Analog Devices (NASDAQ:ADI) Announces Earnings Results

Analog Devices (NASDAQ:ADI) announced its quarterly earnings data on Wednesday. The semiconductor company reported $2.46 EPS for the quarter, beating the consensus estimate of $2.31 by $0.15, FiscalAI reports. The business had revenue of $3.16 billion during the quarter, compared to analysts’ expectations of $3.10 billion. Analog Devices had a net margin of 23.02% and a return on equity of 12.49%. The business’s quarterly revenue was up 30.4% compared to the same quarter last year. During the same period in the previous year, the business posted $1.63 EPS. Analog Devices updated its Q2 2026 guidance to 2.730-3.030 EPS.

Here are the key takeaways from Analog Devices’ conference call:

• ADI beat guidance in Q1 with revenue $3.16B, EPS $2.46, strong margins (71.2% gross, 45.5% operating), and announced an 11% dividend increase while reiterating the policy to return 100% of free cash flow over time.
• AI-related businesses are a major driver—ATE and data center solutions now comprise roughly ~20% of revenue (>$2B run rate)—with ATE and data center growing ~40% and ~50% in FY25 respectively and continuing to accelerate.
• Industrial demand is broad-based and strong (47% of revenue, up 38% YoY), management expects industrial to rise ~20% sequentially in Q2 with book-to-bill >1 and no evidence of customer restocking.
• Recent pricing actions account for about one-third of Q2’s sequential revenue uplift, but ~50 bps of that was a one‑time channel repricing (won’t repeat in Q3); management expects modest additional price benefit (~50 bps) in each of Q3 and Q4.
• Automotive remains a near-term headwind (25% of revenue, down 8% sequentially) due to tariff-related pull-in unwind and China seasonality, with Q2 expected flat-to-down before recovery in H2.

Analog Devices Price Performance

NASDAQ ADI traded up $7.63 on Friday, hitting $352.93. The company had a trading volume of 607,563 shares, compared to its average volume of 4,040,848. The company has a debt-to-equity ratio of 0.21, a current ratio of 1.76 and a quick ratio of 1.68. The company’s fifty day moving average price is $300.90 and its 200-day moving average price is $263.74. The company has a market capitalization of $172.45 billion, a PE ratio of 64.52, a PEG ratio of 1.99 and a beta of 1.03. Analog Devices has a 12-month low of $158.65 and a 12-month high of $355.36.

Analog Devices Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, March 17th. Investors of record on Tuesday, March 3rd will be paid a $1.10 dividend. The ex-dividend date of this dividend is Tuesday, March 3rd. This represents a $4.40 dividend on an annualized basis and a yield of 1.2%. This is an increase from Analog Devices’s previous quarterly dividend of $0.99. Analog Devices’s dividend payout ratio is 86.84%.

Insider Buying and Selling at Analog Devices

In related news, SVP Martin Cotter sold 10,000 shares of the firm’s stock in a transaction dated Monday, January 5th. The shares were sold at an average price of $278.44, for a total value of $2,784,400.00. Following the transaction, the senior vice president directly owned 49,664 shares of the company’s stock, valued at approximately $13,828,444.16. This trade represents a 16.76% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. Also, CEO Vincent Roche sold 10,000 shares of Analog Devices stock in a transaction dated Monday, February 2nd. The stock was sold at an average price of $306.92, for a total value of $3,069,200.00. Following the completion of the sale, the chief executive officer owned 155,688 shares in the company, valued at approximately $47,783,760.96. The trade was a 6.04% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders sold 53,544 shares of company stock valued at $15,320,417. Insiders own 0.36% of the company’s stock.

Institutional Trading of Analog Devices

Several large investors have recently bought and sold shares of ADI. Compound Planning Inc. lifted its stake in Analog Devices by 25.4% in the 4th quarter. Compound Planning Inc. now owns 4,928 shares of the semiconductor company’s stock worth $1,337,000 after purchasing an additional 997 shares in the last quarter. Axxcess Wealth Management LLC grew its position in shares of Analog Devices by 1,409.7% in the fourth quarter. Axxcess Wealth Management LLC now owns 14,493 shares of the semiconductor company’s stock valued at $3,930,000 after purchasing an additional 13,533 shares in the last quarter. Corient Private Wealth LLC increased its holdings in shares of Analog Devices by 22.8% in the fourth quarter. Corient Private Wealth LLC now owns 526,110 shares of the semiconductor company’s stock valued at $142,681,000 after purchasing an additional 97,535 shares during the last quarter. Blue Sparrow LLC DE acquired a new stake in shares of Analog Devices in the fourth quarter valued at approximately $16,272,000. Finally, Mercer Global Advisors Inc. ADV lifted its position in Analog Devices by 46.5% during the fourth quarter. Mercer Global Advisors Inc. ADV now owns 88,837 shares of the semiconductor company’s stock worth $23,486,000 after buying an additional 28,202 shares in the last quarter. Hedge funds and other institutional investors own 86.81% of the company’s stock.

Key Stories Impacting Analog Devices

Here are the key news stories impacting Analog Devices this week:

• Positive Sentiment: Q1 beat and strong Q2 guidance — ADI reported adjusted EPS $2.46 vs. $2.31 expected and revenue $3.16B (≈30% YoY). Management set Q2 EPS guidance of $2.73–3.03 and revenue roughly $3.4–3.6B, well above Street estimates, giving investors confidence in near-term growth and visibility. Read More.
• Positive Sentiment: Analyst upgrades and price-target increases — Multiple houses (Needham, JPMorgan, Wells Fargo, Benchmark and others) raised ratings and targets (many to ~$360–$400), increasing buy-side interest and raising the stock’s implied upside. Read More.
• Positive Sentiment: AI / Data-center momentum — Management cited record Data Center orders and broad Industrial strength; analysts are linking ADI’s upside to AI infrastructure demand and see sizable Q2 tailwinds tied to that narrative. Read More.
• Positive Sentiment: Margins, cash flow and capital returns — ADI reported margin expansion, stronger operating/free cash flow, an 11% dividend increase and ongoing buybacks, which supports returns and institutional demand. Read More.
• Neutral Sentiment: Short-interest reporting oddity — some feeds show a February short-interest data glitch (0 shares / NaN change). Historical short interest has been low, so short-covering risk appears limited but the reported numbers are unreliable for trading signals today.
• Negative Sentiment: Insider selling — datasets flagged substantial insider sales activity over recent months (multiple insiders selling shares), which some investors may view as a governance/offset risk to the bullish flow. Read More.

Analyst Ratings Changes

A number of analysts have recently commented on ADI shares. Jefferies Financial Group restated a “buy” rating and issued a $410.00 target price on shares of Analog Devices in a research note on Thursday. Oppenheimer reissued an “outperform” rating and issued a $400.00 price target (up from $350.00) on shares of Analog Devices in a report on Thursday. Stifel Nicolaus set a $405.00 price objective on Analog Devices in a research report on Wednesday. Cfra reaffirmed a “buy” rating and set a $280.00 target price on shares of Analog Devices in a report on Tuesday, November 25th. Finally, Susquehanna boosted their target price on shares of Analog Devices from $360.00 to $400.00 and gave the company a “positive” rating in a research note on Thursday. Three analysts have rated the stock with a Strong Buy rating, twenty-three have assigned a Buy rating and four have given a Hold rating to the stock. According to data from MarketBeat.com, Analog Devices presently has a consensus rating of “Moderate Buy” and a consensus price target of $366.96.

Analog Devices Company Profile

Analog Devices, Inc (NASDAQ: ADI) is a multinational semiconductor company that designs, manufactures and markets a broad portfolio of analog, mixed-signal and digital signal processing integrated circuits. Founded in 1965 by Ray Stata and Matthew Lorber, the company has grown into a leading supplier of components that convert, condition and process real-world signals for electronic systems. Analog Devices is headquartered in Massachusetts and serves customers around the world across multiple end markets.

The company’s product lineup includes data converters (ADCs and DACs), amplifiers, power management ICs, radio-frequency (RF) and microwave components, sensors and MEMS devices, signal chain and isolation products, timing and clocking solutions, and embedded processors and software for system-level design.