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Upturn AI SWOT - About
Allegro Microsystems Inc (ALGM)

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Upturn Advisory Summary
12/03/2025: ALGM (1-star) is currently NOT-A-BUY. Pass it for now.
1 Year Target Price $38.58
1 Year Target Price $38.58
| 8 | Strong Buy |
| 2 | Buy |
| 1 | Hold |
| 0 | Sell |
| 0 | Strong Sell |
Analysis of Past Performance
Type Stock | Historic Profit -50.07% | Avg. Invested days 26 | Today’s Advisory PASS |
Upturn Star Rating ![]() | Upturn Advisory Performance | Stock Returns Performance |
Key Highlights
Company Size Mid-Cap Stock | Market Capitalization 4.91B USD | Price to earnings Ratio - | 1Y Target Price 38.58 |
Price to earnings Ratio - | 1Y Target Price 38.58 | ||
Volume (30-day avg) 11 | Beta 1.61 | 52 Weeks Range 16.38 - 38.45 | Updated Date 12/3/2025 |
52 Weeks Range 16.38 - 38.45 | Updated Date 12/3/2025 | ||
Dividends yield (FY) - | Basic EPS (TTM) -0.16 |
Analyzing Revenue: Products, Geography and Growth
Revenue by Products
Product revenue - Year on Year
Revenue by Geography
Geography revenue - Year on Year
Earnings Date
Report Date - | When - | Estimate - | Actual - |
Profitability
Profit Margin -3.6% | Operating Margin (TTM) 2.91% |
Management Effectiveness
Return on Assets (TTM) -0.14% | Return on Equity (TTM) -2.98% |
Valuation
Trailing PE - | Forward PE 50.51 | Enterprise Value 5132033311 | Price to Sales(TTM) 6.23 |
Enterprise Value 5132033311 | Price to Sales(TTM) 6.23 | ||
Enterprise Value to Revenue 6.51 | Enterprise Value to EBITDA 97.1 | Shares Outstanding 185119045 | Shares Floating 123939052 |
Shares Outstanding 185119045 | Shares Floating 123939052 | ||
Percent Insiders 33.12 | Percent Institutions 75.13 |
Upturn AI SWOT
Allegro Microsystems Inc

Company Overview
History and Background
Allegro Microsystems, Inc. was founded in 1990 as a spin-off from Sprague Electric. The company has evolved into a leading supplier of power and sensing solutions for motion control and energy-efficient systems.
Core Business Areas
- Sensing: Magnetic sensors and current sensors that enable efficient and reliable operation in automotive, industrial, and consumer applications.
- Power: Power ICs that control and drive motors, power supplies, and other high-power systems.
- Automotive: Solutions tailored for automotive applications, including ADAS, electric vehicles, and safety systems.
- Industrial: Solutions tailored for industrial applications, including industrial automation, power tools, and robotics.
Leadership and Structure
Ravi Vig serves as the CEO. The company operates with a functional organizational structure, comprising engineering, operations, sales, and marketing departments.
Top Products and Market Share
Key Offerings
- Description: Magnetic Speed Sensors, which are used for speed, direction, and target position sensing. Competitors include Infineon (IFNNY) and TDK (TTDKY). Allegro accounts for approximately 35% of the global market share
- Product Name 1: Magnetic Speed Sensors: Used in automotive and industrial applications to measure rotational speed and position. Market share varies by specific sensor type; significant competition comes from Infineon (IFNNY) and TDK (TTDKY).
- Description: Current Sensors, which are used for determining and measuring the current flowing through a system or an electrical device. Allegro accounts for approximately 20% of the global market share, and competes with companies such as Texas Instruments (TXN) and LEM (LHN).
- Product Name 2: Current Sensors: Used in power supplies, motor control, and other applications to measure current flow. Allegro competes with companies such as Texas Instruments (TXN) and LEM (LHN).
- Description: Motor Drivers, which are used for powering and controlling motors to increase motion efficiency. Allegro accounts for approximately 15% of the global market share, and competes with companies such as Infineon (IFNNY) and STMicroelectronics (STM).
- Product Name 3: Motor Drivers: Used in automotive, industrial, and consumer applications. Competitors include Infineon (IFNNY) and STMicroelectronics (STM)
Market Dynamics
Industry Overview
The semiconductor industry is highly competitive and cyclical, driven by demand from various end markets like automotive, industrial, and consumer electronics. Trends include increasing demand for power efficiency, sensor integration, and connectivity.
Positioning
Allegro Microsystemsu00a0Inc is a leading provider of sensing and power solutions for motion control and energy-efficient systems. Its competitive advantages include its strong application expertise, differentiated product portfolio, and customer relationships.
Total Addressable Market (TAM)
The total addressable market for Allegro's products is estimated to be $10+ billion. Allegro is well-positioned to capture a significant share of this market due to its product portfolio and application-specific expertise.
Upturn SWOT Analysis
Strengths
- Strong application expertise
- Differentiated product portfolio
- Customer relationships
- High-performance analog and mixed-signal ICs
- Focus on automotive and industrial markets
Weaknesses
- Reliance on automotive and industrial sectors
- Competition in mature product lines
- Exposure to cyclical demand patterns
- Limited brand recognition compared to larger competitors
Opportunities
- Growth in electric vehicles and ADAS
- Expansion in industrial automation
- Development of new sensor technologies
- Penetration into new markets such as renewable energy
Threats
- Intense competition
- Economic downturns
- Supply chain disruptions
- Technological obsolescence
- Geopolitical risks
Competitors and Market Share
Key Competitors
- TXN
- STM
- IFNNY
- ON
Competitive Landscape
Allegro Microsystemsu00a0Inc competes with larger, more diversified semiconductor companies. Its competitive advantages include its application expertise and specialized product portfolio, but it faces challenges related to scale and resources.
Major Acquisitions
Voxtel, Inc.
- Year: 2021
- Acquisition Price (USD millions): 27
- Strategic Rationale: Voxtel provides advanced photonics and laser expertise.
Growth Trajectory and Initiatives
Historical Growth: Historical growth has been moderate but has decreased between 2023 and 2024, influenced by macroeconomic factors and industry-specific trends.
Future Projections: Analyst estimates project revenue growth of ~8-10% annually over the next 3-5 years, driven by demand for its products in automotive and industrial applications.
Recent Initiatives: Recent initiatives include new product launches, strategic partnerships, and investments in R&D to expand its product portfolio and address emerging market opportunities.
Summary
Allegro Microsystems is a strong contender in the sensing and power solutions market, particularly within automotive and industrial applications. Its specialized expertise and customer relationships are assets, but reliance on cyclical industries poses risks. Strategic initiatives and product innovation are critical for future growth amidst intense competition. Allegro must continue to invest in R&D and mitigate supply chain vulnerabilities to sustain its position.
Similar Stocks
Sources and Disclaimers
Data Sources:
- Company filings (10-K, 10-Q), Investor presentations, Analyst reports, Industry databases
Disclaimers:
The information provided is for informational purposes only and should not be considered as financial advice. Actual results may vary.
AI Summarization is directionally correct and might not be accurate.
Summarized information shown could be a few years old and not current.
Fundamental Rating based on AI could be based on old data.
AI-generated summaries may have inaccuracies (hallucinations). Please verify the information before taking action.
About Allegro Microsystems Inc
Exchange NASDAQ | Headquaters Manchester, NH, United States | ||
IPO Launch date 2020-10-29 | President, CEO & Director Mr. Michael C. Doogue | ||
Sector Technology | Industry Semiconductors | Full time employees 4060 | Website https://www.allegromicro.com |
Full time employees 4060 | Website https://www.allegromicro.com | ||
Allegro MicroSystems, Inc., together with its subsidiaries, designs, develops, manufactures, and markets sensor integrated circuits (ICs) and application-specific power ICs for motion control and energy-efficient systems. Its products include magnetic sensor ICs, such as position, speed, and current sensor ICs; and power ICs comprising motor driver ICs, such as regulator, power management ICs, and LED driver ICs, and isolated gate drivers. The company sells its products to original equipment manufacturers and distributors primarily in the automotive and industrial markets through its direct sales force, third party distributors, independent sales representatives, and consignment. It operates in the United States, rest of 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.

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