UBS Raises its Price Target on Allegro MicroSystems (ALGM)

Allegro MicroSystems, Inc. (NASDAQ:ALGM) is one of the 10 Best Electric Vehicle Supply Chain Stocks to Invest In.

On May 8, 2026, UBS analyst Timothy Arcuri raised the firm’s price target on Allegro MicroSystems, Inc. (NASDAQ:ALGM) to $55 from $52 while maintaining a Buy rating on the shares. Evercore ISI analyst Mark Lipacis also raised the firm’s price target on Allegro MicroSystems, Inc. (NASDAQ:ALGM) to $53 from $49 and maintained an Outperform rating.

Similarly, Jefferies analyst Blayne Curtis raised the firm’s price target on Allegro MicroSystems, Inc. (NASDAQ:ALGM) to $62 from $45 and maintained a Buy rating following the company’s Q1 results. The firm said Allegro’s data center business is becoming a more meaningful part of the investment story and cited higher peer multiples along with growing data center exposure for the target increase.

On May 7, 2026, Allegro MicroSystems, Inc. (NASDAQ:ALGM) reported fiscal Q4 EPS of 17c, versus the consensus estimate of 16c. Revenue totaled $243.19M, versus the consensus estimate of $235.94M. President and CEO Mike Doogue said the company finished fiscal 2026 with strong momentum, marking a fifth consecutive quarter of sales growth. Doogue added that full-year sales increased 23% to $890M while non-GAAP EPS more than doubled to $0.54. The company said results were driven by strength in automotive applications, including xEV and ADAS, as well as data center demand, which represented a record 14% of total Q4 sales.

Allegro MicroSystems, Inc. (NASDAQ:ALGM) said it remains confident in demand trends heading into fiscal 2027 and expects Q1 EPS of 19c-23c, versus the consensus estimate of 20c.

Allegro MicroSystems, Inc. (NASDAQ:ALGM) designs, develops, manufactures, and markets sensor integrated circuits and application-specific power ICs for motion control and energy-efficient systems.

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