In its Q2 2026 investor letter, Clearbridge Small Cap Growth Strategy highlighted Allegro MicroSystems, Inc. (NASDAQ:ALGM).
Allegro MicroSystems, Inc. (NASDAQ:ALGM) is a semiconductor company that develops sensor integrated circuits (ICs) and application-specific power ICs for sensing, motion control, and power management functions
On July 23, 2026, Allegro MicroSystems, Inc. (NASDAQ:ALGM) closed at $50.07 per share, reflecting a market capitalization of $9.33 billion. Allegro MicroSystems, Inc. (NASDAQ:ALGM) posted a one-month return of -16.81%, while its shares gained 42.91% over the past 52 weeks. Clearbridge Small Cap Growth Strategy stated the following regarding Allegro MicroSystems, Inc. (NASDAQ:ALGM) in its Q2 2026 investor update: “Information technology (IT) was another area of relative weakness despite exceptionally strong performance from several holdings across semiconductors and security software.
We saw material gains in semiconductor holdings such as Allegro MicroSystems, Inc. (NASDAQ:ALGM) and Lattice Semiconductors, both of which benefited from recovery in previously depressed industrial and automotive end markets alongside increasing content gains in newer AI server architectures.” Allegro MicroSystems, Inc. (NASDAQ:ALGM) is not on our list of 40 Most Popular Stocks Among Hedge Funds Heading Into 2026. According to our database, 34 hedge fund portfolios held Allegro MicroSystems, Inc. (NASDAQ:ALGM) at the end of the first quarter, up from 28 in the previous quarter. While we acknowledge the potential of Allegro MicroSystems, Inc. (NASDAQ:ALGM) as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk.