Form 4: Allegro MicroSystems CEO Acquires Shares Following Performance Goal Achievement

Michael Doogue, President and CEO of Allegro MicroSystems, acquired 18,489 shares of common stock following the achievement of performance objectives related to restricted stock units.

Summary

• On May 13, 2025, Michael Doogue, the President and CEO of Allegro MicroSystems, acquired 18,489 shares of common stock.
• This acquisition resulted from the vesting of performance-based restricted stock units (PSUs) granted on May 16, 2022, and June 11, 2024.
• The Compensation Committee determined that the performance goals for the period ending March 28, 2025, had been met.
• These shares are scheduled to vest fully on May 16, 2025.
• The filing also corrects a previously understated number of directly owned securities by 6,160 shares.
• Following the reported transaction, Doogue directly owns 87,053 shares and indirectly owns 246,086 shares through the Michael C. Doogue Revocable Trust of 2015.

Sentiment

Score: 7

Explanation: The sentiment is moderately positive as the vesting of performance-based stock units suggests the company is meeting its goals. The correction of a previous error is also a positive sign of transparency.

Positives

• The vesting of PSUs indicates that Allegro MicroSystems achieved its performance objectives, which is a positive signal for investors.
• The correction of the previously understated number of directly owned securities improves transparency and accuracy in reporting.

Future Outlook

The remaining unvested amounts under the PSUs are scheduled to vest in full on May 16, 2025.

Industry Context

This filing is a routine disclosure related to executive compensation and stock ownership, common in publicly traded companies. It reflects the alignment of executive incentives with company performance.

Comparison to Industry Standards

• Executive compensation packages often include performance-based equity awards to incentivize executives to achieve specific company goals.
• The vesting of these awards is contingent upon meeting pre-defined performance metrics, aligning executive interests with shareholder value.
• Companies like Texas Instruments and Analog Devices also utilize similar performance-based compensation structures for their executives.

Stakeholder Impact

• Shareholders may view the vesting of PSUs as a positive sign, indicating that the company is achieving its performance targets.
• Employees may be motivated by the fact that executive compensation is tied to company performance.

Key Dates

Keywords

Allegro MicroSystems, ALGM, Michael Doogue, Form 4, Beneficial Ownership, Performance Stock Units, Stock Acquisition, Executive Compensation