Forecasting The Future: 8 Analyst Projections For Analog Devices

In the latest quarter, 8 analysts provided ratings for Analog Devices ADI, showcasing a mix of bullish and bearish perspectives.

In the table below, you'll find a summary of their recent ratings, revealing the shifting sentiments over the past 30 days and comparing them to the previous months.

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $232.5, a high estimate of $260.00, and a low estimate of $210.00. This current average has decreased by 4.19% from the previous average price target of $242.67.

Deciphering Analyst Ratings: An In-Depth Analysis

The perception of Analog Devices by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Responding to changing market dynamics and company performance, analysts update their recommendations. Whether they 'Maintain', 'Raise', or 'Lower' their stance, it signifies their response to recent developments related to Analog Devices. This offers insight into analysts' perspectives on the current state of the company.
• Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of Analog Devices compared to the broader market.
• Price Targets: Delving into movements, analysts provide estimates for the future value of Analog Devices's stock. This analysis reveals shifts in analysts' expectations over time.

Analyzing these analyst evaluations alongside relevant financial metrics can provide a comprehensive view of Analog Devices's market position. Stay informed and make data-driven decisions with the assistance of our Ratings Table.

Stay up to date on Analog Devices analyst ratings.

Get to Know Analog Devices Better

Analog Devices is a leading analog, mixed signal, and digital signal processing chipmaker. The firm has a significant market share lead in converter chips, which are used to translate analog signals to digital and vice versa. The company serves tens of thousands of customers, and more than half of its chip sales are made to industrial and automotive end markets. Analog Devices' chips are also incorporated into wireless infrastructure equipment.

Key Indicators: Analog Devices's Financial Health

Market Capitalization Perspectives: The company's market capitalization falls below industry averages, signaling a relatively smaller size compared to peers. This positioning may be influenced by factors such as perceived growth potential or operational scale.

Revenue Challenges: Analog Devices's revenue growth over 3 months faced difficulties. As of 31 October, 2024, the company experienced a decline of approximately -10.06%. This indicates a decrease in top-line earnings. When compared to others in the Information Technology sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Analog Devices's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 19.57% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): Analog Devices's ROE is below industry standards, pointing towards difficulties in efficiently utilizing equity capital. With an ROE of 1.36%, the company may encounter challenges in delivering satisfactory returns for shareholders.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of 0.99%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: Analog Devices's debt-to-equity ratio is below the industry average. With a ratio of 0.22, the company relies less on debt financing, maintaining a healthier balance between debt and equity, which can be viewed positively by investors.

What Are Analyst Ratings?

Within the domain of banking and financial systems, analysts specialize in reporting for specific stocks or defined sectors. Their work involves attending company conference calls and meetings, researching company financial statements, and communicating with insiders to publish "analyst ratings" for stocks. Analysts typically assess and rate each stock once per quarter.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

If you want to keep track of which analysts are outperforming others, you can view updated analyst ratings along withanalyst success scores in Benzinga Pro.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.