Analog Devices (NASDAQ:ADI) Share Price Breaks Below Two Hundred Day Moving Average - Here's What Happened

Key Points

• Analog Devices shares fell below their 200-day moving average of $373.14, trading as low as $360.13; the article reports the stock was down 11.1%.
• Recent quarterly results beat estimates: EPS was $3.45 versus $3.34 expected, and revenue reached $4.02 billion, up 39.2% year over year. The company guided to Q4 EPS of $3.71–$4.01.
• Analysts remained broadly positive, with a consensus “Moderate Buy” rating and an average price target of $460.55. Analog Devices also pays an annualized dividend of $4.40 per share, a 1.2% yield.

Analog Devices, Inc. (NASDAQ:ADI - Get Free Report) shares passed below its two hundred day moving average during trading on Thursday. The stock has a two hundred day moving average of $373.14 and traded as low as $360.13. Analog Devices shares last traded at $361.01, with a volume of 13,098,689 shares.

Analysts Set New Price Targets

A number of research analysts have weighed in on ADI shares. Cantor Fitzgerald reaffirmed an "overweight" rating and set a $510.00 target price (up from $400.00) on shares of Analog Devices in a report on Tuesday, September 8th. Arete Research upped their price target on Analog Devices from $487.00 to $490.00 and gave the company a "buy" rating in a research report on Thursday, August 20th. Sanford C. Bernstein raised shares of Analog Devices from a "market perform" rating to an "outperform" rating and increased their price target for the stock from $430.00 to $465.00 in a report on Wednesday, August 19th. Piper Sandler set a $460.00 price objective on shares of Analog Devices in a research note on Tuesday, September 8th. Finally, KeyCorp upped their target price on shares of Analog Devices from $500.00 to $525.00 and gave the stock an "overweight" rating in a report on Tuesday, July 14th. One investment analyst has rated the stock with a Strong Buy rating, twenty-nine have assigned a Buy rating and three have given a Hold rating to the company's stock. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and an average price target of $460.55.

Analog Devices Stock Down 11.1%

The company has a debt-to-equity ratio of 0.20, a current ratio of 1.25 and a quick ratio of 0.91. The company has a fifty day moving average price of $390.74 and a 200 day moving average price of $373.14. The company has a market cap of $174.93 billion, a PE ratio of 42.82, a price-to-earnings-growth ratio of 0.98 and a beta of 1.24.

Analog Devices (NASDAQ:ADI - Get Free Report) last announced its earnings results on Wednesday, August 19th. The semiconductor company reported $3.45 earnings per share for the quarter, beating analysts' consensus estimates of $3.34 by $0.11. Analog Devices had a net margin of 29.79% and a return on equity of 16.39%. The business had revenue of $4.02 billion for the quarter, compared to the consensus estimate of $3.92 billion. During the same period last year, the firm posted $2.05 earnings per share. 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. As a group, analysts anticipate that Analog Devices, Inc. will post 13.00 EPS for the current year.

Analog Devices Dividend Announcement

The business also recently declared a quarterly dividend, which was paid on Tuesday, September 15th. Stockholders of record on Tuesday, September 1st were issued a $1.10 dividend. The ex-dividend date of this dividend was Tuesday, September 1st. This represents a $4.40 dividend on an annualized basis and a dividend yield of 1.2%. Analog Devices's dividend payout ratio is presently 52.19%.

Insider Activity

In related news, insider Katsufumi Nakamura sold 1,200 shares of the stock in a transaction on Friday, October 2nd. The stock was sold at an average price of $415.02, for a total value of $498,024.00. Following the transaction, the insider owned 14,849 shares of the company's stock, valued at $6,162,631.98. This represents a 7.48% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, insider Vivek Jain sold 3,305 shares of the firm's stock in a transaction dated Thursday, October 8th. The shares were sold at an average price of $406.58, for a total value of $1,343,746.90. Following the sale, the insider owned 40,428 shares in the company, valued at $16,437,216.24. The trade was a 7.56% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. In the last 90 days, insiders have sold 51,020 shares of company stock worth $20,105,198. Corporate insiders own 0.36% of the company's stock.

Hedge Funds Weigh In On Analog Devices

Several institutional investors have recently modified their holdings of the company. BlackRock Inc. purchased a new position in shares of Analog Devices during the second quarter valued at approximately $18,610,868,000. Bank of America Corp DE bought a new position in Analog Devices during the second quarter valued at approximately $3,573,081,000. Legal & General Group Plc purchased a new stake in Analog Devices in the second quarter worth approximately $1,525,167,000. Bank of New York Mellon Corp purchased a new stake in Analog Devices in the second quarter worth approximately $1,326,066,000. Finally, Primecap Management Co. CA purchased a new stake in Analog Devices in the second quarter worth approximately $1,242,479,000. 86.81% of the stock is currently owned by institutional investors.

Analog Devices Company Profile

Analog Devices, Inc NASDAQ: ADI is a global semiconductor company that designs and manufactures analog, mixed-signal and digital signal-processing technologies. Its products convert, condition and process real-world signals such as temperature, pressure, sound, motion, light and electrical power, helping electronic systems interpret and respond to physical environments.

The company offers a broad portfolio of integrated circuits, power-management products, amplifiers, data converters, sensors, radio-frequency and microwave components, connectivity solutions and embedded processors.

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