News Image

High growth, ROE and relative strength for NASDAQ:ALGM, growth investors may appreciate this.

By Mill Chart

Last update: Sep 25, 2023

In this article we will dive into ALLEGRO MICROSYSTEMS INC (NASDAQ:ALGM) as a possible candidate for growth investing. Investors should always do their own research, but we noticed ALLEGRO MICROSYSTEMS INC showing up in our CANSLIM growth screen, which makes it worth to investigate a bit more.

Some of the canslim metrics of NASDAQ:ALGM highlighted

  • With a favorable trend in its quarter-to-quarter (Q2Q) earnings per share (EPS), ALLEGRO MICROSYSTEMS INC highlights its ability to generate increasing profitability, showcasing a 62.5% growth.
  • With impressive quarter-to-quarter (Q2Q) revenue growth of 27.8%, ALLEGRO MICROSYSTEMS INC showcases its ability to generate increased sales and revenue. This growth indicates the company's strong customer demand and its effective business strategies.
  • Over the past 3 years, ALLEGRO MICROSYSTEMS INC has demonstrated 69.11% growth in EPS, signifying its positive financial trajectory and potential for future profitability.
  • ALLEGRO MICROSYSTEMS INC demonstrates a strong Return on Equity(ROE) of 23.18%. This indicates the company's ability to generate favorable returns for shareholders and reflects its efficient utilization of capital. ALLEGRO MICROSYSTEMS INC shows promising potential for continued success.
  • ALLEGRO MICROSYSTEMS INC has achieved an impressive Relative Strength (RS) rating of 81.98, showcasing its ability to outperform the broader market. This strong performance positions ALLEGRO MICROSYSTEMS INC as an attractive stock for potential price appreciation.
  • With a Debt-to-Equity ratio at 0.02, ALLEGRO MICROSYSTEMS INC showcases its prudent financial management. The company's balanced approach between debt and equity reflects its commitment to maintaining a stable capital structure.
  • The ownership composition of ALLEGRO MICROSYSTEMS INC reflects a balanced investor ecosystem, with institutional shareholders owning 51.04%. This indicates a broader market participation and potential for increased trading liquidity.

What is the technical picture of NASDAQ:ALGM telling us.

ChartMill employs a sophisticated system to assign a Technical Rating to every stock in its analysis. This rating, which ranges from 0 to 10, is determined by carefully assessing multiple technical indicators and properties.

Overall ALGM gets a technical rating of 2 out of 10. Although ALGM is scoring some points because its good overall performance in the market in the past year, recent evolutions are not that positive. Both the medium and short term picture give negative signs.

  • Looking at the yearly performance, ALGM did better than 81% of all other stocks. However, we also see that ALGM couldn't keep up this performance in the last couple of months.
  • ALGM is an average performer in the Semiconductors & Semiconductor Equipment industry, it outperforms 68% of 106 stocks in the same industry.
  • ALGM is currently trading in the middle of its 52 week range. The S&P500 Index however is trading in the upper part of its 52 week range, so ALGM is lagging the market slightly.

Our latest full technical report of ALGM contains the most current technical analsysis.

Fundamental Analysis Observations

ChartMill employs a sophisticated system to assign a Fundamental Rating to every stock in its analysis. This rating, which ranges from 0 to 10, is determined by carefully assessing multiple fundamental indicators and properties.

We assign a fundamental rating of 7 out of 10 to ALGM. ALGM was compared to 106 industry peers in the Semiconductors & Semiconductor Equipment industry. ALGM has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. ALGM is not priced too expensively while it is growing strongly. Keep and eye on this one! With these ratings, ALGM could be worth investigating further for growth and quality investing!.

Our latest full fundamental report of ALGM contains the most current fundamental analsysis.

Our CANSLIM screen will find you more ideas suited for growth investing.

Disclaimer

This article should in no way be interpreted as advice in any way. The article is based on the observed metrics at the time of writing, but you should always make your own analysis and trade or invest at your own responsibility.

Back

ALLEGRO MICROSYSTEMS INC

NASDAQ:ALGM (2/26/2024, 7:18:28 PM)

After market: 31.74 +0.02 (+0.06%)

31.72

+1.04 (+3.39%)

ALGM News

News Image11 days ago - InvestorPlace3 Undervalued Mid-Cap Stocks Set to Benefit from the AI Revolution

These 3 transformative mid-cap stocks are set to benefit from the AI revolution, and discerning investors cannot miss this opportunity.

News Image13 days ago - Market News VideoNoteworthy Wednesday Option Activity: PSN, ALGM, MA
News Image14 days ago - Allegro MicroSystems, Inc.Allegro MicroSystems to Present at Morgan Stanley’s Technology, Media & Telecom Conference on March 4
News Image18 days ago - Market News VideoAllegro MicroSystems Larger Than S&P 500 Component Zions Bancorporation
News Image21 days ago - Allegro MicroSystems, Inc.Allegro MicroSystems Introduces High-Bandwidth Current Sensor Technologies Enabling High-Performance Power Conversion

Power-Dense Sensors Designed to Minimize Energy Loss While Improving Efficiency and Reliability for SiC and GaN Technologies

News Image21 days ago - Allegro MicroSystems, Inc.Allegro MicroSystems Introduces High-Bandwidth Current Sensor Technologies Enabling High-Performance Power Conversion

Power-Dense Sensors Designed to Minimize Energy Loss While Improving Efficiency and Reliability for SiC and GaN Technologies...

News Image25 days ago - Investor's Business DailyStock Market Handles Huge Earnings Week, Fed's Powell, Jobs Report: Weekly Review

The Dow led the major indexes higher. Big techs diverged on results.

News Image25 days ago - Investor's Business DailyMicrochip Joins Other Chipmakers Cutting March-Quarter Forecasts

Microchip Technology followed a familiar pattern for many semiconductor stocks this earnings season. It guided lower for the March quarter.

News Image25 days ago - Seeking AlphaAllegro upgraded at Wolfe Research despite lower-than-expected outlook

Allegro MicroSystems was upgraded to Outperform from Peer Perform by Wolfe Research on Friday despite a lower-than-expected outlook. Read more here.

News Image26 days ago - Market News VideoNoteworthy Thursday Option Activity: STNG, ALGM, CLX
News Image26 days ago - Seeking AlphaAllegro MicroSystems soars despite outlook looming below market estimates

Allegro MicroSystems shares soared following the pre-market release of its third-quarter 2024 results Thursday. Read more here.

News Image26 days ago - Allegro MicroSystems, Inc.Allegro MicroSystems Reports Third Quarter 2024 Results
ALGM Links
Follow us for more