Analog Devices stock: buy or sell?
Nov 24th, 2020
Analog Devices stock brief
- Analog Devices closed on Tuesday at $136.89 (-0.13%) prior to presenting financial results on Tuesday
- Analog Devices posted its financial report on Tuesday
- Analog Devices, Inc. designs, manufactures, and markets integrated circuits (ICs), algorithms, software, and subsystems that leverage analog, mixed-signal, and digital signal processing technologies.
Should I buy Analog Devices stock?
All successful traders recommend adhering to a trading strategy and not make decisions based on subjective opinions, rumors or feelings. Trading strategies are meant for helping you in the decision process of what stocks to pick and when is the best moment 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
Is $ADI stock a buy?
Currently, Analog Devices stock matches one trading strategy:
ATH buy setup
One of the most recommended trading strategies is to buy on All-time Highs (ATH) breakouts. The good point of buying at ATHs is that shares price doesn't have upper resistances, and usually it scales rapidly. However, you must always be aware of a possible bulls trap that may trigger your buy order and then drops sharply. That's why a stop loss is so important. Price is now at 2.55% of all-time highs and it can breakout at any time, so if you want to trade this setup it's recommended to setup your order at $140.38. Arm your stop-loss at $126.34
|Buy setup||Buy point||Stop loss||Risk|
|ATH buy setup||$140.38||$126.34||10.00%|
Should I sell Analog Devices stock?
Knowing when to sell a stock is even harder than knowing when to buy it. Trading strategies prevent us from making rash decisions based on our feelings or the buzz that surrounds the market. We like very simple strategies to guide us on when is the best time to sell a stock. Be aware that these strategies are not intended for selling short $ADI stock
As a rule of thumb, you should not mantain an operation that generates losses greater than those expected upon purchase. The moment to sell your stock always has to be dictated by the stop-loss (automatic or manual)
Is it time to sell Analog Devices stock?
In the current situation of Analog Devices there is not any eligible sell setup, so Analog Devices stock holders with operations in profit can keep their positions
Analog Devices ratings
In the last month, 2 ratings were published for Analog Devices. General sentiment is bullish, with 2 out of 2 publishing optimistic forecasts
|Nov 9th, 2020|
|Evercore ISI||Neutral → Buy|
|Nov 18th, 2020|
Analog Devices stock analysis
Analog Devices shares started an uptrend last July, and grew an amazing 24.56%. During this uptrend, the price provided some buy points on the breakouts. Latest pullback was in late October, when price bounced at $115.64. On November 5, Analog Devices broke out above its last top ($126.49) giving a good buying opportunity
Supports and resistances
Price is at highs and there are not upper resistances.
The current support levels are:
Since the price surpassed the upper band on November 11, the price has corrected downwards by 1.26%
Relative strength index
The RSI dropped below the overbought level of 70 on November 17 after just crossing to the overbough zone for 1 day (weak signal). The RSI reading on Tuesday was 63.62. Analog Devices stock just moved a 0.81% since that level was lost
Analog Devices stock price history
Analog Devices went public priced at an adjusted price1 of $0.00 on Mar 1980. Since then, ADI stock has risen by -, with an average of 0.00% per year. If you had invested $1,000USD in Analog Devices stock on Mar 1980, it would have a value of $inf today.
1: Adjusted price after possible price splits or reverse-splits
Price target for Analog Devices stock
How much a stock will be priced tomorrow or next week is quite unpredictable. Banks and financial organisations publish their analysis predicting how a stock will performance in the future.
The following table shows the price target posted by brokerage institutions for the last 30 days. If you are a small investor you must not buy or sell based on these forecasts.
There are 2 price forecasts published for Analog Devices that average $157.50. Analog Devices closed at $136.89 on Tuesday, so the target price is forecasting an increase by 15.06%.
|Brokerage firm||Price target|
|Nov 9th, 2020|
|Evercore ISI||$135.00 → $160.00|
|Nov 18th, 2020|
|Oppenheimer||$140.00 → $155.00|
Earnings and financials
Analog Devices ($ADI) had the financial call and presented the fiscal fourth-quarter report on Tuesday. Analog Devices reported FQ4 earnings of $1.44 per share on sales of $1.5 billion. The market estimate was $1.32 per share on revenue of $1.4 billion.In contrast, the EPS for the same quarter last year was $1.19, so reported EPS is a improvement of 21.01%.
Analog Devices ($ADI) is releasing Q1 financial report next February.
Analog Devices competitors
Analog Devices is part of the Semiconductors industry, which contain 47 industry peers.
Analog Devices most relevant competitors are:
|Company||Market cap||Rating||Bullish ratings1|
|Analog Devices ($ADI)||$49.8B||Buy||2|
|Taiwan Semiconductor ($TSM)||$419.8B||Neutral||0|
|Texas Instruments ($TXN)||$144.8B||Neutral||0|
1 In the last 30 days.
Analog Devices performance
To better understand Analog Devices performance you must compare its gains with other related stocks in same sector or industry.. For Analog Devices, the benchmark is made against Taiwan Semiconductor, NVIDIA, Intel, Qualcomm, Broadcom and Texas Instruments.
|Analog Devices ($ADI)||12.60%||13.20%||23.60%|
|Taiwan Semiconductor ($TSM)||12.50%||21.40%||93.10%|
|Texas Instruments ($TXN)||7.00%||12.20%||35.60%|
Disclaimer:The comments expressed in this article are personal and not recommendations for you to buy or sell stocks. The author of this report does not know the individual circumstances of the reader, his or her own financial statements or his or her own best interests at any given time. All users should speak with their financial advisor before buying or selling any securities Opinions are posted for informational motives only
Analog Devices summary
|Tuesday, November 24th, 2020|
|Day range||$132.84 - $137.92|
|Average true range||$4.89|
|50d mov avg||$123.46|
|100d mov avg||$120.10|
|200d mov avg||$113.48|
|Earnings date||February 17th, 2021|