Analog Devices (NASDAQ:ADI) Reaches New 1-Year High - Still a Buy?

Key Points

• Analog Devices shares hit a new 12-month high, trading at $257.72, with strong trading volume of 5.7 million shares.
• Wall Street analysts have mixed ratings, with a consensus target price of $273.53 and most giving the stock either a Buy or Strong Buy rating.
• The company recently reported $2.05 EPS, exceeding estimates, and announced a quarterly dividend of $0.99, yielding 1.5%.

Analog Devices, Inc. (NASDAQ:ADI - Get Free Report)'s stock price hit a new 52-week high during trading on Wednesday . The stock traded as high as $257.72 and last traded at $255.63, with a volume of 5734757 shares traded. The stock had previously closed at $254.49.

Wall Street Analyst Weigh In

Several equities research analysts have recently commented on ADI shares. Williams Trading set a $260.00 price target on Analog Devices in a research note on Friday, May 23rd. Benchmark upped their target price on Analog Devices from $260.00 to $285.00 and gave the company a "buy" rating in a research note on Thursday, August 21st. Evercore ISI upped their target price on Analog Devices from $280.00 to $303.00 and gave the company an "outperform" rating in a research note on Thursday, August 21st. Morgan Stanley upped their target price on Analog Devices from $273.00 to $288.00 and gave the company an "overweight" rating in a research note on Thursday, August 21st. Finally, KeyCorp upped their target price on Analog Devices from $300.00 to $310.00 and gave the company an "overweight" rating in a research note on Thursday, August 21st. Two analysts have rated the stock with a Strong Buy rating, eighteen have given a Buy rating and six have assigned a Hold rating to the company's stock. According to data from MarketBeat, the company currently has a consensus rating of "Moderate Buy" and a consensus price target of $273.53.

Analog Devices Trading Down 1.2%

The business has a 50 day moving average of $237.29 and a 200-day moving average of $219.10. The company has a current ratio of 2.32, a quick ratio of 1.79 and a debt-to-equity ratio of 0.24. The stock has a market cap of $123.63 billion, a PE ratio of 64.11, a price-to-earnings-growth ratio of 2.14 and a beta of 1.05.

Analog Devices (NASDAQ:ADI - Get Free Report) last issued its quarterly earnings results on Wednesday, August 20th. The semiconductor company reported $2.05 earnings per share for the quarter, beating the consensus estimate of $1.95 by $0.10. The company had revenue of $2.88 billion during the quarter, compared to the consensus estimate of $2.76 billion. Analog Devices had a return on equity of 10.32% and a net margin of 18.85%.Analog Devices's revenue was up 24.6% on a year-over-year basis. During the same period in the previous year, the firm posted $1.58 EPS. Analog Devices has set its Q4 2025 guidance at 2.120-2.320 EPS. On average, analysts anticipate that Analog Devices, Inc. will post 7.14 EPS for the current year.

Analog Devices Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, September 16th. Shareholders of record on Tuesday, September 2nd will be issued a $0.99 dividend. The ex-dividend date is Tuesday, September 2nd. This represents a $3.96 annualized dividend and a yield of 1.6%. Analog Devices's payout ratio is 101.02%.

Insider Buying and Selling at Analog Devices

In other Analog Devices news, Director Ray Stata sold 3,125 shares of the business's stock in a transaction on Wednesday, July 16th. The stock was sold at an average price of $239.23, for a total value of $747,593.75. Following the completion of the transaction, the director directly owned 167,571 shares in the company, valued at approximately $40,088,010.33. The trade was a 1.83% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, SVP Katsufumi Nakamura sold 2,490 shares of the business's stock in a transaction on Thursday, August 21st. The shares were sold at an average price of $248.03, for a total value of $617,594.70. Following the completion of the transaction, the senior vice president owned 13,549 shares of the company's stock, valued at $3,360,558.47. This trade represents a 15.52% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders sold 25,615 shares of company stock worth $6,450,988. Insiders own 0.33% of the company's stock.

Institutional Trading of Analog Devices

Institutional investors and hedge funds have recently made changes to their positions in the company. Howard Hughes Medical Institute acquired a new stake in shares of Analog Devices during the 2nd quarter worth $25,000. Activest Wealth Management increased its holdings in shares of Analog Devices by 6,350.0% during the 1st quarter. Activest Wealth Management now owns 129 shares of the semiconductor company's stock worth $26,000 after buying an additional 127 shares during the last quarter. RMG Wealth Management LLC acquired a new stake in shares of Analog Devices during the 2nd quarter worth $26,000. Orion Capital Management LLC acquired a new stake in shares of Analog Devices during the 4th quarter worth $27,000. Finally, Menard Financial Group LLC acquired a new stake in shares of Analog Devices during the 4th quarter worth $27,000. 86.81% of the stock is currently owned by institutional investors and hedge funds.

About Analog Devices

Analog Devices, Inc designs, manufactures, tests, and markets integrated circuits (ICs), software, and subsystems products in the United States, rest of North and South America, Europe, Japan, China, and rest of Asia. The company provides data converter products, which translate real-world analog signals into digital data, as well as translates digital data into analog signals; power management and reference products for power conversion, driver monitoring, sequencing, and energy management applications in the automotive, communications, industrial, and consumer markets; and power ICs that include performance, integration, and software design simulation tools for accurate power supply designs.