Analog stock: buy or sell?

ADI stock price: $111.17 0.59% At close on August 19th, 2019

Updated on:
August 19th, 2019

3

After breaking up the simple moving average line of 100 days yesterday, Analog closed today at $111.17.

Analog Devices, Inc. designs, manufactures, and markets a portfolio of solutions that leverage analog, mixed-signal, and digital signal processing technology, including integrated circuits (ICs), algorithms, software, and subsystems.

Should I buy Analog stock?

Even if you are a experienced or a novel trader, best trading results come from using an investing strategy that never leaves to random or subjective opinions when is the best moment to buy or sell stocks. Trading strategies are meant for helping you in the decision process of what stocks to choose and when is the best time to buy them. At Stocks2.com, we like to use very simple but trusted and powerful trend following trading strategies. Simple things usually work the best.

None of our preferred buy setups matches with Analog Devices stock situation right now, hence this is not a suitable entry point.

Buy setupElegible
New all-time highNo
New 52 week highNo
Price crossing up 200d MANo
100d MA crossing up 200d MANo
This is not a selling recommendation at all, just it's not the best moment to buy if you follow any of these trading strategies.

Is Analog stock a buy?

Banks and financial institutions publish stock ratings everyday. At Stocks2.com, we gathered 15 ratings published for ADI stock in the last month.

The general sentiment of these ratings is bullish for ADI stock, with 10 positive ratings.
Is ADI a good stock to buy?
DateAnalyst / BrokerPrevious ratingCurrent rating
2019-7-9Piper Jaffray Companiesn/aOverweight
2019-6-10Goldman Sachs GroupSellBuy
2019-5-23SunTrust BanksPositiveBuy
2019-5-23Morgan Stanleyn/aEqual Weight
2019-5-22Royal Bank of Canadan/aOutperform
2019-4-30Royal Bank of Canadan/aOutperform
2019-3-25Sanford C. BernsteinOutperformMarket Perform
2019-2-21SunTrust BanksBuyAverage
2019-2-21Oppenheimern/aOutperform
2019-2-21BMO Capital Marketsn/aOutperform
2019-2-20Robert W. Bairdn/aBuy
2019-2-11Bank of AmericaNeutralBuy
2019-2-1Piper Jaffray CompaniesOverweightOutperform
2019-1-4Royal Bank of CanadaOutperformSector Perform
2019-1-4Bank of AmericaBuyNeutral

Analog stock analysis

Daily outlook

After breaking up the simple moving average line of 100d yesterday, Analog shares closed today at $111.17, inched a 0.59%.

After crossing up the SMA line of 100 days yesterday, Analog shares closed today at $111.17, inched a 0.59%. ADI is soaring again after a 5.08% correction from its last top on Tuesday at $113.58. For the last 19 days when SMA50d and SMA100d crossed up, ADI price slipped $-9.79 per share (-8.09%). On July/24, ADI hit new all time highs, pushing higher previous ATH of $119.93 recorded on July/23. New ATHs are usual entry points for many trading setups as there aren't higher resistences.

ADI stock chart (daily)

Weekly outlook

Shares of Analog Devices inched a slightly good 0.59% this week. Late July ADI plummed a chilling -8.09% in just one week.

Price pattern shows an uptrend with two rising tops and bottoms, and now trading upwards to the $124.79 resistance. Not so far away is the last price record Analog marked late July. By mid March, SMA20w and SMA40w crossed up triggering a rise of 6.05%. Since price and SMA40w lines crossed up late January, ADI climbed $20.78 (22.99%).

ADI stock chart (weekly)

Analog stock price history

Analog IPO was on March 17th, 1980 at $0.50 per share1. Since then, ADI stock surged a 22,134.00%, with an average of 567.50% per year. If you had invested $1,000 in Analog stock in 1980, it would worth $221,340.00 today.

1: Adjusted price after possible price splits or reverse-splits.

Analog stock historical price chart

ADI stock reached all-time highs on July/24 with a price of $124.79.

Analog stock price target is $117.30

Predicting the price evolution of a stock or any financial instrument in a reliable and repeatable way is probably impossible. However, banks and other financial institutions analysts, with the help of lots of data and algorithms do their best to predict the stock prices movement. You should not follow the analysts' ADI stock price predictions in the hope that they will be met as they may be wrong and not met. We found 10 price targets for Analog stock released in the last month:
ADI stock price predictions
DateAnalyst / BrokerActionPrevious targetCurrent targetDiff
2019-7-9Piper Jaffray CompaniesReiterates$118.00$135.0014.4%
2019-6-10Goldman Sachs GroupUpgrades$101.00$114.0012.9%
2019-5-23SunTrust BanksLowers Targetn/a$122.00-
2019-5-23Morgan StanleyLowers Target$100.00$97.00-3%
2019-5-22Royal Bank of CanadaReiterates$140.00$120.00-14.3%
2019-2-21SunTrust BanksRaises Targetn/a$126.00-
2019-2-21OppenheimerRaises Targetn/a$117.00-
2019-2-21BMO Capital MarketsRaises Targetn/a$130.00-
2019-2-20Robert W. BairdReiteratesn/a$100.00-
2019-2-1Piper Jaffray CompaniesReiteratesn/a$112.00-
(in average)$114.80$117.302.0%
Moving in a range from $135.00 and $97.00, the price forecast for ADI stock is $117.30.

Financials and fundamental analysis

Earnings date and Earnings per Share

Analog presented tiny results for 2019-Q1 on February. Analog gained Earnings per Share (EPS) by 3.90%, beating analysts consensus of $1.28. Analog posted $1.33.
ADI earnings date and EPS evolution
QuarterReporting dateEstimated EPSActual EPSSurprise
2017-Q2-n/a1n/a
2017-Q3-n/a0.18n/a
2017-Q42017-11-211.361.456.6%
2018-Q12018-02-281.291.4210.1%
2018-Q22018-05-301.371.455.8%
2018-Q32018-08-221.461.534.8%
2018-Q42018-11-201.521.552.0%
2019-Q12019-02-201.281.333.9%
2019-Q2-n/an/an/a
2019-Q3-n/an/an/a

Annual financial results

Compared to 2017, last anual sales report draw an outstanding growth of 21.41% to $6,200.94 M USD. Likewise, its income margin (compared to revenues) rose to 24.12%, that is $1,495.43 million.

Analog fiscal year ends in October, and to compare its evolution since then, we estimate annual sales and income figures by adding results from the last 4 quarters. This is called TTM (or Twelve Trailing Months). So, Analog TTM sales up to January 2019 were $6,223.42 and income $1,582.27 M USD. When comparing this TTM figures with the last reported annuality, we can review Analog business evolution since October 2018: Annual turnover up to January, compared to lastest yearly report, remained constant a tight 0.36%. Aligned with this, profit margin (net income/sales) stepped up at 24.12%.

ADI annual Sales and Income evolution
YearSalesYoYIncome/(margin)YoY
2013$2,630 M-$673 M25.6%-
2014$2,860 M8.75%$629 M22.0%-6.56%
2014$2,865 M0.17%$629 M22.0%0.00%
2015$3,440 M20.08%$697 M20.3%10.74%
2015$3,435 M-0.14%$697 M20.3%0.00%
2016$3,420 M-0.44%$862 M25.2%23.65%
2016$3,421 M0.04%$862 M25.2%0.00%
2017$5,110 M49.35%$725 M14.2%-15.86%
2017$5,108 M-0.05%$727 M14.2%0.31%
2018$6,201 M21.41%$1,495 M24.1%105.63%
TTM $6,223 M0.36%$1,582 M25.4%5.81%

Quarterly financial results

Analog reported $1,541.10 million in revenues for 2019-Q1, a -3.48% less compared to previous quarter. Reported quarter earnings marked $355.01 M with a profit margin of 23.04%. Profit margin slightly fell a -4.08% compared to previous quarter when profit margin was 27.12%. When comparing revenues to same quarter last year, Analog Devices sales marked a slightly good increase and appreciated a 1.48%.
ADI quarterly Sales and Income evolution
QuarterSales1QoQ2Income1/(margin)QoQ2
2017-Q2$1,150 M-$94 M8.1%-
2017-Q3$1,430 M24.35%$68 M4.8%-27.38%
2017-Q4$1,541 M7.77%$348 M22.6%411.70%
2018-Q1$1,519 M-1.46%$268 M17.7%-22.86%
2018-Q2$1,513 M-0.37%$380 M25.1%41.64%
2018-Q3$1,573 M3.94%$414 M26.4%9.12%
2018-Q4$1,597 M1.52%$433 M27.1%4.46%
2019-Q1$1,541 M-3.48%$355 M23.0%-18.01%

Analog ownership

When you are planning to invest in shares of a company, it's worth to have a look its ownership structure.

Analog Devices shares owned by insiders (that is, founders, CEO, CTO, main executives or other management staff) currently counts a 0.34% of all shares.

Bearish positions for ADI stock account 0.00%, no big difference from last month.

For a better understanding, the following table shows ownership data compared to other related companies:

ADICRUSMCHPMXIMON
Market cap$41.1 B$3.2 B$21.0 B$14.7 B$7.4 B
Total shares369.8 M58.1 M238.0 M272.4 M412.0 M
Float shares368.3 M57.7 M232.8 M270.5 M402.6 M
  - Institutional holdings (%)92.5%91.7%117.6%100.0%98.3%
  - Insider holdings (%)0.3%1.0%2.2%0.7%1.3%
Shares in short selling0.0%0.0%0.0%0.0%0.0%

Analog summary

Monday, August 19th, 2019
Open$113.06
Close$111.17
Day range$110.81 - $113.29
Previous close$110.52
Session gain0.59%
Average true range$3.76
50d mov avg$112.90
100d mov avg$110.15
200d mov avg$102.07
Daily patternlb01a
Weekly pattern lb02a

Analog performance

Performance as an absolute value is never valid if it's not benchmarked against competitors or related stocks in the industry. In the following table, we compare Analog to Cirrus Logic, Microchip Technology, Maxim Integrated Products, ON Semiconductor, Silicon Laboratories, Semtech, STMicroelectronics and Texas Instruments:
Stock3m6m12m
ADIAnalog Devices13.58%6.09%14.90%
CRUSCirrus Logic29.24%36.32%27.34%
MCHPMicrochip Technol...6.62%-2.16%8.38%
MXIMMaxim Integrated ...1.86%-1.44%-6.79%
ONON Semiconductor1.87%-21.15%-14.73%
SLABSilicon Laborator...13.14%22.02%13.05%
SMTCSemtech1.48%-15.07%-6.59%
STMSTMicroelectronic...3.37%6.58%-8.76%
TXNTexas Instruments19.30%17.58%12.84%

Analog competitors

One check before trading any stock is to have a look a list of its competitors, in this case for Analog. We chose 8 companies as Analog competitors as they are in the same industry or have similar market objectives.

Latest Analog stock news