Analog Devices (NASDAQ:ADI) Shares Gap Down Following Analyst Downgrade

Shares of Analog Devices, Inc. (NASDAQ:ADI – Get Rating) gapped down before the market opened on Wednesday after BMO Capital Markets lowered their price target on the stock from $215.00 to $200.00. The stock had previously closed at $187.92, but opened at $171.50. Analog Devices shares last traded at $173.96, with a volume of 2,481,238 shares trading hands.

ADI has been the topic of several other research reports. Morgan Stanley reduced their target price on shares of Analog Devices from $210.00 to $195.00 in a research note on Wednesday. Stifel Nicolaus reduced their target price on shares of Analog Devices from $225.00 to $210.00 in a research note on Wednesday. Citigroup reduced their target price on shares of Analog Devices from $225.00 to $200.00 in a research note on Thursday. Sanford C. Bernstein reduced their target price on shares of Analog Devices from $220.00 to $210.00 in a research note on Thursday. Finally, UBS Group increased their target price on shares of Analog Devices from $195.00 to $225.00 and gave the company a “buy” rating in a research note on Thursday, February 16th. Four analysts have rated the stock with a hold rating and eighteen have given a buy rating to the company’s stock. According to data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and an average price target of $208.17.

Insider Activity

In other news, CFO Prashanth Mahendra-Rajah sold 26,250 shares of the firm’s stock in a transaction dated Monday, March 20th. The shares were sold at an average price of $187.01, for a total value of $4,909,012.50. Following the sale, the chief financial officer now directly owns 23,871 shares in the company, valued at approximately $4,464,115.71. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. In other news, CFO Prashanth Mahendra-Rajah sold 26,250 shares of the firm’s stock in a transaction dated Monday, March 20th. The shares were sold at an average price of $187.01, for a total value of $4,909,012.50. Following the sale, the chief financial officer now directly owns 23,871 shares in the company, valued at approximately $4,464,115.71. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director James Champy sold 1,495 shares of the firm’s stock in a transaction dated Tuesday, March 14th. The shares were sold at an average price of $185.44, for a total transaction of $277,232.80. Following the completion of the sale, the director now owns 6,371 shares in the company, valued at $1,181,438.24. The disclosure for this sale can be found here. Company insiders own 0.46% of the company’s stock.

Institutional Trading of Analog Devices

A number of institutional investors have recently bought and sold shares of the stock. Norges Bank acquired a new stake in Analog Devices during the 4th quarter valued at approximately $1,040,194,000. FMR LLC lifted its stake in Analog Devices by 72.8% during the 1st quarter. FMR LLC now owns 13,650,137 shares of the semiconductor company’s stock valued at $2,692,080,000 after acquiring an additional 5,748,969 shares during the period. Envestnet Asset Management Inc. lifted its stake in Analog Devices by 360.5% during the 1st quarter. Envestnet Asset Management Inc. now owns 6,144,344 shares of the semiconductor company’s stock valued at $288,077,000 after acquiring an additional 4,810,035 shares during the period. Moneta Group Investment Advisors LLC lifted its stake in Analog Devices by 101,479.6% during the 4th quarter. Moneta Group Investment Advisors LLC now owns 4,111,943 shares of the semiconductor company’s stock valued at $674,482,000 after acquiring an additional 4,107,895 shares during the period. Finally, Proficio Capital Partners LLC lifted its stake in Analog Devices by 16,424.9% during the 1st quarter. Proficio Capital Partners LLC now owns 3,140,564 shares of the semiconductor company’s stock valued at $3,141,000 after acquiring an additional 3,121,559 shares during the period. 85.34% of the stock is currently owned by institutional investors and hedge funds.

Analog Devices Stock Performance

The company has a debt-to-equity ratio of 0.18, a quick ratio of 1.50 and a current ratio of 2.12. The firm’s 50 day simple moving average is $186.11 and its 200 day simple moving average is $176.80. The firm has a market capitalization of $87.20 billion, a price-to-earnings ratio of 26.00, a PEG ratio of 1.44 and a beta of 1.15.

Analog Devices (NASDAQ:ADI – Get Rating) last posted its earnings results on Wednesday, May 24th. The semiconductor company reported $2.83 earnings per share for the quarter, beating the consensus estimate of $2.75 by $0.08. The firm had revenue of $3.26 billion during the quarter, compared to analyst estimates of $3.21 billion. Analog Devices had a net margin of 27.27% and a return on equity of 14.69%. The business’s quarterly revenue was up 9.8% on a year-over-year basis. During the same period in the previous year, the firm earned $2.40 EPS. Sell-side analysts forecast that Analog Devices, Inc. will post 10.65 earnings per share for the current fiscal year.

Analog Devices Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, June 14th. Stockholders of record on Monday, June 5th will be issued a dividend of $0.86 per share. This represents a $3.44 annualized dividend and a dividend yield of 2.00%. The ex-dividend date of this dividend is Friday, June 2nd. Analog Devices’s dividend payout ratio (DPR) is 51.89%.

Analog Devices Company Profile

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Analog Devices, Inc is a global high-performance semiconductor company, which engages in the design, development, manufacture, and marketing of integrated circuits (ICs). It produces a range of innovative products, including data converters, amplifiers and linear products, radio frequency (RF) ICs, power management products, sensors based on micro electromechanical systems (MEMS) technology and other sensors, and processing products, including DSP and other processors.