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Allegro MicrosystemsALGM -3.08%85 EV-to-EBIT is 179.97 as of Aug. 20, 2026, which is 415% above its 10-year median of 34.92. GuruFocus rates ALGM with a GF Score™ of 85/100 and a GF Value™ of $30.42 (Modestly Overvalued). The stock has 6 warning signs investors should review. Among 705 Semiconductors companies, Allegro Microsystems ranks worse than 92.2% on this metric.
This is a more accurate valuation of companies' operation because it considers the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.
Allegro Microsystems's Enterprise Value for the quarter that ended in Jun. 2026 was $13,098.6 Mil.
Allegro Microsystems's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $39.3 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Allegro Microsystems EV-to-EBIT Related Terms
Allegro Microsystems EV-to-EBIT Historical Data
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The historical data trend for Allegro Microsystems's EV-to-EBIT can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
For the Semiconductors subindustry, Allegro Microsystems's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
Allegro Microsystems EV-to-EBIT vs Semiconductors Industry
For the Semiconductors industry and Technology sector, Allegro Microsystems's EV-to-EBIT distribution charts can be found below:
* The bar in red indicates where Allegro Microsystems's EV-to-EBIT falls into.
Allegro Microsystems's current Enterprise Value is $7,072.2 Mil.
Allegro Microsystems's EBIT for the trailing twelve months (TTM) ended in Jun. 2026 adds up the quarterly data reported by the company within the most recent 12 months, which was $39.3 Mil.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
Allegro Microsystems (ALGM) has a EV-to-EBIT of 179.97 as of Aug. 20, 2026. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Allegro Microsystems and its competitors. This is 415% above median its historical median of 34.92. According to the industry distribution chart, Allegro Microsystems ranks #650 out of 705 companies in the Semiconductors industry, placing it in the top 92.2%.
Is Allegro Microsystems' EV-to-EBIT too high?
Allegro Microsystems' current EV-to-EBIT of 179.97 is 415% above median its 10-year median of 34.92. The Semiconductors industry median EV-to-EBIT is 29.27. Allegro Microsystems' value of 179.97 is 514.9% above this industry median. Based on the distribution chart, Allegro Microsystems ranks #650 out of 705 companies in the Semiconductors industry, which is in the bottom quartile relative to peers. Overall, Allegro Microsystems has a GF Score™ of 85/100 and is considered Modestly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Allegro Microsystems' EV-to-EBIT compare to SWKS and SIMO?
According to the Semiconductors industry distribution chart, Allegro Microsystems ranks #650 out of 705 companies for EV-to-EBIT. This places Allegro Microsystems in the lower half of its industry. The industry median EV-to-EBIT is 29.27. Allegro Microsystems' value of 179.97 is 514.9% above this benchmark. While the company's 10-year median is 34.92 vs. the industry median of 29.27, Allegro Microsystems has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good EV-to-EBIT for a Semiconductors company?
The median EV-to-EBIT among Semiconductors companies is 29.27, based on 705 companies in the industry. Companies in the top quartile (top 25%) have a EV-to-EBIT significantly above this median, while those in the bottom quartile fall well below. However, EV-to-EBIT should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Allegro Microsystems's current EV-to-EBIT of 179.97 is 514.9% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high EV-to-EBIT mean?
A high EV-to-EBIT can signal that a stock is expensive relative to its fundamentals. EV to EBIT ratio is the inverse of Joel Greenblatt's earnings yield definition. View historical data on Allegro Microsystems and its competitors. For the Semiconductors industry, the median EV-to-EBIT is 29.27 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. Allegro Microsystems's current EV-to-EBIT is 179.97, which is 415% above median its own 10-year median of 34.92. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Allegro Microsystems stock overvalued right now?
Based on GuruFocus' analysis, Allegro Microsystems (ALGM) is currently considered Modestly Overvalued. The stock's GF Value™ is $30.42, compared to a current price of $37.17 — trading 22.2% above its estimated fair value. The current EV-to-EBIT is 179.97, which is 415% above median its 10-year median of 34.92 and 514.9% above the Semiconductors industry median of 29.27. Allegro Microsystems' overall GF Score™ is 85/100 with 6 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is EV-to-EBIT calculated?
EV-to-EBIT is calculated from a company's financial statements. For Allegro Microsystems (ALGM), the current EV-to-EBIT is 179.97 as of Aug. 20, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is Allegro Microsystems (ALGM) Overvalued in 2026?
Based on GuruFocus' analysis, Allegro Microsystems stock appears to be overvalued.
The current stock price of $37.17 is trading 22.2% above its estimated GF Value™ of $30.42.
GuruFocus considers Allegro Microsystems to be Modestly Overvalued.
Key valuation signals for ALGM:
EV-to-EBIT: 179.97 (415% above median its 10-year median of 34.92)
GF Value™: $30.42 vs. price of $37.17 (22.2% above fair value)
Industry Position: 514.9% above the Semiconductors median (#650 of 705)
No single metric tells the full story. See the ALGM stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
Allegro Microsystems Inc is a designer, developer, fabless manufacturer, and marketer of sensor ICs and application-specific analog power ICs for automotive and industrial markets. Its Sensor IC allows customers to precisely measure motion, speed, position, and current, and Power ICs include high-temperature and high-voltage capable motor drivers, power management, and LED driver ICs. Its products are divided into three categories: SENSE, which includes Current Sensors, Switches, and Latches, and Interface ICs among others; REGULATE, which includes Regulators, ClearPower Modules, and LED Drivers; and DRIVE, which includes BLDC Drivers, Brush DC, and others. Product-wise, the firm derives the majority of its revenue from sales of Magnetic sensors.
85GF Score
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