The 22-year-old, never far from controversy, has been in clinical form following his €22 million (£18.9m) transfer from Manchester City, scoring three goals in his first two games in Serie A and his coach was quick to praise him.
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The 45-year-old added that the former Man City forward's potential brilliance is not a foregone conclusion, but expressed his hope that Balotelli will make the most of the raw talent he has.
“I hope he takes my advice," Allegri continued.
The former Cagliari trainer also insisted he would be at the club to manage his star man next season, despite there being some minor doubts the boss' future.
"“I have never had any doubts that I'll be here next season,” Allegri added.
“I have an agreement with the president and Galliani – this team has been rebuilt in a short space of time so we have to carry on with this project as it is.”
Milan are currently fifth in Serie A and are chasing a Champions League place for next seaosn.