Allegro Micro Beats Q1 Estimates, Data Center Sales Hit Record 17% of Revenue
ALGM sits 90% above its 52-week low of $22.41.
Summary
Allegro MicroSystems delivered a strong fiscal Q1 beat, with revenue up 27% YoY to $259.2M and adjusted EPS of $0.23, topping consensus by $7.7M and $0.02 respectively. The standout was data center sales, which surged to a record 17% of total revenue, underscoring the company's growing exposure to AI infrastructure demand. CEO Mike Doogue also cited continued strength in xEV and ADAS, aligning with broader electrification and automation trends. Q2 guidance calls for sales of $265M-$275M and EPS of $0.23-$0.26, suggesting momentum is sustaining. This follows a series of positive developments, including a strong FY2026 close and key executive appointments, reinforcing the turnaround narrative. With shares trading at 37x forward earnings and a median analyst target of $55, the beat and data center traction could drive further multiple expansion.
At the time of this announcement, ALGM was trading at $42.63 on NASDAQ in the Technology sector, with a market capitalization of approximately $7.9B. The 52-week trading range was $22.41 to $71.77. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: Reuters.