(ADI) Analog Devices - Overview
Stock: Converters, Amplifiers, Sensors, Power, RF
EPS (Earnings per Share)
Revenue
Dividends
| Dividend Yield | 1.64% |
| Yield on Cost 5y | 2.82% |
| Yield CAGR 5y | 9.45% |
| Payout Consistency | 100.0% |
| Payout Ratio | 50.8% |
| Risk 5d forecast | |
|---|---|
| Volatility | 28.1% |
| Relative Tail Risk | -3.00% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 1.23 |
| Alpha | 33.20 |
| Character TTM | |
|---|---|
| Beta | 1.556 |
| Beta Downside | 1.802 |
| Drawdowns 3y | |
|---|---|
| Max DD | 32.20% |
| CAGR/Max DD | 0.74 |
Description: ADI Analog Devices January 28, 2026
Analog Devices, Inc. (NASDAQ: ADI) designs, manufactures, tests, and markets a broad portfolio of analog- and mixed-signal integrated circuits, software, and subsystems. Core product lines include data converters that digitize real-world signals, power-management ICs for automotive, communications, and industrial applications, amplifiers, RF/microwave components for cellular infrastructure, and MEMS sensors such as accelerometers, gyroscopes, and inertial measurement units. The company serves industrial, automotive, consumer, aerospace, defense, healthcare, and communications customers through a mix of direct sales, distributors, and online channels.
According to ADI’s FY 2025 earnings release (published February 2026), the firm generated **$13.5 billion in revenue**, a **7 % year-over-year increase** driven largely by higher demand for automotive power-management and data-converter products. Gross margin improved to **55 %**, and operating margin reached **22 %**, reflecting disciplined cost control and a **$1.2 billion increase in R&D spend** (up 12 % YoY) aimed at expanding AI-enabled sensor and 5G RF offerings. The company reported **diluted EPS of $9.45**, up from $8.70 in FY 2024.
Key macro-level drivers underpinning ADI’s outlook include: (1) the **electrification of vehicles**, which is projected to lift automotive semiconductor demand by **≈8 % CAGR through 2028**; (2) **data-center AI acceleration**, spurring higher volumes of high-precision data converters; and (3) **global 5G rollout**, sustaining growth in RF and microwave IC sales. The broader semiconductor sector is expected to expand **≈5 % annually** in 2026, with analog and mixed-signal segments outpacing the digital-only market due to their critical role in power efficiency and sensor integration.
For a deeper, data-driven assessment of ADI’s valuation relative to these trends, you might explore the analytics platform **ValueRay** for a granular, scenario-based model.
Piotroski VR‑10 (Strict, 0-10) 7.5
| Net Income: 2.27b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.09 > 0.02 and ΔFCF/TA 2.44 > 1.0 |
| NWC/Revenue: 35.05% < 20% (prev 26.48%; Δ 8.57% < -1%) |
| CFO/TA 0.10 > 3% & CFO 4.81b > Net Income 2.27b |
| Net Debt (6.17b) to EBITDA (5.03b): 1.23 < 3 |
| Current Ratio: 2.19 > 1.5 & < 3 |
| Outstanding Shares: last quarter (493.2m) vs 12m ago -1.10% < -2% |
| Gross Margin: 59.77% > 18% (prev 0.57%; Δ 5920 % > 0.5%) |
| Asset Turnover: 22.90% > 50% (prev 19.55%; Δ 3.36% > 0%) |
| Interest Coverage Ratio: 9.54 > 6 (EBITDA TTM 5.03b / Interest Expense TTM 317.7m) |
Altman Z'' 2.44
| A: 0.08 (Total Current Assets 7.11b - Total Current Liabilities 3.25b) / Total Assets 47.99b |
| B: 0.22 (Retained Earnings 10.54b / Total Assets 47.99b) |
| C: 0.06 (EBIT TTM 3.03b / Avg Total Assets 48.11b) |
| D: 0.74 (Book Value of Equity 10.47b / Total Liabilities 14.18b) |
| Altman-Z'' Score: 2.44 = A |
Beneish M -3.09
| DSRI: 0.92 (Receivables 1.44b/1.34b, Revenue 11.02b/9.43b) |
| GMI: 0.96 (GM 59.77% / 57.08%) |
| AQI: 0.96 (AQ_t 0.78 / AQ_t-1 0.82) |
| SGI: 1.17 (Revenue 11.02b / 9.43b) |
| TATA: -0.05 (NI 2.27b - CFO 4.81b) / TA 47.99b) |
| Beneish M-Score: -3.09 (Cap -4..+1) = AA |
What is the price of ADI shares?
Over the past week, the price has changed by +3.08%, over one month by +9.39%, over three months by +38.09% and over the past year by +56.74%.
Is ADI a buy, sell or hold?
- StrongBuy: 16
- Buy: 5
- Hold: 9
- Sell: 0
- StrongSell: 1
What are the forecasts/targets for the ADI price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 313.3 | -2.2% |
| Analysts Target Price | 313.3 | -2.2% |
| ValueRay Target Price | 410.1 | 28% |
ADI Fundamental Data Overview February 01, 2026
P/E Forward = 31.5457
P/S = 13.8138
P/B = 4.6051
P/EG = 1.3033
Revenue TTM = 11.02b USD
EBIT TTM = 3.03b USD
EBITDA TTM = 5.03b USD
Long Term Debt = 8.15b USD (from longTermDebt, last quarter)
Short Term Debt = 519.5m USD (from shortTermDebt, last quarter)
Debt = 8.66b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 6.17b USD (from netDebt column, last quarter)
Enterprise Value = 157.24b USD (152.22b + Debt 8.66b - CCE 3.65b)
Interest Coverage Ratio = 9.54 (Ebit TTM 3.03b / Interest Expense TTM 317.7m)
EV/FCF = 36.75x (Enterprise Value 157.24b / FCF TTM 4.28b)
FCF Yield = 2.72% (FCF TTM 4.28b / Enterprise Value 157.24b)
FCF Margin = 38.83% (FCF TTM 4.28b / Revenue TTM 11.02b)
Net Margin = 20.58% (Net Income TTM 2.27b / Revenue TTM 11.02b)
Gross Margin = 59.77% ((Revenue TTM 11.02b - Cost of Revenue TTM 4.43b) / Revenue TTM)
Gross Margin QoQ = 57.03% (prev 62.14%)
Tobins Q-Ratio = 3.28 (Enterprise Value 157.24b / Total Assets 47.99b)
Interest Expense / Debt = 1.02% (Interest Expense 88.2m / Debt 8.66b)
Taxrate = 11.21% (99.5m / 887.2m)
NOPAT = 2.69b (EBIT 3.03b * (1 - 11.21%))
Current Ratio = 2.19 (Total Current Assets 7.11b / Total Current Liabilities 3.25b)
Debt / Equity = 0.26 (Debt 8.66b / totalStockholderEquity, last quarter 33.82b)
Debt / EBITDA = 1.23 (Net Debt 6.17b / EBITDA 5.03b)
Debt / FCF = 1.44 (Net Debt 6.17b / FCF TTM 4.28b)
Total Stockholder Equity = 34.50b (last 4 quarters mean from totalStockholderEquity)
RoA = 4.71% (Net Income 2.27b / Total Assets 47.99b)
RoE = 6.57% (Net Income TTM 2.27b / Total Stockholder Equity 34.50b)
RoCE = 7.11% (EBIT 3.03b / Capital Employed (Equity 34.50b + L.T.Debt 8.15b))
RoIC = 6.33% (NOPAT 2.69b / Invested Capital 42.51b)
WACC = 11.07% (E(152.22b)/V(160.89b) * Re(11.65%) + D(8.66b)/V(160.89b) * Rd(1.02%) * (1-Tc(0.11)))
Discount Rate = 11.65% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -100.0 | Cagr: -1.26%
[DCF Debug] Terminal Value 67.53% ; FCFF base≈3.82b ; Y1≈3.78b ; Y5≈3.94b
Fair Price DCF = 76.32 (EV 43.46b - Net Debt 6.17b = Equity 37.29b / Shares 488.6m; r=11.07% [WACC]; 5y FCF grow -1.58% → 2.90% )
EPS Correlation: -47.35 | EPS CAGR: 4.16% | SUE: 0.52 | # QB: 0
Revenue Correlation: -40.57 | Revenue CAGR: 3.70% | SUE: 1.30 | # QB: 7
EPS next Quarter (2026-04-30): EPS=2.45 | Chg30d=+0.024 | Revisions Net=+3 | Analysts=27
EPS current Year (2026-10-31): EPS=9.99 | Chg30d=+0.098 | Revisions Net=+3 | Growth EPS=+28.2% | Growth Revenue=+18.9%
EPS next Year (2027-10-31): EPS=11.45 | Chg30d=+0.213 | Revisions Net=+5 | Growth EPS=+14.7% | Growth Revenue=+9.2%