How to buy Allegro MicroSystems stock

Allegro MicroSystems, Inc is a semiconductors business based in the US. Allegro MicroSystems shares (ALGM) are listed on the NASDAQ and all prices are listed in US Dollars.

How to buy shares in Allegro MicroSystems

1. Compare share trading platforms. If you're a beginner, look for a platform with low commissions, expert ratings and investment tools to track your portfolio. Narrow down top brands with our comparison table.
2. Open and fund your brokerage account. Complete an application with your personal and financial details, like your ID and bank information. Fund your account with a bank transfer, credit card or debit card.
3. Search for Allegro MicroSystems. Find the stock by name or ticker symbol: ALGM. Research its history to confirm it's a solid investment against your financial goals.
4. Purchase now or later. Buy today with a market order or use a limit order to delay your purchase until Allegro MicroSystems reaches your desired price. To spread out your purchase, look into dollar-cost averaging, which smooths out buying at consistent intervals and amounts.
5. Decide on how many to buy. Weigh your budget against a diversified portfolio that can minimize risk through the market's ups and downs. You may be able to buy a fractional share of Allegro MicroSystems, depending on your broker.
6. Check in on your investment. Congratulations, you own a part of Allegro MicroSystems. Optimize your portfolio by tracking how your stock — and even the business — performs with an eye on the long term. You may be eligible for dividends and shareholder voting rights on directors and management that can affect your stock.

Allegro MicroSystems share price

Use our graph to track the performance of ALGM stocks over time.

Allegro MicroSystems shares at a glance

• Key figures

Information last updated 2020-11-25.

52-week range	USD$14 - USD$27.5
50-day moving average	USD$21.7211
200-day moving average	USD$21.7211
Wall St. target price	USD$28.75
PE ratio	124.5076
Dividend yield	N/A (0%)
Earnings per share (TTM)	N/A

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Is it a good time to buy Allegro MicroSystems stock?

The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.

Technical Analysis of Allegro MicroSystems, Inc by TradingView

This chart is not advice or a guarantee of success. Rather, it gauges the real-time recommendations of three popular technical indicators: moving averages, oscillators and pivots. Finder is not responsible for how your stock performs.

Is Allegro MicroSystems under- or over-valued?

Valuing Allegro MicroSystems stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of Allegro MicroSystems's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.

Allegro MicroSystems's P/E ratio

Allegro MicroSystems's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 125x. In other words, Allegro MicroSystems shares trade at around 125x recent earnings.

That's relatively high compared to, say, the trailing 12-month P/E ratio for the NASDAQ 100 at the end of 2019 (27.29). The high P/E ratio could mean that investors are optimistic about the outlook for the shares or simply that they're over-valued.

However, Allegro MicroSystems's P/E ratio is best considered in relation to those of others within the semiconductors industry or those of similar companies.

• Veeva Systems (VEEV.US): 148.67
• Intel Corporation (INTC.US): 8.96

Allegro MicroSystems's EBITDA

Allegro MicroSystems's EBITDA (earnings before interest, taxes, depreciation and amortisation) is USD$110.8 million.

The EBITDA is a measure of a Allegro MicroSystems's overall financial performance and is widely used to measure a its profitability.

To put Allegro MicroSystems's EBITDA into context you can compare it against that of similar companies.

• Veeva Systems (VEEV.US): USD$347.4 million
• Intel Corporation (INTC.US): USD$37 billion

Allegro MicroSystems financials

Revenue TTM	USD$586.1 million
Operating margin TTM	9.25%
Gross profit TTM	USD$261.3 million
Return on assets TTM	0%
Return on equity TTM	0%
Profit margin	6.25%
Book value	N/A
Market capitalisation	USD$4.5 billion

TTM: trailing 12 months

Allegro MicroSystems share dividends

We're not expecting Allegro MicroSystems to pay a dividend over the next 12 months.

You may also wish to consider:

• Intel Corporation (INTC.US) (2.87% forward annual dividend yield)

Allegro MicroSystems overview

Allegro MicroSystems, Inc. designs, develops, manufactures, and markets sensor ICs and application-specific analog power ICs for motion control and energy-efficient systems in automotive and industrial markets. Its products include magnetic sensor ICs, such as position, speed, and current sensor ICs; Power ICs comprising motor driver ICs, and regulator and LED driver ICs, as well as photonic and 3D sensing components for LiDAR applications. The company sells its products to OEMs and suppliers primarily in the automotive and industrial markets through its direct sales force, distributors, and independent sales representatives. It operates in the Americas, Europe, Japan, Greater China, South Korea, and other Asian markets. The company was founded in 1990 and is headquartered in Manchester, New Hampshire.

Frequently asked questions

• What percentage of Allegro MicroSystems is owned by insiders or institutions?

  Currently 58.475% of Allegro MicroSystems shares are held by insiders and 24.157% by institutions.

• When does the fiscal year end for Allegro MicroSystems?

  Allegro MicroSystems's fiscal year ends in March.

• Where is Allegro MicroSystems based?

  Allegro MicroSystems's address is: 955 Perimeter Road, Manchester, NH, United States, 03103-3353

• What is Allegro MicroSystems's ISIN number?

  Allegro MicroSystems's international securities identification number is: US01749D1054