of $43.76 based on Monte Carlo simulations.
What is the analyst consensus for Allegro MicroSystems, Inc. stock?
The Wall Street consensus for Allegro MicroSystems, Inc. is 'Buy', with 3 Strong Buys, 9 Buys, and 1 Hold rating among 13 analysts.
Are there any insider selling concerns for Allegro MicroSystems, Inc.?
Yes, insiders at Allegro MicroSystems, Inc. have been net sellers, with total sales amounting to approximately $6.2 million across recent filings. This moderate sell signal suggests some caution among management regarding the stock's current valuation or near-term prospects.
What is the projected stock price for ALGM in 2030?
Based on Monte Carlo simulations, the projected base price for Allegro MicroSystems, Inc. (ALGM) in 2030 is $43.76.
Is ALGM in an uptrend?
No. Allegro MicroSystems, Inc. (ALGM) trades at $32.22, below both its 50- and 200-day moving averages ($37.28 and $40.63). Its 14-day RSI on daily closes is 33.5, showing bearish momentum without being oversold.
What is the analyst price target for ALGM?
As of October 15, 2026, the 13 Wall Street analysts covering ALGM have 12-month targets from $48.00 to $62.00, with a median of $54.50, 69.1% above the current price of $32.22. 12 rate it a buy or strong buy, 1 a hold and 0 a sell or strong sell. Three months ago 10 of 11 rated it a buy.
What is ALGM's biggest drop in the last 6 years?
Allegro MicroSystems, Inc. (ALGM)'s worst peak-to-trough fall over the last 6 years was -63.8%, from July 2023 to May 2025. It regained that peak by June 2026, 14 months after the low. Over the same period, 51% of 1-year holding periods ended with a gain.
What are ALGM's best and worst months?
Over the last 6 years, June has been ALGM's strongest month on average (+14.38%, rising in 4 of 6 years) and July its weakest (-6.80%, rising in 2 of 6 years). Seasonal averages describe the past and do not predict a given year.
How closely does ALGM move with the stock market?
Over the past year ALGM's daily returns were moderately correlated with the S&P 500 (SPY) (+0.58). Nasdaq 100 (QQQ): +0.64; Bitcoin (BTC): +0.18; Gold (XAU): +0.14. A figure near +1 means the two usually move together; near 0 means little relationship.
What would $10,000 invested in ALGM be worth today?
$10,000 put into ALGM in October 2020 would be worth about $18,203 today, against about $23,323 for the same amount in the S&P 500.
