# Allegro MicroSystems, Inc. (ALGM)

> Source: Nexqual · https://nexqual.com/ALGM · data as of 2026-10-22 20:00 UTC · cite as "Nexqual, Allegro MicroSystems, Inc. (ALGM), nexqual.com/ALGM" · informational, not investment advice.

**Price:** USD 31.69 (-8.17% on the day) · last close of Oct 22, 2026; US market pre market, not a live price. Prev close 34.51 · day 31.24–33.58 · 52w 22.41–71.77 · market cap $5.91B · NMS

## Key facts
- Last four reported quarters (through Jun 26, 2026): revenue $946M, net income $14.2M (1.5% margin), free cash flow $87.8M (SEC filings).
- Valuation: P/E 416.0x (avg 34.4x at the last 1 fiscal year-ends), EV/EBITDA 59.8x, net debt $125M.
- 1 of 80 tracked superinvestors hold ALGM (13F, Q2 2026): 0 new, 0 added, 1 reduced, 0 unchanged.
- Insider open-market sales, last ~7 months: 9 Form 4 filings, $3.6M; 7 not under a Rule 10b5-1 plan ($3.4M); 0 by opportunistic insiders, 0 by routine insiders (three-year test, Cohen, Malloy & Pomorski 2012).
- Analysts: Buy (mean 1.85 on a 1–5 scale) (13 analysts), mean target USD 52.62 (range 40–62).
- Total return with dividends: 1Y +2.3% vs S&P 500 +14.9%; 5Y -4.3% vs S&P 500 +80.3%.
- Next earnings: 2026-10-29, EPS estimate USD 0.24, revenue estimate $271M.

## Financials (SEC 10-K; TTM = last four 10-Q/10-K quarters)
| USD | FY2022 | FY2023 | FY2024 | FY2025 | FY2026 | TTM |
|---|---|---|---|---|---|---|
| Revenue | $769M | $974M | $1.05B | $725M | $890M | $946M |
| Gross profit | $407M | $546M | $575M | $322M | $412M | — |
| Operating income | $137M | $203M | $196M | -$19.8M | $18.5M | $46.7M |
| Net income | $119M | $187M | $153M | -$73.0M | -$14.9M | $14.2M |
| EPS (diluted) | $0.62 | $0.97 | $0.78 | -$0.39 | -$0.08 | — |
| Free cash flow | $86.2M | $113M | $56.9M | $22.0M | $125M | $87.8M |
| Gross margin | 53.0% | 56.1% | 54.8% | 44.3% | 46.3% | — |
| Operating margin | 17.8% | 20.9% | 18.7% | -2.7% | 2.1% | 4.9% |
| Net margin | 15.5% | 19.2% | 14.6% | -10.1% | -1.7% | 1.5% |
| Revenue growth | +30.0% | +26.7% | +7.8% | -30.9% | +22.8% | — |
| Cash + short-term investments | $282M | $352M | $212M | $121M | $169M | — |
| Total debt | $25.0M | $25.0M | $254M | $346M | $287M | — |
Fiscal years end Mar. EPS is split-adjusted.

## Valuation (price ÷ last four quarters, through Jun 26, 2026)
P/E 416.0x · P/S 6.2x · EV/EBITDA 59.8x · EV/Sales 6.4x · P/FCF 67.2x · P/B 6.1x · FCF yield 1.49% · Earnings yield 0.24% · Net debt $125M · EV $6.03B
P/E at fiscal year-ends: Mar 2024 34.4x.

## Superinvestors (SEC 13F-HR, Q2 2026)
1 of 80 tracked investors hold ALGM. Each row is the investor's latest 13F; change is vs their prior-quarter share count.
| Investor | Firm | % of portfolio | Value | Change |
|---|---|---|---|---|
| Lee Ainslie | Maverick Capital | 0.01% | $703K | Reduced -76.1% |

## Insider sales (SEC Form 4, open-market, last ~7 months)
2 of 9 under a Rule 10b5-1 trading plan (scheduled in advance). Unplanned sales were timed by the insider.
| Trade date | Insider | Role | Shares | Value | % of holdings sold | 10b5-1 plan | Insider type |
|---|---|---|---|---|---|---|---|
| 2026-08-17 | Raubacher Jennie | Director | 1,000 | $45K | 6.7% | Yes (adopted May 19, 2026) | Too little history (no open-market trades in 2023–2025) |
| 2026-08-10 | Hagen Erin | SVP, CHRO | 2,285 | $101K | 6.9% | Yes (adopted May 11, 2026) | Too little history (no open-market trades in 2023 or 2024) |
| 2026-06-03 | Madormo Richard | SVP, Worldwide Sales | 5,000 | $264K | 6.7% | No | Too little history (no open-market trades in 2023–2025) |
| 2026-05-22 | Coleman Troy | SVP, General Manager, Products | 4,500 | $206K | 5.5% | No | Too little history (no open-market trades in 2023–2025) |
| 2026-05-21 | Webster Roald Graham | VP, Chief Accounting Officer | 5,217 | $234K | 28.5% | No | Too little history (no open-market trades in 2023 or 2024) |
| 2026-05-18 | Kent Ian | SVP, Global Operations | 2,642 | $110K | 9.4% | No | Too little history (no open-market trades in 2023–2025) |
| 2026-05-14 | Lynch Susan D | Director | 16,711 | $760K | 56.6% | No | Too little history (no open-market trades in 2024 or 2025) |
| 2026-05-11 | Briansky Sharon | SVP, GC and Secretary | 8,948 | $425K | 10.6% | No | Too little history (no open-market trades in 2023 or 2024) |
| 2026-05-11 | Doogue Michael | President and CEO | 30,089 | $1.4M | 6.5% | No | Too little history (no open-market trades in 2023 or 2025) |
% of holdings sold = shares sold ÷ (shares sold + all holdings the insider reported on that Form 4, direct and through trusts).
Insider type follows Cohen, Malloy & Pomorski (Journal of Finance, 2012). An insider who traded the stock in the same calendar month in each of the past three years is a routine trader; one who traded in each of those years without such a pattern is an opportunistic trader. In their study, trades by opportunistic insiders predicted future returns and trades by routine insiders did not. Counts open-market purchases and sales only (SEC Form 4 codes P and S) by that insider in that company. Not investment advice.

## Analysts
Consensus Buy (mean 1.85 on a 1–5 scale), 13 analysts; mean target USD 52.62 (low 40, high 62).
Rating changes, last 120 days:
| Date | Firm | Action | Rating | Price target |
|---|---|---|---|---|
| 2026-10-20 | Wells Fargo | Target lowered | Overweight | $56 → $45 |
| 2026-10-19 | TD Cowen | Target lowered | Buy | $48 → $40 |
| 2026-10-02 | RBC Capital | Initiated | Outperform | $50 |
| 2026-08-13 | Benchmark | Initiated | Buy | $60 |
| 2026-07-31 | Mizuho | Target lowered | Outperform | $67 → $58 |
| 2026-07-31 | Morgan Stanley | Target raised | Overweight | $51 → $52 |
| 2026-07-31 | TD Cowen | Target lowered | Buy | $66 → $48 |
| 2026-07-30 | Needham | Target raised | Buy | $55 → $57 |
| 2026-07-20 | Barclays | Downgrade | Overweight → Equal-Weight | $48 |
| 2026-07-13 | TD Cowen | Target lowered | Buy | $70 → $66 |
| 2026-06-29 | Mizuho | Target raised | Outperform | $54 → $67 |

## Total return (dividends reinvested)
|  | 1Y (from 2025-10-23) | 5Y (from 2021-10-18) |
|---|---|---|
| Total return | +2.3% | -4.3% |
| S&P 500 (SPY) | +14.9% | +80.3% |
| Per year | +2.3% | -0.9% |
| Volatility (annualized) | 67.4% | 52.9% |
| Max drawdown | -54.6% (Jun 2026→Oct 2026) | -64.5% (Jul 2023→Apr 2025) |

## Peers (Semiconductors)
MXL (MaxLinear, Inc) USD 65.28 -13.87% · CRUS (Cirrus Logic, Inc.) USD 110.49 -0.14% · SIMO (Silicon Motion Technology Corpo) USD 187.96 -15.45% · PI (Impinj, Inc.) USD 162.7 -9.01% · SLAB (Silicon Laboratories, Inc.) USD 221.12 -0.27% · SYNA (Synaptics Incorporated) USD 117.04 -0.39%

## More
Full page: https://nexqual.com/ALGM · Free keyless MCP server with the same data and citations: https://mcp.nexqual.com/mcp · Guide for agents: https://nexqual.com/agents · https://nexqual.com/llms.txt

## Supply chain and relationships (SEC annual reports)

Named in ALGM's own 10-K filed 2026-05-21 (https://www.sec.gov/Archives/edgar/data/866291/000119312526233537/algm-20260327.htm):

| Relationship | Company | Sentence in the filing |
|---|---|---|
| Supplier | United Microelectronics (UMC) | "We currently rely on a limited number of third-party wafer fabrication facilities for the fabrication of semiconductor wafers used in the manufacture of our IC products, primarily United Microelectronics Corporation ("UM…" |
| Supplier | TOWER SEMICONDUCTOR LTD (TSEM) | "We currently rely on a limited number of third-party wafer fabrication facilities for the fabrication of semiconductor wafers used in the manufacture of our IC products, primarily United Microelectronics Corporation ("UM…" |
| Supplier | TSMC (TSM) | "We currently rely on a limited number of third-party wafer fabrication facilities for the fabrication of semiconductor wafers used in the manufacture of our IC products, primarily United Microelectronics Corporation ("UM…" |
| Partner | Polar Semiconductor | "We also maintain manufacturing relationships with Polar Semiconductor, LLC ("Polar") in North America and various internal and external assembly and test partners across Asia to provide customers with flexibility in supp…" |
| Partner | Sanken Electric | "On July 23, 2024, we entered into a share repurchase agreement with Sanken (the "Share Repurchase Agreement") pursuant to which we agreed to repurchase 38,767,315 shares of our common stock from Sanken in a privately neg…" |
| Partner | PS Investment Aggregator | "At the PSL Closing, we, Sanken and Subscriber entered into an amended and restated limited partnership agreement (the "Limited Partnership Agreement") with Polar Semiconductor GP I, LLC." |
| Partner | Sanken and OEP SKNA | "In connection with the Share Repurchase Agreement, we entered into a Second Amended and Restated Stockholders Agreement with Sanken (the "Second Amended and Restated Stockholders Agreement"), which amended and restated t…" |
| Partner | Polar Semiconductor GP I | "At the PSL Closing, we, Sanken and Subscriber entered into an amended and restated limited partnership agreement (the "Limited Partnership Agreement") with Polar Semiconductor GP I, LLC." |

## Revenue by product line (quarter ended 2026-06-26)

| Line | Revenue | Share | YoY |
|---|---|---|---|
| Automotive End Market | $165.3M | 63.8% | +14.6% |
| Magnetic Sensors | $149.8M | 57.8% | +16.0% |
| Power Integrated Circuits | $109.5M | 42.2% | +47.4% |
| Industrial & Other End Market | $93.9M | 36.2% | +58.8% |
| Total revenue | $259.2M | 100% | — |
The lines above cover 200% of total revenue.

## Revenue by region (quarter ended 2026-06-26)

| Line | Revenue | Share | YoY |
|---|---|---|---|
| China | $65.3M | 25.2% | +13.5% |
| Japan | $44.1M | 17.0% | +31.0% |
| Taiwan | $42.9M | 16.5% | +219.3% |
| Europe | $33.4M | 12.9% | +9.5% |
| United States | $25.2M | 9.7% | +6.2% |
| South Korea | $21.1M | 8.2% | +7.9% |
| Other Asia | $18.7M | 7.2% | +16.2% |
| Other Americas | $8.5M | 3.3% | -3.7% |
| Total revenue | $259.2M | 100% | — |

## Customer concentration

Period ended 2026-06-26: 12.3% of revenue from unnamed direct customers (10-Q, filed 2026-07-31).

## Company outlook (8-K filed 2026-07-30)

- "For the second quarter of fiscal year 2027 ending September 25, 2026, the Company expects total net sales to be in the range of $265 million to $275 million."
- "The Company also estimates the following results on a non-GAAP basis: • Gross Margin is expected to be between 50.75% and 51.75%, • Operating expenses are expected to be $84.5 million, plus or minus $1 million, and • Diluted Earnings per Share is expected to be between $0.23 and $0.26, with the mid-point of this range implying an 88% year-over-year increase."

Analysts expect $270.8M for the current quarter, +0.3% vs the guidance midpoint $270.0M. Source: https://www.sec.gov/Archives/edgar/data/866291/000119312526324869/algm-ex99_1.htm

## Analyst estimates and revisions

| Period | EPS est. | 90d ago | Change | Revenue est. | Analysts |
|---|---|---|---|---|---|
| Current quarter (ends 2026-09-30) | $0.24 | $0.25 | -1.2% | $270.8M | 13 |
| Next quarter (ends 2026-12-31) | $0.26 | $0.26 | +2.0% | $276.7M | 13 |
| Current fiscal year (ends 2027-03-31) | $1.03 | $1.03 | -0.1% | $1.10B | 13 |
| Next fiscal year (ends 2028-03-31) | $1.50 | $1.49 | +0.4% | $1.29B | 13 |

## Options: expected move (Cboe, 15-min delayed)

Expected move by 2026-11-20 (includes earnings 2026-10-29): ±17.6%; last 8 reports averaged ±6.7%.

| Expiration | Days | ATM IV | Expected move |
|---|---|---|---|
| 2026-11-20 | 28 | 77.5% | ±17.6% |
| 2026-12-18 | 56 | 71.6% | ±22.7% |
| 2027-01-15 | 84 | 70.2% | ±27.1% |
| 2027-02-19 | 119 | 69.1% | ±31.7% |
| 2027-05-21 | 210 | 68.2% | ±41.1% |
| 2027-08-20 | 301 | 65.5% | ±47.2% |