Citi Lowers Analog Devices (ADI) Price Target To $36

Citi Investment Research & Analysis analyst Terence Whalen maintained his Buy rating for shares of Analog Devices, Inc

but lowered the price target to $36 per share, down from the previous price target of $40. The analyst increased his EPS estimates while lowering the price target for Analog Devices, Inc on higher estimates but lower comparables. The Citi Investment Research & Analysis analyst wrote, "Positives — 1) 4%-7% qq Jul-F3Q growth could prove conservative on continued industrial pull, comms rebound, and seasonal consumer pickup, 2) April’s 65% GM excludes 100bps of Cambridge impact so ADI will likely top-tick July’s 65% to 66% GM guide, 3) Inventory grew only 2% qq, 4) Lead times remained 4-8 weeks, 5) increased dividend 10% to 22c/Q, 6) FCF of $261M beat our $146M model."