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Net Debt Paydown Yield % is a metric that evaluates the total amount of debt a company has paid in relation to its market capitalization. It is a measure of a company's willingness and ability to reduce its debt.
As of today, Allegro Microsystems's Net Debt Paydown Yield % was 0.43%.
Allegro Microsystems (NAS:ALGM) Net Debt Paydown Yield % Explanation
Net Debt Paydown Yield % is the change in average of four quarters of company's total debt over a company's market cap. Assuming the total value of a company remains that same, shareholder value is increased as debt is reduced. In other words, it is a measure of the willingness and ability of a firm's management to pay down debt. Companies that have high debt paydown yields indicate that they are more aggressive with paying down debt.
In the calculation of Net Debt Paydown Yield %, we use the reductions of TTM average total debt one-year-ago and TTM average total debt at present, divided by its Market Cap.
Allegro Microsystems Net Debt Paydown Yield % Related Terms
Allegro Microsystems Net Debt Paydown Yield % Historical Data
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The historical data trend for Allegro Microsystems's Net Debt Paydown Yield % 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.
Allegro Microsystems Net Debt Paydown Yield % Chart
ALGM vs SIMO, SWKS, RMBS: Net Debt Paydown Yield % Comparison
For the Semiconductors subindustry, Allegro Microsystems's Net Debt Paydown Yield %, along with its competitors' market caps and Net Debt Paydown Yield % 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 Net Debt Paydown Yield % vs Semiconductors Industry
For the Semiconductors industry and Technology sector, Allegro Microsystems's Net Debt Paydown Yield % distribution charts can be found below:
* The bar in red indicates where Allegro Microsystems's Net Debt Paydown Yield % falls into.
* 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.
* All the data are calculated by TTM values. Note that if a companies is traded in several exchanges, then we calculate the company level data for Net Debt Paydown Yield % using the primary share class stock data. The calculation result in definition page is for demonstration purpose only, and it's showing the share class level data. Therefore, the numbers in the calculation may differ from elsewhere if the stock is not a primary share.
What does a Net Debt Paydown Yield % of 0.43% mean?
Allegro Microsystems (ALGM) has a Net Debt Paydown Yield % of 0.43% as of Jul. 16, 2026. Net Debt Paydown Yield is a metric that evaluates the total amount of debt a company has paid in relation to its market capitalization. This metric provides insight into a company's willingness and ability to reduce its debt using free cash flow. View historical data on Allegro Microsystems and its competitors. According to the industry distribution chart, Allegro Microsystems ranks #249 out of 966 companies in the Semiconductors industry, placing it in the top 25.8%.
Is Allegro Microsystems' Net Debt Paydown Yield % too high?
Allegro Microsystems' current Net Debt Paydown Yield % is 0.43%. Based on the distribution chart, Allegro Microsystems ranks #249 out of 966 companies in the Semiconductors industry, which is above the industry midpoint. Overall, Allegro Microsystems has a GF Score™ of 79/100 and is considered Significantly Overvalued, reflecting its overall financial health beyond just this single metric.
How does Allegro Microsystems' Net Debt Paydown Yield % compare to SIMO and SWKS?
According to the Semiconductors industry distribution chart, Allegro Microsystems ranks #249 out of 966 companies for Net Debt Paydown Yield %. This puts Allegro Microsystems in the upper half of its industry. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Net Debt Paydown Yield % for a Semiconductors company?
A good Net Debt Paydown Yield % depends on the Semiconductors industry context. However, Net Debt Paydown Yield % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Net Debt Paydown Yield % mean?
A high Net Debt Paydown Yield % can signal that a stock is expensive relative to its fundamentals. Net Debt Paydown Yield is a metric that evaluates the total amount of debt a company has paid in relation to its market capitalization. This metric provides insight into a company's willingness and ability to reduce its debt using free cash flow. View historical data on Allegro Microsystems and its competitors. Allegro Microsystems's current Net Debt Paydown Yield % is 0.43%. 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 Significantly Overvalued. The stock's GF Value™ is $29.63, compared to a current price of $47.00 — trading 58.6% above its estimated fair value. The current Net Debt Paydown Yield % is 0.43%. Allegro Microsystems' overall GF Score™ is 79/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Net Debt Paydown Yield % calculated?
Net Debt Paydown Yield % is calculated from a company's financial statements. For Allegro Microsystems (ALGM), the current Net Debt Paydown Yield % is 0.43% as of Jul. 16, 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 $47.00 is trading 58.6% above its estimated GF Value™ of $29.63.
GuruFocus considers Allegro Microsystems to be Significantly Overvalued.
Key valuation signals for ALGM:
Net Debt Paydown Yield %: 0.43%
GF Value™: $29.63 vs. price of $47.00 (58.6% above fair value)
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.
79GF Score
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