Allegro MicroSystems Q3 revenue beats estimates, rises 29%

Overview

• Semiconductor firm's Q3 revenue rose, beating analyst expectations

• Non-GAAP EPS for Q3 more than doubled yr/yr to $0.15

• Automotive sales grew 28% yr/yr, with e-Mobility up 46%

Outlook

• Company expects Q4 net sales between $230 mln and $240 mln

• Allegro anticipates Q4 non-GAAP EPS between $0.14 and $0.18

• Company projects Q4 non-GAAP gross margin between 49% and 51%

Result Drivers

• AUTOMOTIVE SALES - Automotive sales grew 28% yr/yr, with e-Mobility up 46%, driving strong Q3 performance

• INDUSTRIAL GROWTH - Industrial sales increased 31% yr/yr, led by record performance in Data Center

• INCREASED BOOKINGS - Co reported growing bookings and backlog, with significant annual increase in design wins

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 11 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the semiconductors peer group is "buy"

• Wall Street's median 12-month price target for Allegro Microsystems Inc is $38.00, about 10% above its January 28 closing price of $34.55

• The stock recently traded at 39 times the next 12-month earnings vs. a P/E of 39 three months ago

Press Release: ID:nGNX1KHLXf

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