Oppenheimer Forecasts Strong Price Appreciation for Analog Devices (NASDAQ:ADI) Stock

Analog Devices (NASDAQ:ADI) had its price objective hoisted by equities research analysts at Oppenheimer from $225.00 to $265.00 in a research note issued to investors on Friday,Benzinga reports. The brokerage currently has an “outperform” rating on the semiconductor company’s stock. Oppenheimer’s price target would suggest a potential upside of 16.68% from the company’s previous close.

ADI has been the subject of a number of other reports. Needham & Company LLC restated a “hold” rating on shares of Analog Devices in a research note on Thursday, February 20th. Seaport Res Ptn raised Analog Devices to a “strong sell” rating in a research report on Wednesday, April 30th. Wells Fargo & Company raised their price target on Analog Devices from $220.00 to $240.00 and gave the company an “equal weight” rating in a research note on Thursday, February 20th. Morgan Stanley set a $214.00 price target on Analog Devices in a research note on Monday, April 21st. Finally, Lake Street Capital initiated coverage on Analog Devices in a research note on Friday, February 14th. They issued a “buy” rating for the company. One investment analyst has rated the stock with a sell rating, six have given a hold rating and sixteen have assigned a buy rating to the company’s stock. Based on data from MarketBeat.com, the company currently has an average rating of “Moderate Buy” and an average price target of $249.95.

Analog Devices Stock Performance

Shares of ADI opened at $227.11 on Friday. The firm has a market cap of $112.64 billion, a P/E ratio of 72.33, a PEG ratio of 2.85 and a beta of 0.98. Analog Devices has a twelve month low of $158.65 and a twelve month high of $247.10. The company has a debt-to-equity ratio of 0.19, a quick ratio of 1.43 and a current ratio of 1.93. The firm’s 50 day moving average price is $196.58 and its two-hundred day moving average price is $210.41.

Analog Devices (NASDAQ:ADI) last issued its quarterly earnings data on Wednesday, February 19th. The semiconductor company reported $1.63 EPS for the quarter, topping analysts’ consensus estimates of $1.54 by $0.09. The business had revenue of $2.42 billion for the quarter, compared to analyst estimates of $2.36 billion. Analog Devices had a net margin of 16.75% and a return on equity of 8.91%. The firm’s quarterly revenue was down 3.6% on a year-over-year basis. During the same period last year, the business posted $1.73 earnings per share. On average, analysts forecast that Analog Devices will post 7.14 EPS for the current fiscal year.

Analog Devices announced that its Board of Directors has authorized a stock repurchase program on Tuesday, February 18th that allows the company to buyback $10.00 billion in shares. This buyback authorization allows the semiconductor company to purchase up to 9.2% of its stock through open market purchases. Stock buyback programs are often an indication that the company’s leadership believes its shares are undervalued.

Insider Buying and Selling

In related news, Director Ray Stata sold 3,125 shares of the company’s stock in a transaction on Tuesday, April 15th. The stock was sold at an average price of $180.21, for a total transaction of $563,156.25. Following the completion of the sale, the director now directly owns 186,321 shares in the company, valued at $33,576,907.41. This represents a 1.65% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, CFO Richard C. Puccio, Jr. sold 4,000 shares of the stock in a transaction dated Wednesday, March 19th. The shares were sold at an average price of $209.19, for a total value of $836,760.00. Following the completion of the transaction, the chief financial officer now owns 49,916 shares of the company’s stock, valued at $10,441,928.04. This represents a 7.42% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 42,934 shares of company stock worth $8,735,156 in the last ninety days. 0.33% of the stock is owned by insiders.

Institutional Investors Weigh In On Analog Devices

Several hedge funds have recently added to or reduced their stakes in ADI. Broderick Brian C grew its stake in shares of Analog Devices by 2.6% in the fourth quarter. Broderick Brian C now owns 79,221 shares of the semiconductor company’s stock worth $16,831,000 after purchasing an additional 2,017 shares during the last quarter. Freestone Grove Partners LP bought a new stake in shares of Analog Devices in the 4th quarter valued at about $10,212,000. Curbstone Financial Management Corp bought a new position in shares of Analog Devices during the fourth quarter worth about $460,000. Synergy Asset Management LLC raised its position in shares of Analog Devices by 11.1% during the fourth quarter. Synergy Asset Management LLC now owns 25,569 shares of the semiconductor company’s stock worth $5,404,000 after acquiring an additional 2,554 shares during the last quarter. Finally, RFG Advisory LLC lifted its stake in shares of Analog Devices by 3.9% in the fourth quarter. RFG Advisory LLC now owns 2,072 shares of the semiconductor company’s stock worth $440,000 after acquiring an additional 77 shares during the period. 86.81% of the stock is currently 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.