BMO Capital Markets Upgrades Analog Devices (NASDAQ:ADI) to “Strong-Buy”

Analog Devices (NASDAQ:ADI) was upgraded by BMO Capital Markets to a “strong-buy” rating in a research report issued to clients and investors on Thursday,Zacks.com reports.

Several other brokerages also recently commented on ADI. Wall Street Zen raised Analog Devices from a “hold” rating to a “buy” rating in a report on Sunday, May 24th. Oppenheimer raised their price target on Analog Devices from $400.00 to $450.00 and gave the company an “outperform” rating in a report on Tuesday, May 12th. KeyCorp lifted their price objective on Analog Devices from $500.00 to $525.00 and gave the company an “overweight” rating in a research report on Tuesday, July 14th. JPMorgan Chase & Co. boosted their price objective on Analog Devices from $450.00 to $500.00 and gave the stock an “overweight” rating in a research note on Thursday. Finally, Bank of America increased 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. Three research analysts have rated the stock with a Strong Buy rating, twenty-four have given a Buy rating and three have assigned a Hold rating to the stock. Based on data from MarketBeat.com, Analog Devices currently has a consensus rating of “Buy” and an average target price of $447.13.

Analog Devices Trading Up 0.8%

Shares of ADI stock opened at $373.09 on Thursday. The company has a market capitalization of $180.79 billion, a P/E ratio of 44.26, a P/E/G ratio of 0.94 and a beta of 1.20. Analog Devices has a 12-month low of $223.47 and a 12-month high of $445.91. The company has a quick ratio of 1.34, a current ratio of 1.25 and a debt-to-equity ratio of 0.20. The firm has a 50-day moving average price of $388.25 and a 200 day moving average price of $371.11.

Analog Devices (NASDAQ:ADI) last issued its quarterly earnings data 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. The firm had revenue of $4.02 billion for the quarter, compared to analysts’ expectations of $3.92 billion. Analog Devices had a net margin of 29.79% and a return on equity of 16.39%. The company’s quarterly revenue was up 39.2% compared to the same quarter last year. During the same period in the prior year, the firm earned $2.05 earnings per share. Analog Devices has set its Q4 2026 guidance at 3.710-4.010 EPS. Research analysts forecast that Analog Devices will post 12.72 earnings per share for the current fiscal year.

Insider Activity at Analog Devices

In related news, CEO Vincent Roche sold 10,000 shares of the business’s stock in a transaction that occurred on Monday, August 3rd. The shares were sold at an average price of $363.00, for a total value of $3,630,000.00. Following the completion of the transaction, the chief executive officer owned 137,538 shares in the company, valued at $49,926,294. The trade was a 6.78% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, SVP Martin Cotter sold 17,594 shares of the company’s stock in a transaction on Tuesday, June 2nd. The stock was sold at an average price of $418.00, for a total value of $7,354,292.00. Following the transaction, the senior vice president directly owned 56,332 shares in the company, valued at approximately $23,546,776. This represents a 23.80% decrease in their position. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 75,274 shares of company stock worth $30,343,386. 0.36% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On Analog Devices

Several large investors have recently made changes to their positions in the company. Contravisory Investment Management Inc. acquired a new stake in Analog Devices in the second quarter worth about $25,000. Manning & Napier Advisors LLC bought a new stake in Analog Devices during the 2nd quarter worth about $25,000. Dunhill Financial LLC acquired a new position in Analog Devices during the 2nd quarter valued at about $32,000. Quantbot Technologies LP acquired a new position in Analog Devices during the 2nd quarter valued at about $33,000. Finally, Caitlin John LLC bought a new position in shares of Analog Devices in the 2nd quarter valued at about $35,000. Institutional investors and hedge funds own 86.81% of the company’s stock.

Analog Devices News Roundup

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

• Positive Sentiment: Strong earnings and guidance: ADI reported record fiscal Q3 revenue of $4.02 billion, up about 40% year over year and ahead of the $3.92 billion consensus estimate. Adjusted EPS of $3.45 also exceeded expectations. Management’s fiscal Q4 EPS outlook of $3.71 to $4.01 points to continued momentum. Analog Devices Q3 Earnings Beat Estimates, Revenues Rise Y/Y
• Positive Sentiment: AI and data-center growth: Revenue from data-center applications reportedly more than doubled, while demand tied to AI infrastructure, power management, optical connectivity and energy systems is creating a multiyear growth opportunity. Management highlighted a potential 100-gigawatt data-center buildout by 2031. Analog Devices Q3 Earnings Call Highlights AI Power Growth Runway
• Positive Sentiment: Broad analyst support: JPMorgan raised its price target to $500 and maintained an Overweight rating. Needham, TD Cowen and Susquehanna also reiterated Buy-equivalent ratings, with targets ranging from $450 to $475. These revisions reflect confidence in AI demand, margin expansion and an improving industrial recovery. Analog Devices Is Cashing in on the AI Boom
• Neutral Sentiment: Relative investment appeal: Comparisons with Texas Instruments and dividend-focused AI investment ideas portray ADI as a financially solid way to gain analog-chip and AI exposure, though they do not represent new company-specific catalysts. ADI vs. TXN: Which Analog Processing Chip Stock Has an Edge Right Now?
• Negative Sentiment: Macro and valuation risks: Semiconductor stocks faced pressure from a sharp rise in the 30-year Treasury yield, which can weigh on high-valuation growth shares. One analysis also downgraded ADI, arguing that multiple contraction and elevated expectations could limit gains despite strong fundamentals. Chip Stocks Fell on Higher Treasury Yields

About Analog Devices

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.