5 Most Oversold Semiconductor Stocks to Buy Now

In this article, we will list the 5 Most Oversold Semiconductor Stocks to Buy Now. Please visit 11 Most Oversold Semiconductor Stocks to Buy Now if you’d like to see an extended list and how we came up with the list of most oversold semiconductor stocks.

5. Allegro MicroSystems, Inc. (NASDAQ:ALGM)

Allegro MicroSystems, Inc. (NASDAQ:ALGM) is one of the 11 most oversold semiconductor stocks to buy now.

As of March 13, 2026, analyst sentiment on Allegro MicroSystems, Inc. (NASDAQ:ALGM) remains robust, as over 90% of covering analysts remain bullish on the stock. The consensus price target of $45 implies approximately 45% upside.

Following the company’s analyst day in Boston, Allegro MicroSystems, Inc. (NASDAQ:ALGM) drew attention from analysts at BofA on February 19, 2026. Analyst confidence stemmed from management’s attractive three-to-five-year model, which featured mid-teens sales growth, 55% gross margins, and roughly $2 in long-term EPS. The firm raised its price target from $42 to $45 and maintains a “Buy” rating on the stock.

A semiconductor. Photo by Tima Miroshnichenko on Pexels

Meanwhile, as semiconductor demand is recovering and long-term trends are steadily boosting chip demand, analysts at Morgan Stanley are growing more confident in the company’s outlook. The firm says semiconductor demand is particularly heavy in both electric and internal combustion vehicles. Furthermore, recovering auto and industrial demand is further bolstering the need for the company’s chips. Accordingly, the firm expects outperformance and margin expansion in 2026 and 2027, reinforcing its bullish outlook on the stock.

Allegro MicroSystems, Inc. (NASDAQ:ALGM) focuses on the development of sensor and analog power ICs, which measure motion, speed, position, and current. The company also develops motor drivers and power management chips.