Analog Devices, Inc. (NASDAQ:ADI) Given Average Recommendation of "Moderate Buy" by Brokerages

Key Points

• Analog Devices has an average analyst rating of “Moderate Buy” from 31 covering firms, with 26 buy ratings and an average 1-year price target of about $432.71.
• The company’s latest earnings beat expectations, reporting $3.09 EPS on $3.62 billion in revenue, both above analyst forecasts, while revenue rose 37.2% year over year.
• Insider activity has been notable, with CEO Vincent Roche and Director Ray Stata both selling shares recently; meanwhile, institutional ownership remains high at 86.81%.

Analog Devices, Inc. (NASDAQ:ADI - Get Free Report) has received an average rating of "Moderate Buy" from the thirty-one ratings firms that are presently covering the firm, MarketBeat.com reports. Three investment analysts have rated the stock with a hold recommendation, twenty-six have given a buy recommendation and two have assigned a strong buy recommendation to the company. The average 1 year price objective among brokers that have updated their coverage on the stock in the last year is $432.7143.

A number of research firms have weighed in on ADI. Argus set a $460.00 price target on Analog Devices in a research report on Tuesday, May 26th. Wall Street Zen upgraded shares of Analog Devices from a "hold" rating to a "buy" rating in a report on Sunday, May 24th. Barclays increased their target price on shares of Analog Devices from $430.00 to $450.00 and gave the stock an "overweight" rating in a report on Thursday, May 21st. Benchmark raised their target price on shares of Analog Devices from $285.00 to $400.00 and gave the company a "buy" rating in a research report on Thursday, February 19th. Finally, Oppenheimer lifted their price target on shares of Analog Devices from $400.00 to $450.00 and gave the company an "outperform" rating in a research note on Tuesday, May 12th.

Insider Buying and Selling

In other Analog Devices news, Director Ray Stata sold 1,416 shares of the firm's stock in a transaction that occurred on Wednesday, June 10th. The stock was sold at an average price of $398.11, for a total value of $563,723.76. Following the completion of the transaction, the director directly owned 118,759 shares in the company, valued at $47,279,145.49. This trade represents a 1.18% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO Vincent Roche sold 30,000 shares of the business's stock in a transaction that occurred on Tuesday, May 26th. The stock was sold at an average price of $415.13, for a total value of $12,453,900.00. Following the transaction, the chief executive officer directly owned 137,538 shares in the company, valued at $57,096,149.94. This trade represents a 17.91% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 101,442 shares of company stock worth $40,422,954 in the last three months. Insiders own 0.36% of the company's stock.

Hedge Funds Weigh In On Analog Devices

Hedge funds and other institutional investors have recently made changes to their positions in the company. Banque Transatlantique SA acquired a new position in shares of Analog Devices during the 4th quarter worth about $25,000. Evolution Wealth Management Inc. bought a new position in Analog Devices during the first quarter worth about $30,000. Hilton Head Capital Partners LLC bought a new position in Analog Devices during the fourth quarter worth about $26,000. Gordian Capital Singapore Pte Ltd acquired a new position in Analog Devices during the fourth quarter worth approximately $27,000. Finally, Entrust Financial LLC acquired a new position in Analog Devices during the fourth quarter worth approximately $33,000. 86.81% of the stock is owned by institutional investors.

Analog Devices Stock Performance

ADI opened at $416.00 on Wednesday. The company has a market capitalization of $202.63 billion, a price-to-earnings ratio of 61.81, a P/E/G ratio of 1.20 and a beta of 1.18. The business's 50-day moving average price is $395.90 and its two-hundred day moving average price is $337.71. Analog Devices has a 1 year low of $218.37 and a 1 year high of $439.70. The company has a debt-to-equity ratio of 0.21, a current ratio of 1.75 and a quick ratio of 1.34.

Analog Devices (NASDAQ:ADI - Get Free Report) last posted its quarterly earnings data on Wednesday, May 20th. The semiconductor company reported $3.09 earnings per share for the quarter, topping the consensus estimate of $2.89 by $0.20. Analog Devices had a return on equity of 14.37% and a net margin of 26.01%.The company had revenue of $3.62 billion during the quarter, compared to analysts' expectations of $3.51 billion. During the same period in the prior year, the firm earned $1.85 earnings per share. Analog Devices's revenue for the quarter was up 37.2% compared to the same quarter last year. Analog Devices has set its Q3 2026 guidance at 3.150-3.450 EPS. Equities analysts expect that Analog Devices will post 12.41 EPS for the current fiscal year.

Analog Devices Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Tuesday, June 16th. Stockholders of record on Tuesday, June 2nd were issued a $1.10 dividend. The ex-dividend date was Tuesday, June 2nd. This represents a $4.40 annualized dividend and a dividend yield of 1.1%. Analog Devices's dividend payout ratio (DPR) is presently 65.38%.

Analog Devices News Roundup

Here are the key news stories impacting Analog Devices this week:

• Positive Sentiment: Leverage Shares by Themes launched a new 2X leveraged single-stock ETF tied to ADI, which can increase trading interest and visibility in the name. Leverage Shares by Themes Continues Expansion of Leveraged Single Stock ETF Offering with AXTI, APH, TEL, FN, KEYS, ADI, MCHP, & TSEM
• Positive Sentiment: An investor letter highlighted Analog Devices as having benefited from improved demand and better end-market conditions, reinforcing the view that business fundamentals remain healthy. Analog Devices (ADI) Gained from Improved Demand and End Market Conditions
• Positive Sentiment: A recent market note described ADI as one of the AI-related chip names with durable “moats,” suggesting investors may continue to view it as a long-term beneficiary of AI and semiconductor demand. 3 AI Stocks With Moats That Could Outlast Summer Volatility (ADI)
• Neutral Sentiment: The company also drew fresh attention after a director sold 1,000 shares, but the sale was made under a pre-arranged 10b5-1 plan, so it is less likely to be interpreted as a negative signal by investors. Analog Devices NASDAQ: ADI Director Karen Golz Sells 1,000 Shares of Stock
• Neutral Sentiment: Additional articles compared ADI with peers and sector performance, but these pieces were mostly descriptive rather than new catalysts for the stock. Has Analog Devices (ADI) Outpaced Other Computer and Technology Stocks This Year?

Analog Devices Company Profile

Analog Devices, Inc NASDAQ: ADI is a multinational semiconductor company that designs, manufactures and markets a broad portfolio of analog, mixed-signal and digital signal processing integrated circuits. Founded in 1965 by Ray Stata and Matthew Lorber, the company has grown into a leading supplier of components that convert, condition and process real-world signals for electronic systems. Analog Devices is headquartered in Massachusetts and serves customers around the world across multiple end markets.

The company's product lineup includes data converters (ADCs and DACs), amplifiers, power management ICs, radio-frequency (RF) and microwave components, sensors and MEMS devices, signal chain and isolation products, timing and clocking solutions, and embedded processors and software for system-level design.

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