Allegro Microsystems (ALGM) Jumps to 2-Year High on Swing to Profitability, Strong Sales Outlook

We recently published 10 Big Names With Explosive Gains.  Allegro MicroSystems Inc. (NASDAQ:ALGM)  was one of the top performers on Thursday.

Allegro MicroSystems soared to a two-year high on Thursday after swinging to profitability in the third quarter of the fiscal year and raising its sales outlook for the current quarter.

At intra-day trading, the stock jumped to its highest price of $39.89 before trimming gains to finish the session just up by 9.93 percent at $37.98 apiece.

In an updated report, Allegro MicroSystems Inc. (NASDAQ:ALGM) said that it swung to an attributable net income of $8.3 million in the third quarter of the fiscal year ending December 2025, reversing an attributable net loss of $6.86 million in the same period a year earlier.

Full-year attributable net income stood at $1.59 million, reversing a $58.2 million net loss in fiscal year 2025.

Net sales for the quarter jumped by 29 percent to $229 million from $177.9 million in the same period a year earlier, bringing its full-year net sales higher by 21.5 percent to $646.9 million from $532.18 million.

“This performance was driven by broad strength in automotive sales, which grew 28 percent year-over-year, including a 46 percent increase in e-Mobility. Our industrial sales also saw robust growth, increasing 31 percent year-over-year, led by another record quarter in data center,” said Allegro MicroSystems Inc. (NASDAQ:ALGM) President and CEO Mike Doogue.

For the fourth quarter ending March 2026, Allegro MicroSystems Inc. (NASDAQ:ALGM) is gunning for net sales between $230 million and $240 million, with the midpoint implying a growth of 22 percent year-on-year.

Diluted earnings per share are expected at $0.14 to $0.18.

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Disclosure: None. This article is originally published at Insider Monkey.