Citigroup Has Lowered Expectations for Analog Devices (NASDAQ:ADI) Stock Price

Analog Devices (NASDAQ:ADI) had its target price decreased by Citigroup from $265.00 to $235.00 in a report released on Friday morning,Benzinga reports. Citigroup currently has a buy rating on the semiconductor company’s stock.

Several other research firms have also recently weighed in on ADI. Maxim Group started coverage on shares of Analog Devices in a report on Friday, February 14th. They issued a “buy” rating for the company. Truist Financial upped their target price on shares of Analog Devices from $230.00 to $248.00 and gave the stock a “hold” rating in a research note on Thursday, February 20th. Oppenheimer reissued an “outperform” rating and issued a $270.00 price target (up previously from $245.00) on shares of Analog Devices in a research note on Thursday, February 20th. Lake Street Capital started coverage on Analog Devices in a research report on Friday, February 14th. They set a “buy” rating for the company. Finally, JPMorgan Chase & Co. lifted their target price on Analog Devices from $280.00 to $300.00 and gave the company an “overweight” rating in a research report on Thursday, February 20th. Six equities research analysts have rated the stock with a hold rating and eighteen have issued a buy rating to the company’s stock. According to data from MarketBeat, Analog Devices has a consensus rating of “Moderate Buy” and a consensus price target of $254.73.

Analog Devices Price Performance

Shares of ADI stock opened at $179.16 on Friday. The firm has a market capitalization of $88.86 billion, a price-to-earnings ratio of 57.06, a price-to-earnings-growth ratio of 2.85 and a beta of 1.06. Analog Devices has a 12-month low of $158.65 and a 12-month high of $247.10. The company has a quick ratio of 1.43, a current ratio of 1.93 and a debt-to-equity ratio of 0.19. The firm has a fifty day moving average of $208.90 and a 200-day moving average of $216.04.

Analog Devices (NASDAQ:ADI) last announced its quarterly earnings results on Wednesday, February 19th. The semiconductor company reported $1.63 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.54 by $0.09. Analog Devices had a return on equity of 8.91% and a net margin of 16.75%. The company had revenue of $2.42 billion during the quarter, compared to the consensus estimate of $2.36 billion. During the same period in the prior year, the company earned $1.73 earnings per share. The company’s revenue for the quarter was down 3.6% compared to the same quarter last year. On average, equities research analysts forecast that Analog Devices will post 7.14 earnings per share for the current year.

Analog Devices announced that its board has initiated a share buyback plan on Tuesday, February 18th that allows the company to repurchase $10.00 billion in shares. This repurchase authorization allows the semiconductor company to repurchase up to 9.2% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company’s leadership believes its stock is undervalued.

Analog Devices Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Monday, March 17th. Investors of record on Tuesday, March 4th were issued a dividend of $0.99 per share. The ex-dividend date was Tuesday, March 4th. This represents a $3.96 dividend on an annualized basis and a yield of 2.21%. This is a boost from Analog Devices’s previous quarterly dividend of $0.92. Analog Devices’s dividend payout ratio (DPR) is presently 126.11%.

Insider Transactions at Analog Devices

In other news, CEO Vincent Roche sold 10,000 shares of the firm’s stock in a transaction dated Wednesday, March 12th. The shares were sold at an average price of $209.12, for a total transaction of $2,091,200.00. Following the completion of the sale, the chief executive officer now owns 64,918 shares in the company, valued at approximately $13,575,652.16. This trade represents a 13.35 % decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, CFO Richard C. Puccio, Jr. sold 4,000 shares of Analog Devices stock in a transaction dated Wednesday, March 19th. The stock was sold at an average price of $209.19, for a total transaction of $836,760.00. Following the sale, the chief financial officer now directly owns 49,916 shares of the company’s stock, valued at $10,441,928.04. The trade was a 7.42 % decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders sold 26,684 shares of company stock worth $5,591,600. 0.33% of the stock is owned by company insiders.

Institutional Trading of Analog Devices

Several hedge funds have recently added to or reduced their stakes in the company. Norges Bank bought a new position in Analog Devices during the 4th quarter worth $1,755,958,000. Raymond James Financial Inc. acquired a new stake in shares of Analog Devices during the 4th quarter worth $833,386,000. Proficio Capital Partners LLC increased its position in shares of Analog Devices by 22,005.0% in the fourth quarter. Proficio Capital Partners LLC now owns 3,073,252 shares of the semiconductor company’s stock worth $652,943,000 after purchasing an additional 3,059,349 shares during the period. GAMMA Investing LLC raised its stake in Analog Devices by 25,460.1% in the first quarter. GAMMA Investing LLC now owns 2,211,715 shares of the semiconductor company’s stock valued at $446,037,000 after purchasing an additional 2,203,062 shares in the last quarter. Finally, Franklin Resources Inc. lifted its position in Analog Devices by 14.9% during the third quarter. Franklin Resources Inc. now owns 9,176,877 shares of the semiconductor company’s stock worth $2,169,689,000 after purchasing an additional 1,189,940 shares during the period. 86.81% of the stock is owned by institutional investors and hedge funds.

Analog Devices Company Profile

Analog Devices, Inc designs, manufactures, tests, and markets integrated circuits (ICs), software, and subsystems products in the United States, rest of North and South America, Europe, Japan, China, and rest of Asia. The company provides data converter products, which translate real-world analog signals into digital data, as well as translates digital data into analog signals; power management and reference products for power conversion, driver monitoring, sequencing, and energy management applications in the automotive, communications, industrial, and consumer markets; and power ICs that include performance, integration, and software design simulation tools for accurate power supply designs.