Analog Devices (NASDAQ:ADI) Updates Q2 2025 Earnings Guidance

Analog Devices (NASDAQ:ADI - Get Free Report) issued an update on its second quarter 2025 earnings guidance on Wednesday morning. The company provided earnings per share guidance of 1.580-1.780 for the period, compared to the consensus earnings per share estimate of 1.660. The company issued revenue guidance of $2.4 billion-$2.6 billion, compared to the consensus revenue estimate of $2.5 billion. Analog Devices also updated its Q2 guidance to $1.58-1.78 EPS.

Analog Devices Stock Performance

Shares of ADI traded down $4.91 during mid-day trading on Friday, hitting $238.91. 5,545,154 shares of the company's stock were exchanged, compared to its average volume of 3,730,419. The firm has a market capitalization of $118.52 billion, a P/E ratio of 76.09, a P/E/G ratio of 2.76 and a beta of 1.04. Analog Devices has a fifty-two week low of $182.57 and a fifty-two week high of $247.10. The business's 50 day moving average is $215.06 and its two-hundred day moving average is $219.97. The company has a current ratio of 1.93, a quick ratio of 1.35 and a debt-to-equity ratio of 0.19.

Analog Devices (NASDAQ:ADI - Get Free Report) last posted 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. The firm had revenue of $2.42 billion during the quarter, compared to analysts' expectations of $2.36 billion. Analog Devices had a net margin of 16.75% and a return on equity of 8.91%. The firm's revenue for the quarter was down 3.6% on a year-over-year basis. During the same period in the prior year, the company posted $1.73 earnings per share. On average, equities analysts expect that Analog Devices will post 7.11 earnings per share for the current year.

Analog Devices Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Monday, March 17th. Shareholders of record on Tuesday, March 4th will be issued a $0.99 dividend. The ex-dividend date is Tuesday, March 4th. This is a boost from Analog Devices's previous quarterly dividend of $0.92. This represents a $3.96 dividend on an annualized basis and a yield of 1.66%. Analog Devices's dividend payout ratio (DPR) is 126.11%.

Analog Devices declared that its Board of Directors has initiated a share buyback plan on Tuesday, February 18th that authorizes the company to repurchase $10.00 billion in shares. This repurchase authorization authorizes the semiconductor company to repurchase up to 9.2% of its shares through open market purchases. Shares repurchase plans are typically an indication that the company's management believes its stock is undervalued.

Wall Street Analysts Forecast Growth

A number of research analysts have issued reports on ADI shares. JPMorgan Chase & Co. increased their target price on shares of Analog Devices from $280.00 to $300.00 and gave the company an "overweight" rating in a report on Thursday. Wells Fargo & Company raised their price objective on shares of Analog Devices from $220.00 to $240.00 and gave the stock an "equal weight" rating in a research note on Thursday. Barclays dropped their price objective on shares of Analog Devices from $250.00 to $210.00 and set an "equal weight" rating for the company in a research note on Friday, January 17th. Truist Financial raised their price objective on shares of Analog Devices from $230.00 to $248.00 and gave the stock a "hold" rating in a research note on Thursday. Finally, Morgan Stanley raised their price objective on shares of Analog Devices from $248.00 to $250.00 and gave the stock an "overweight" rating in a research note on Thursday. Seven research analysts have rated the stock with a hold rating and fifteen have assigned a buy rating to the company's stock. According to data from MarketBeat, Analog Devices presently has an average rating of "Moderate Buy" and an average target price of $255.19.

Insider Buying and Selling

In other Analog Devices news, CEO Vincent Roche sold 10,000 shares of Analog Devices stock in a transaction on Wednesday, December 11th. The shares were sold at an average price of $215.83, for a total value of $2,158,300.00. Following the transaction, the chief executive officer now owns 21,983 shares in the company, valued at $4,744,590.89. This trade represents a 31.27 % decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. 0.33% of the stock is owned by company insiders.

About Analog Devices

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.