Insider Selling: Analog Devices (NASDAQ:ADI) Director Sells $513,795.60 in Stock

Key Points

• Insider sale: Analog Devices director Ray Stata sold 1,416 shares for approximately $513,796 under a pre-arranged Rule 10b5-1 plan, reducing his holdings by 1.25% while retaining about 111,679 shares.
• Strong financial performance: The semiconductor company reported quarterly revenue of $4.02 billion, up 39.2% year over year, and earnings of $3.45 per share, exceeding analyst expectations.
• Growth prospects and valuation: ADI agreed to acquire Alif Semiconductor for roughly $1.35 billion to expand its low-power, edge-AI capabilities. Analysts maintain a consensus “Buy” rating with an average price target of $457.97, compared with recent trading near $361.

Analog Devices, Inc. (NASDAQ:ADI - Get Free Report) Director Ray Stata sold 1,416 shares of the stock in a transaction on Tuesday, September 8th. The shares were sold at an average price of $362.85, for a total value of $513,795.60. Following the sale, the director owned 111,679 shares of the company's stock, valued at approximately $40,522,725.15. This represents a 1.25% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is accessible through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan.

Ray Stata also recently made the following trade(s):

• On Tuesday, August 4th, Ray Stata sold 1,416 shares of Analog Devices stock. The stock was sold at an average price of $377.37, for a total transaction of $534,355.92.
• On Tuesday, July 7th, Ray Stata sold 1,416 shares of Analog Devices stock. The stock was sold at an average price of $377.01, for a total value of $533,846.16.

Analog Devices Stock Performance

Shares of ADI stock traded down $3.82 during mid-day trading on Thursday, reaching $361.25. The stock had a trading volume of 2,970,847 shares, compared to its average volume of 4,154,214. The business's fifty day moving average is $375.42 and its 200-day moving average is $374.60. The firm has a market cap of $175.05 billion, a price-to-earnings ratio of 42.85, a PEG ratio of 1.12 and a beta of 1.20. Analog Devices, Inc. has a 1-year low of $223.47 and a 1-year high of $445.91. The company has a current ratio of 1.25, a quick ratio of 0.91 and a debt-to-equity ratio of 0.20.

Analog Devices (NASDAQ:ADI - Get Free Report) last issued its quarterly earnings results on Wednesday, August 19th. The semiconductor company reported $3.45 earnings per share for the quarter, topping the consensus estimate of $3.34 by $0.11. Analog Devices had a net margin of 29.79% and a return on equity of 16.39%. The company had revenue of $4.02 billion for the quarter, compared to the consensus estimate of $3.92 billion. During the same quarter in the prior year, the company earned $2.05 EPS. Analog Devices's quarterly revenue was up 39.2% on a year-over-year basis. Analog Devices has set its Q4 2026 guidance at 3.710-4.010 EPS. On average, research analysts forecast that Analog Devices, Inc. will post 12.96 earnings per share for the current year.

Analog Devices Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, September 15th. Investors of record on Tuesday, September 1st will be issued a dividend of $1.10 per share. This represents a $4.40 annualized dividend and a dividend yield of 1.2%. The ex-dividend date of this dividend is Tuesday, September 1st. Analog Devices's dividend payout ratio (DPR) is 52.19%.

Analog Devices News Roundup

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

• Positive Sentiment: Edge-AI expansion: ADI agreed to acquire Alif Semiconductor for approximately $1.35 billion in cash. Alif’s AI-native processors are designed for low-power, real-time processing in robotics, industrial equipment, energy, defense, data-center infrastructure, digital health and wearable devices. The deal could expand ADI’s addressable market and complement its analog and mixed-signal technology. Analog Devices to Acquire Alif Semiconductor
• Positive Sentiment: Strong operating momentum: ADI’s latest quarterly results exceeded expectations, with revenue up 39.2% year over year and earnings of $3.45 per share versus the $3.34 consensus estimate. Growth in industrial and automotive markets also suggests demand is broadening beyond AI-related applications. Analog Devices Shows Why AI Is Not the Only Story Driving Chip Demand
• Positive Sentiment: Constructive Wall Street sentiment: TD Cowen reiterated a Buy rating, while the broader analyst consensus remains Buy with an average price target well above recent trading levels. Elevated call-option activity also indicates increased bullish speculative interest. TD Cowen Reiterates Buy Rating
• Neutral Sentiment: Insider transaction: CFO Richard Puccio sold 1,500 shares worth approximately $545,000 under a pre-arranged Rule 10b5-1 trading plan. Because the sale reduced his holdings by only 2.77% and was scheduled in advance, it provides limited insight into management’s outlook. Analog Devices CFO Share Sale
• Negative Sentiment: Acquisition and valuation concerns: The all-cash Alif purchase requires substantial capital, and investors must determine whether the technology can be integrated effectively and produce acceptable returns. With ADI trading at a relatively high earnings multiple, disappointing deal execution or slowing semiconductor demand could increase downside risk.

Analyst Ratings Changes

Several equities research analysts have weighed in on the company. Raymond James Financial reaffirmed an "outperform" rating and set a $430.00 price target on shares of Analog Devices in a research report on Thursday, May 21st. Stifel Nicolaus boosted their price objective on Analog Devices from $450.00 to $498.00 and gave the company a "buy" rating in a report on Wednesday, June 24th. Morgan Stanley upped their target price on Analog Devices from $428.00 to $458.00 and gave the stock an "overweight" rating in a research note on Thursday, August 20th. Bank of America raised their target price on Analog Devices from $425.00 to $460.00 and gave the stock a "buy" rating in a report on Thursday, May 21st. Finally, Robert W. Baird lifted their price target on Analog Devices from $450.00 to $675.00 and gave the company an "outperform" rating in a research report on Monday, August 24th. Two research analysts have rated the stock with a Strong Buy rating, twenty-six have issued a Buy rating and two have given a Hold rating to the company's stock. According to data from MarketBeat, Analog Devices currently has an average rating of "Buy" and an average price target of $457.97.

Institutional Trading of Analog Devices

Institutional investors have recently bought and sold shares of the business. California State Teachers Retirement System lifted its position in shares of Analog Devices by 39,170.1% during the 2nd quarter. California State Teachers Retirement System now owns 296,317,813 shares of the semiconductor company's stock valued at $117,688,546,000 after buying an additional 295,563,249 shares in the last quarter. BlackRock Inc. purchased a new stake in Analog Devices in the 2nd quarter worth $18,610,868,000. State Street Corp increased its holdings in Analog Devices by 0.4% in the 4th quarter. State Street Corp now owns 23,487,584 shares of the semiconductor company's stock worth $6,369,833,000 after acquiring an additional 88,538 shares in the last quarter. Morgan Stanley raised its position in Analog Devices by 1.9% during the fourth quarter. Morgan Stanley now owns 10,450,624 shares of the semiconductor company's stock worth $2,834,210,000 after acquiring an additional 194,535 shares during the period. Finally, Bank of America Corp DE raised its position in Analog Devices by 5.2% during the first quarter. Bank of America Corp DE now owns 10,216,699 shares of the semiconductor company's stock worth $3,250,341,000 after acquiring an additional 501,604 shares during the period. 86.81% of the stock is owned by institutional investors and hedge funds.

About Analog Devices

Analog Devices, Inc NASDAQ: ADI is a global semiconductor company that designs and manufactures high-performance analog, mixed-signal, power-management and radio-frequency integrated circuits. Its technologies help convert real-world signals—such as temperature, pressure, sound, motion and light—into data that electronic systems can process and use.

The company offers data converters, amplifiers, power-management products, sensors, embedded processors, connectivity solutions and other semiconductor components.

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