Analog Devices (NASDAQ:ADI) Issues Quarterly Earnings Results, Beats Estimates By $0.15 EPS

Analog Devices (NASDAQ:ADI) announced its quarterly earnings results on Wednesday. The semiconductor company reported $2.46 EPS for the quarter, topping analysts’ consensus estimates of $2.31 by $0.15, FiscalAI reports. Analog Devices had a net margin of 20.58% and a return on equity of 11.23%. The firm had revenue of $3.16 billion during the quarter, compared to analysts’ expectations of $3.10 billion. During the same quarter last year, the company earned $1.63 earnings per share. The company’s revenue for the quarter was up 30.4% compared to the same quarter last year.

Analog Devices Stock Up 3.7%

Shares of NASDAQ ADI traded up $12.35 during midday trading on Wednesday, reaching $349.86. The company’s stock had a trading volume of 1,349,811 shares, compared to its average volume of 3,901,292. The company has a current ratio of 2.19, a quick ratio of 1.68 and a debt-to-equity ratio of 0.24. Analog Devices has a fifty-two week low of $158.65 and a fifty-two week high of $355.00. The stock has a market capitalization of $170.95 billion, a price-to-earnings ratio of 75.98, a PEG ratio of 1.93 and a beta of 1.03. The stock has a 50 day simple moving average of $298.37 and a 200-day simple moving average of $262.58.

Analog Devices Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Tuesday, March 17th. Stockholders of record on Tuesday, March 3rd will be paid a dividend of $1.10 per share. The ex-dividend date of this dividend is Tuesday, March 3rd. This represents a $4.40 annualized dividend and a dividend yield of 1.3%. This is an increase from Analog Devices’s previous quarterly dividend of $0.99. Analog Devices’s dividend payout ratio (DPR) is 86.84%.

More Analog Devices News

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

• Positive Sentiment: Q1 beat — ADI reported $2.46 EPS (vs. consensus ~$2.31) and $3.16B revenue, with revenue up ~30% YoY; results were broad-based across industrial and communications end markets. Press Release
• Positive Sentiment: Strong guidance — management forecast Q2 results above Street estimates and cited robust AI-driven demand from data centers and industrial customers, which underpins upside to near-term revenue and margin expectations. Reuters: ADI sees strong Q2
• Positive Sentiment: Capital returns upgraded — Board raised the quarterly dividend 11% to $1.10 (22nd consecutive annual increase) and the company returned ~$1.0B via dividends and buybacks in Q1; strong free cash flow supports continued buybacks/dividends. Dividend Release
• Positive Sentiment: Profitability & cash flow improvement — ADI reported meaningful margin expansion and large operating/free cash flow (trailing-12-month cash flow highlighted), enabling reinvestment and shareholder returns; several analysts raised price targets after the print. MarketBeat coverage
• Neutral Sentiment: Analyst reactions — several firms bumped targets (e.g., Cantor Fitzgerald, Stifel) and reiterated buy/overweight views; this supports momentum but already factors into higher valuations.
• Negative Sentiment: Governance scrutiny — a governance debate and special-meeting rights discussion could attract activist focus or create short-term uncertainty around shareholder proposals or board actions. Yahoo Finance: Governance

Insiders Place Their Bets

In other Analog Devices news, SVP Katsufumi Nakamura sold 500 shares of the business’s stock in a transaction dated Friday, January 9th. The shares were sold at an average price of $301.46, for a total transaction of $150,730.00. Following the sale, the senior vice president directly owned 12,710 shares of the company’s stock, valued at $3,831,556.60. The trade was a 3.79% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through this link. Also, SVP Martin Cotter sold 10,000 shares of Analog Devices stock in a transaction dated Monday, January 5th. The shares were sold at an average price of $278.44, for a total value of $2,784,400.00. Following the completion of the sale, the senior vice president directly owned 49,664 shares in the company, valued at approximately $13,828,444.16. This represents a 16.76% decrease in their position. The SEC filing for this sale provides additional information. Insiders have sold 53,544 shares of company stock valued at $15,320,417 in the last quarter. Company insiders own 0.36% of the company’s stock.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently made changes to their positions in the business. State Street Corp increased its holdings in shares of Analog Devices by 0.4% in the third quarter. State Street Corp now owns 23,399,046 shares of the semiconductor company’s stock valued at $5,749,146,000 after purchasing an additional 81,790 shares during the last quarter. Morgan Stanley raised its holdings in Analog Devices by 1.9% in the 4th quarter. Morgan Stanley now owns 10,450,624 shares of the semiconductor company’s stock valued at $2,834,210,000 after acquiring an additional 194,535 shares during the period. Bank of America Corp DE lifted its position in Analog Devices by 42.8% during the fourth quarter. Bank of America Corp DE now owns 9,715,095 shares of the semiconductor company’s stock worth $2,634,734,000 after acquiring an additional 2,912,666 shares during the last quarter. Amundi boosted its holdings in shares of Analog Devices by 44.8% during the third quarter. Amundi now owns 6,215,129 shares of the semiconductor company’s stock worth $1,507,740,000 after acquiring an additional 1,922,302 shares during the period. Finally, Raymond James Financial Inc. grew its position in shares of Analog Devices by 29.2% in the third quarter. Raymond James Financial Inc. now owns 4,829,931 shares of the semiconductor company’s stock valued at $1,186,714,000 after purchasing an additional 1,091,004 shares during the last quarter. 86.81% of the stock is currently owned by institutional investors.

Analysts Set New Price Targets

Several brokerages have weighed in on ADI. Susquehanna upped their price objective on shares of Analog Devices from $350.00 to $360.00 and gave the stock a “positive” rating in a research note on Thursday, January 22nd. BNP Paribas Exane began coverage on Analog Devices in a research report on Tuesday, November 4th. They set an “outperform” rating and a $300.00 price target on the stock. Wells Fargo & Company set a $340.00 price target on Analog Devices and gave the company an “overweight” rating in a report on Thursday, January 15th. Truist Financial boosted their price objective on Analog Devices from $258.00 to $291.00 and gave the stock a “hold” rating in a research note on Friday, December 19th. Finally, Barclays upgraded Analog Devices from an “equal weight” rating to an “overweight” rating and increased their target price for the stock from $315.00 to $375.00 in a report on Thursday, February 12th. Three equities research analysts have rated the stock with a Strong Buy rating, twenty-one have given a Buy rating and five have assigned a Hold rating to the stock. According to data from MarketBeat, the company has an average rating of “Moderate Buy” and an average target price of $318.35.

Analog Devices Company Profile

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.