Analog Devices, Inc. (ADI) Stock Guide

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40

Before we start: if you're looking for ADI stock price, you can quickly find it out by visiting Finny and typing "ADI quote". If you're looking for a quick scoop on ADI stock (chart, price target, market cap, news and buy or sell analysis), go to Finny and look for "ADI". You'll get all this info in one place. Or you can just type "ADI news" to get the latest stock news.

Looking to buy or sell Analog Devices, Inc. (ADI)? Interested in getting the full scoop on ADI, including earnings and dividends, stock forecast, buy or sell analysis and key stats? If so, you came to the right place.

In this ADI stock guide, we'll address key questions about ADI, above and beyond what you can find on Yahoo Finance, Zacks, MarketWatch or Morningstar.

Here is what you'll be able to find in this guide:

Earnings and Dividends: earnings, earnings date, dividend rate and dividend yield;
Analyst Predictions: stock forecast and analyst ratings;
Analysis: Finny Score and buy or sell analysis;
Key Stats: revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio, industry, sector, and number of employees.

And here is the list of questions we'll answer:
1. What are ADI earnings?
2. When is ADI earnings date?
3. What is ADI dividend?
4. What is ADI dividend yield?
5. What is ADI stock forecast (i.e., prediction)?
6. ADI buy or sell? What is ADI Finny Score?
7. What are the reasons to buy ADI? Why should I buy ADI stock?
8. What are the reasons to sell ADI? Why should I sell ADI stock?
9. What are ADI key stats: revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio industry, sector, and number of employees?

So let's start. Scroll down to the question that interests you the most.

Earnings and Dividends

1. What are ADI earnings?

ADI trailing 12-month earnings per share (EPS) is $3.25.

2. When is ADI earnings date?

ADI earnings date is August 19, 2020.

3. What is ADI dividend?

ADI forward dividend is $2.48.

4. What is ADI dividend yield?

ADI forward dividend yield is 2.39%.

Analyst Predictions

5. What is ADI stock forecast (i.e., prediction)?

Based on ADI analyst price targets, ADI stock forecast is $117.58 (for a year from now). That means the average analyst price target for ADI stock is $117.58. The prediction is based on 26 analyst estimates.

The low price target for ADI is $90.00, while the high price target is $145.00.

ADI analyst rating is Buy.

Analysis

6. ADI buy or sell? What is ADI Finny Score?

Our quantitative analysis shows 4 reasons to buy and 6 reasons to sell ADI, resulting in Finny Score of 40.

7. What are the reasons to buy ADI? Why should I buy ADI stock?

Here are the reasons to buy ADI stock:

  • Analog Devices has tens of thousands of customers and is not reliant on the fortunes of any single chip buyer.
  • In the highly fragmented analog chip space, ADI is one of the few firms with a commanding market share lead in a specific subsegment, as it controls about half the market in data converter chips.
  • ADI is well positioned to profit from the long-term secular trend of increased electronics content in automobiles, such as in-dash infotainment displays and safety sensors.
  • ADI profitability is improving. The YoY profit margin change was 9.78 percentage points. See ADI profitability chart.
  • ADI forward dividend yield is 2.39%, higher than the industry (0.63%) and sector (0.26%) forward dividend yields. See ADI forward dividend chart.
  • ADI Price/Book ratio is 3.32, which is low compared to its industry peers’ P/B ratios. See ADI forward Price/Book ratio chart.
  • ADI average analyst rating is Buy. See ADI analyst rating chart.

8. What are the reasons to sell ADI? Why should I sell ADI stock?

Let's look at the reasons to sell ADI stock (i.e., the bear case):

  • Despite its strong position and diverse exposure, Analog Devices is still vulnerable to the cyclicality of the overall semiconductor industry.
  • ADI’s consumer revenue may be more volatile as the firm gains opportunistic design wins but potentially loses them if gross margins on such sales become less than adequate.
  • ADI has especially strong exposure to the communications infrastructure end market, and spending by telecom makers on advanced networks has been notoriously lumpy over time.
  • ADI quarterly revenue growth was -15.40%, lower than the industry and sector average revenue growth (1.39% and 1.51%, respectively). See ADI revenue growth chart.
  • ADI Price/Sales ratio is 6.75, which is high compared to its industry peers’ P/S ratios. See ADI forward Price/Sales ratio chart.
  • ADI short interest (days to cover the shorts) ratio is 2.16. The stock garners more short interest than the average industry, sector or S&P 500 stock. See ADI short interest ratio chart.
  • ADI cash to debt ratio is 0.11, lower than the average industry (0.33) and sector (0.17) cash to debt ratio. See ADI cash to debt chart.
  • ADI Enterprise Value/Revenue multiple is 7.95, which is high compared to its industry peers’ Enterprise Value/Revenue multiples. See ADI Enterprise Value/Revenue chart.
  • ADI Enterprise Value/EBITDA multiple is 18.84, which is high compared to its industry peers’ Enterprise Value/EBITDA ratios. See ADI Enterprise Value/EBITDA chart.

Key Stats

9. What are ADI key stats : revenue, market cap, revenue growth, profit margin, P/E ratio, P/B ratio industry, sector, and number of employees?

Let's look at the key statistics for ADI:

Metrics ADI
Price $111.05
Average Price Target / Upside $117.58 / 5.88%
Average Analyst Rating Buy
Forward Dividend Yield 2.39%
Industry Semiconductors
Sector Technology
Number of Employees 15,800
Market Cap $38.84B
Forward P/E Ratio 20.52
Price/Book Ratio 6.75
Revenue (TTM) $5.75B
YoY Quarterly Revenue Growth -15.40%
Profit Margin 21.06%

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