ADI Stock Analysis
NMS · Technology · Semiconductors
$391.24
-2.36 (-0.60%)
ADI Interactive Price Chart & Trading Signals
ADI Stock Snapshot — Valuation, Risk & Technical Signals
ADI Key Fundamentals, Analyst Targets & Company Profile
Key Financial Ratios
Market Cap
$189.58B
P/E Ratio
46.47
Forward P/E
23.93
PEG Ratio
0.59
P/B Ratio
5.65
EPS
$8.42
Dividend Yield
1.12%
52W Range
$223.47 – $445.91
Beta
1.21
Volume
0.2M
ROE
12.2%
Profit Margin
29.8%
Revenue Growth
39.6%
Gross Margin
65.8%
EV/EBITDA
28.54
Analyst Target
$470.72
The trailing price-to-earnings ratio stands at 46.5x. Forward P/E of 23.9x implies earnings expansion expected. Price-to-book is 5.65x. EV/EBITDA sits at 28.54x. Market capitalization is $189.58B. Revenue is growing at 39.6% on a trailing basis. Earnings are expanding at 163.5%. Profit margins are 29.8%. Return on equity is 12.2%. Beta of 1.21 indicates elevated market sensitivity.
Analyst Consensus
Recommendation
Strong Buy
Low Target
$365.00
Mean Target
$470.72
High Target
$675.00
Based on 32 analysts
About ADI
Analog Devices, Inc. engages in the design, manufacture, testing, and marketing of integrated circuits (ICs), software, and subsystems products in the United States, rest of North and South America, Europe, Japan, China, and rest of Asia. It 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. The company also offers amplifiers to condition analog signals; and radio frequency and microwave ICs to support cellular infrastructure; and micro-electro-mechanical systems technology solutions, including accelerometers used to sense acceleration, gyroscopes for sense rotation, inertial measurement units to sense multiple degrees of freedom, and broadband switches for radio and instrument systems, as well as isolators. In addition, it provides digital signal processing and system products for numeric calculations. The company serves clients in the industrial, automotive, consumer, instrumentation, aerospace, defense and healthcare, and communications markets through a direct sales force, third-party distributors, and independent sales representatives, as well as online. The company was incorporated in 1965 and is headquartered in Wilmington, Massachusetts.
ADI Deep Dive Analysis
Bottom Line
Verdict
OvervaluedBest for
Growth-oriented investorsWatch out for
Premium valuation, High volatilityNon-zero inputs
4/5Counts non-zero values for price, P/E, beta, macro risk, and revenue growth; zero may mean unavailable or be a genuine zero.
Analog Devices, Inc. (ADI) trades above our multi-model fair value estimate of $138.23 by approximately 64.7%. Trailing P/E: 46.5x. Profitability signals include profit margin of 29.8% and return on equity of 12.2%. Recent growth metrics show revenue growth of 39.6% and earnings growth of 163.5%. Risk profile: elevated market beta of 1.21. Consensus: strong_buy.
Valuation, Growth & Risk
Valuation
Overvalued
P/E 46.5x
Price is above what fundamentals suggest.
Growth
Expanding
Rev 39.6%
Revenue is outpacing the market.
Risk
Elevated
Beta 1.21
Expect bigger swings than the market.
Valuation Snapshot
Analog Devices, Inc. (ADI) trades above our multi-model fair value estimate of $138.23 by approximately 64.7%. The trailing price-to-earnings ratio stands at 46.5x. Forward P/E of 23.9x suggests earnings compression ahead. Price-to-sales is 13.7x. Price-to-book is 5.7x. EV/EBITDA sits at 28.5x. Market capitalization is $189.58B.
Why it matters: Paying a premium works only if the company keeps growing faster than expected.
Growth & Profitability
Revenue is growing at 39.6% on a trailing basis. Earnings are expanding at 163.5%. Profit margins are 29.8%. Return on equity is 12.2%. Return on assets is 6.4%.
Why it matters: Growing revenue with healthy margins usually means the business is gaining market share or pricing power.
Risk Profile
Beta of 1.21 indicates elevated market sensitivity. Net debt position is $6.84B.
Why it matters: A riskier stock can fall more in a downturn. Make sure your portfolio can handle the volatility.
Analyst Context
Analyst consensus target of $470.72 implies 20.3% upside. Target range spans $365.00 to $675.00. 32 analysts cover the stock. Consensus recommendation: strong_buy.
Why it matters: Analyst targets reflect what professionals expect over 12 months. A wide gap between price and target can mean the market disagrees with the consensus.
Investor Fit
Premium valuation is supported by above-average growth, potentially fitting growth-oriented strategies.
Takeaway: Match the stock's risk-reward profile with your own goals and time horizon. No single metric tells the whole story.
Data Methodology & Sources
Market Data (Facts)
- Price, volume, and market cap: Yahoo Finance (may be delayed)
- P/E, EPS, revenue, and debt: Yahoo Finance fundamentals
- Analyst estimates: Yahoo Finance (coverage and update times vary)
- Insider transactions: Yahoo Finance (reporting may be delayed)
QuantSoar Model (Derived)
- Fair value: available outputs from seven models; outliers are filtered using MAD (k=3.5), then combined with fixed model weights.
- Margin of Safety = (Fair Value − Displayed Price) / Displayed Price × 100
- Composite Score: 40% Value + 30% Momentum + 30% Risk
- Verdict Gauge: Base 50 + Valuation (up to ±25) + Whale sentiment (up to ±10) + Insider buying (+5) + Macro risk (up to ±10) + Technical signal (up to ±10). Analyst consensus is separate.
Model outputs are estimates based on available data and are not investment advice. Cross-check with primary sources before making investment decisions.
ADI Overvalued
Analog Devices, Inc. (ADI) trades above our multi-model fair value estimate of $138.23 by approximately 64.7%.
Frequently Asked Questions
ValuationIs ADI stock overvalued right now?
ValuationWhat is ADI fair value based on current fundamentals?
RiskHow risky is ADI compared with other stocks?
GrowthIs ADI still growing?
AnalystWhat do analysts think about ADI?
DividendDoes ADI pay a dividend?
CatalystWhat could change the investment case for ADI?
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About the Author
Phasakorn Traklang (Peach) — Founder
Phasakorn Traklang (Peach) is the founder of QuantSoar, bringing expertise in SEO, web development, and technical analytics to build an AI-powered investment platform accessible to retail investors worldwide.
Connect on LinkedInInvestment Disclaimer: Tax treatment can depend on tax residence, account type, and tax year. This information is general and is not personal tax or investment advice. SEC
Data: Yahoo Finance / SEC EDGAR / Alpha Vantage / Finnhub. AI outputs verified against source data.