Allegro MicroSystems (ALGM) Valuation: Earnings Beat and Strong e-Mobility Momentum

Allegro MicroSystems (ALGM) reported a 14.4% YoY revenue growth and topped analyst expectations. The CEO highlighted e-Mobility, industrial strength, and higher non-GAAP EPS. The earnings beat comes on top of recent momentum, with a 30-day share price return of 24.91% and a 1-year total shareholder return of 33.40%. The fair value is estimated at $38.42, framing the debate around growth, margins, and future multiples. The shares trade above the US Semiconductor group and peer average, narrowing the margin for error if growth or margins come in below expectations.