ALLEGRO MICROSYSTEMS INC (ALGM) Stock Fundamental Analysis
USA - NASDAQ:ALGM - US01749D1054 - Common Stock
29.87 USD
+0.07 (+0.23%)
30.27 USD
+0.4 (+1.34%)
Overall ALGM gets a fundamental rating of 4 out of 10. We evaluated ALGM against 112 industry peers in the Semiconductors & Semiconductor Equipment industry. While ALGM seems to be doing ok healthwise, there are quite some concerns on its profitability. While showing a medium growth rate, ALGM is valued expensive at the moment.
1. Profitability
1.1 Basic Checks
In the past year ALGM was profitable.
ALGM had a positive operating cash flow in the past year.
Of the past 5 years ALGM 4 years were profitable.
ALGM had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
With a Return On Assets value of -4.94%, ALGM is not doing good in the industry: 66.07% of the companies in the same industry are doing better.
ALGM has a Return On Equity of -7.43%. This is in the lower half of the industry: ALGM underperforms 63.39% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.94% | ||
| ROE | -7.43% | ||
| ROIC | N/A |
ROA(3y)6.9%
ROA(5y)7.3%
ROE(3y)8.35%
ROE(5y)8.88%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
ALGM has a Gross Margin (44.39%) which is in line with its industry peers.
ALGM's Gross Margin has improved in the last couple of years.
The Profit Margin and Operating Margin are not available for ALGM so they could not be analyzed.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 44.39% |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-5.77%
GM growth 5Y1.99%
2. Health
2.1 Basic Checks
ALGM does not have a ROIC to compare to the WACC, probably because it is not profitable.
ALGM has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, ALGM has less shares outstanding
The debt/assets ratio for ALGM is higher compared to a year ago.
2.2 Solvency
An Altman-Z score of 7.84 indicates that ALGM is not in any danger for bankruptcy at the moment.
The Altman-Z score of ALGM (7.84) is better than 68.75% of its industry peers.
ALGM has a debt to FCF ratio of 6.43. This is a slightly negative value and a sign of low solvency as ALGM would need 6.43 years to pay back of all of its debts.
ALGM has a Debt to FCF ratio (6.43) which is in line with its industry peers.
A Debt/Equity ratio of 0.34 indicates that ALGM is not too dependend on debt financing.
ALGM has a Debt to Equity ratio of 0.34. This is in the lower half of the industry: ALGM underperforms 65.18% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 6.43 | ||
| Altman-Z | 7.84 |
ROIC/WACCN/A
WACC11.34%
2.3 Liquidity
ALGM has a Current Ratio of 3.70. This indicates that ALGM is financially healthy and has no problem in meeting its short term obligations.
ALGM's Current ratio of 3.70 is in line compared to the rest of the industry. ALGM outperforms 58.93% of its industry peers.
ALGM has a Quick Ratio of 2.26. This indicates that ALGM is financially healthy and has no problem in meeting its short term obligations.
The Quick ratio of ALGM (2.26) is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.7 | ||
| Quick Ratio | 2.26 |
3. Growth
3.1 Past
ALGM shows a strong negative growth in Earnings Per Share. In the last year the EPS decreased by -70.00%.
The earnings per share for ALGM have been decreasing by -32.49% on average. This is quite bad
Looking at the last year, ALGM shows a very negative growth in Revenue. The Revenue has decreased by -18.82% in the last year.
ALGM shows a small growth in Revenue. Measured over the last years, the Revenue has been growing by 2.21% yearly.
EPS 1Y (TTM)-70%
EPS 3Y-32.49%
EPS 5YN/A
EPS Q2Q%200%
Revenue 1Y (TTM)-18.82%
Revenue growth 3Y-1.93%
Revenue growth 5Y2.21%
Sales Q2Q%21.86%
3.2 Future
Based on estimates for the next years, ALGM will show a very strong growth in Earnings Per Share. The EPS will grow by 83.54% on average per year.
ALGM is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 18.96% yearly.
EPS Next Y122.77%
EPS Next 2Y105.12%
EPS Next 3Y83.54%
EPS Next 5YN/A
Revenue Next Year19.18%
Revenue Next 2Y18.75%
Revenue Next 3Y18.96%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
The Price/Earnings ratio is 99.57, which means the current valuation is very expensive for ALGM.
The rest of the industry has a similar Price/Earnings ratio as ALGM.
ALGM's Price/Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 27.27.
ALGM is valuated quite expensively with a Price/Forward Earnings ratio of 29.58.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ALGM is on the same level as its industry peers.
ALGM's Price/Forward Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 22.77.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 99.57 | ||
| Fwd PE | 29.58 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ALGM is on the same level as its industry peers.
The rest of the industry has a similar Price/Free Cash Flow ratio as ALGM.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 113.78 | ||
| EV/EBITDA | 107.6 |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
A more expensive valuation may be justified as ALGM's earnings are expected to grow with 83.54% in the coming years.
PEG (NY)0.81
PEG (5Y)N/A
EPS Next 2Y105.12%
EPS Next 3Y83.54%
5. Dividend
5.1 Amount
ALGM does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
29.87
+0.07 (+0.23%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners85.92%
Inst Owner Change-6.32%
Ins Owners0.68%
Ins Owner Change0.47%
Market Cap5.53B
Analysts83.33
Price Target38.59 (29.19%)
Short Float %7.16%
Short Ratio5.02
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DP0%
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)11.39%
Min EPS beat(2)5.14%
Max EPS beat(2)17.65%
EPS beat(4)4
Avg EPS beat(4)13.42%
Min EPS beat(4)5.14%
Max EPS beat(4)25.49%
EPS beat(8)8
Avg EPS beat(8)16.08%
EPS beat(12)12
Avg EPS beat(12)13.14%
EPS beat(16)16
Avg EPS beat(16)11.04%
Revenue beat(2)2
Avg Revenue beat(2)1.44%
Min Revenue beat(2)0.84%
Max Revenue beat(2)2.03%
Revenue beat(4)2
Avg Revenue beat(4)-0.07%
Min Revenue beat(4)-2.06%
Max Revenue beat(4)2.03%
Revenue beat(8)3
Avg Revenue beat(8)-0.58%
Revenue beat(12)4
Avg Revenue beat(12)-0.23%
Revenue beat(16)7
Avg Revenue beat(16)0.01%
PT rev (1m)0.22%
PT rev (3m)41.07%
EPS NQ rev (1m)0%
EPS NQ rev (3m)3.61%
EPS NY rev (1m)-0.16%
EPS NY rev (3m)1.69%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)1.33%
Revenue NY rev (1m)1.03%
Revenue NY rev (3m)1.13%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 99.57 | ||
| Fwd PE | 29.58 | ||
| P/S | 7.26 | ||
| P/FCF | 113.78 | ||
| P/OCF | 61.87 | ||
| P/B | 5.99 | ||
| P/tB | 11.94 | ||
| EV/EBITDA | 107.6 |
EPS(TTM)0.3
EY1%
EPS(NY)1.01
Fwd EY3.38%
FCF(TTM)0.26
FCFY0.88%
OCF(TTM)0.48
OCFY1.62%
SpS4.12
BVpS4.99
TBVpS2.5
PEG (NY)0.81
PEG (5Y)N/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | -4.94% | ||
| ROE | -7.43% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | N/A | ||
| GM | 44.39% | ||
| FCFM | 6.38% |
ROA(3y)6.9%
ROA(5y)7.3%
ROE(3y)8.35%
ROE(5y)8.88%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3YN/A
PM growth 5YN/A
GM growth 3Y-5.77%
GM growth 5Y1.99%
F-Score2
Asset Turnover0.55
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.34 | ||
| Debt/FCF | 6.43 | ||
| Debt/EBITDA | 5.86 | ||
| Cap/Depr | 63.43% | ||
| Cap/Sales | 5.35% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | 168.33% | ||
| Profit Quality | N/A | ||
| Current Ratio | 3.7 | ||
| Quick Ratio | 2.26 | ||
| Altman-Z | 7.84 |
F-Score2
WACC11.34%
ROIC/WACCN/A
Cap/Depr(3y)131.89%
Cap/Depr(5y)124.81%
Cap/Sales(3y)8.59%
Cap/Sales(5y)8.35%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-70%
EPS 3Y-32.49%
EPS 5YN/A
EPS Q2Q%200%
EPS Next Y122.77%
EPS Next 2Y105.12%
EPS Next 3Y83.54%
EPS Next 5YN/A
Revenue 1Y (TTM)-18.82%
Revenue growth 3Y-1.93%
Revenue growth 5Y2.21%
Sales Q2Q%21.86%
Revenue Next Year19.18%
Revenue Next 2Y18.75%
Revenue Next 3Y18.96%
Revenue Next 5YN/A
EBIT growth 1Y-108.21%
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year202.96%
EBIT Next 3Y80.06%
EBIT Next 5YN/A
FCF growth 1Y-49.4%
FCF growth 3Y-37.77%
FCF growth 5Y-10.31%
OCF growth 1Y-56.7%
OCF growth 3Y-26.53%
OCF growth 5Y-5.33%