Allegro Microsystems, CubeSmart To Join S&P MidCap 400; ALGM Stock Set To Break

Allegro Microsystems (ALGM) and CubeSmart (CUBE) will replace Semtech (SMTC) and NuVasive (NUVA) in the S&P MidCap 400, S&P Dow Jones Indices announced late Friday.


Allegro Micro and CubeSmart will join the MidCap 400 before the open on Dec. 19. Semtech and NuVasive will drop to the S&P SmallCap 600, Diversified Healthcare Trust (DHC) and Tupperware Brands (TUP).

In other S&P 600 moves, Agiliti (AGTI), SJW Group (SJW) and Cushman & Wakefield (CWK) will replace LL Flooring Holding (LL), Cato Corp. (CATO) and Diebold Nixdorf (DBD).

ALGM Stock Breakout?

ALGM stock jumped 5.6% to 33.25 late Friday. That suggests a breakout from a 50%-deep cup-with-handle base with a 32.07 buy point. However, the handle doesn’t appear on a weekly chart, with Allegro Microsystems running up for seven straight weeks from a two-year low. ALGM stock closed Friday 25% above its 50-day moving average.

Allegro Microsystems makes specialized integrated circuits for the auto and industrial circuits, benefitting from electric vehicles and self-driving technology.

CUBE stock rose 4.2% late Friday. The self-storage REIT reclaimed its 50-day line last week but is below a long-sliding 200-day line.

Meanwhile, SMTC stock and NuVasive rose about 3% late Friday. More mutual funds and ETFs track the S&P 600 than the MidCap 400, so this “demotion” comes with a pay raise. Allegro Microsystems and CubeSmart are not currently in the S&P 600.

Agiliti, SJW Group and CWK stock rose 6%, 7% and 8%, respectively, late Friday.

Diversified Healthcare Trust, Tupperware, LL Flooring, Cato and Diebold Nixdorf all fell solidly.

Please follow Ed Carson on Twitter at @IBD_ECarson for stock market updates and more.


Why This IBD Tool Simplifies The Search For Top Stocks

Best Growth Stocks To Buy And Watch

IBD Digital: Unlock IBD’s Premium Stock Lists, Tools And Analysis Today

Tesla Vs. BYD: Which EV Giant Is The Better Buy?

Read More: Allegro Microsystems, CubeSmart To Join S&P MidCap 400; ALGM Stock Set To Break

Notify of
Inline Feedbacks
View all comments

Get more stuff like this
in your inbox

Subscribe to our mailing list and get interesting stuff and updates to your email inbox.

Thank you for subscribing.

Something went wrong.