Analog Devices, Inc. [NASDAQ:ADI]: Analyst Rating and Earnings
Expert stock traders often make certain they pay attention what leading Wall Street analysts think regarding a potential stock purchase. As it relates to Analog Devices, Inc. [ADI] currently, the latest ratings from Wall St. experts that can be seen publicly is related to the fiscal quarter that’s scheduled to end in October. On average, stock market experts give ADI an Outperform rating. Its stock price has been found in the range of 76.62 to 118.54. This is compared to its latest closing price of $105.17.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Analog Devices, Inc. [ADI] is sitting at 2.22. This is compared to 1 month ago, when its average rating was 2.18.
For the quarter ending in Apr-19 Analog Devices, Inc. [ADI] generated $1.53 billion in sales. That’s 1.61% higher than the average estimate of $1.5 billion as provided by Wall Street analysts. The three indicators above suggest that overall, this stock is demonstrating a mixed bag of positive appeal and some drawbacks, making it a somewhat risky investment that also has the potential to generate high ROI in the long run.
Pay attention to the next-scheduled financial results for this company to be released, which is slated for Wed 28 Aug (In 76 Days).
Fundamental Analysis of Analog Devices, Inc. [ADI]
Now let’s turn to look at profitability: with a current Operating Margin for Analog Devices, Inc. [ADI] sitting at +31.34 and its Gross Margin at +61.35, this company’s Net Margin is now 25.20%. These measurements indicate that Analog Devices, Inc. [ADI] is generating considerably more profit, after expenses are accounted for, compared to its market peers.
This company’s Return on Total Capital is 11.00, and its Return on Invested Capital has reached 10.20%. Its Return on Equity is 14.09, and its Return on Assets is 7.16. These metrics show a mixed bag, which means that this investment’s attractiveness can be quickly increased or decreased in the short term, depending on future updates ADI financial performance.
Turning to investigate this organization’s capital structure, Analog Devices, Inc. [ADI] has generated a Total Debt to Total Equity ratio of 57.63. Similarly, its Total Debt to Total Capital is 36.56, while its Total Debt to Total Assets stands at 30.97. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 57.02, and its Long-Term Debt to Total Capital is 36.17. This company is not leveraging its assets to take on debt, which stunts its growth and limits the ROI for investors.
What about valuation? This company’s Enterprise Value to EBITDA is 15.59 and its Total Debt to EBITDA Value is 2.31. The Enterprise Value to Sales for this firm is now 6.85, and its Total Debt to Enterprise Value stands at 0.17. Analog Devices, Inc. [ADI] has a Price to Book Ratio of 2.94, a Price to Cash Flow Ratio of 13.38 and P/E Ratio of 24.97. These metrics show that this company has a mixed appeal, and ROI could be a gain or a loss.
Shifting the focus to workforce efficiency, Analog Devices, Inc. [ADI] earns $392,465 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 9.33 and its Total Asset Turnover is 0.30. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 1.08 and its Current Ratio is 1.50. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
Analog Devices, Inc. [ADI] has 365.68M shares outstanding, amounting to a total market cap of $38.17B. Its stock price has been found in the range of 76.62 to 118.54. At its current price, it has moved by -11.95% from its 52-week high, and it has moved 36.22% from its 52-week low.
This stock’s Beta value is currently 1.36, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 51.68. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Analog Devices, Inc. [ADI] a Reliable Buy?
Shares of Analog Devices, Inc. [ADI], on the whole, present investors with both positive and negative signals. Wall Street analysts have mixed reviews when it comes to the 12-month price outlook, and this company’s financials show a combination of strengths and weaknesses. Based on the price performance, this investment is somewhat risky while presenting reasonable potential for ROI.