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Analog Devices (ADI) Beats Stock Market Upswing: What Investors Need to Know
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Analog Devices (ADI - Free Report) closed the most recent trading day at $381.42, moving +1.64% from the previous trading session. This change outpaced the S&P 500's 1.05% gain on the day. Meanwhile, the Dow experienced a rise of 0.69%, and the technology-dominated Nasdaq saw an increase of 1.64%.
Heading into today, shares of the semiconductor maker had gained 16.6% over the past month, outpacing the Computer and Technology sector's gain of 12.58% and the S&P 500's gain of 8.59%.
Market participants will be closely following the financial results of Analog Devices in its upcoming release. The company's upcoming EPS is projected at $2.88, signifying a 55.68% increase compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $3.51 billion, indicating a 32.99% upward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $11.38 per share and revenue of $13.91 billion, which would represent changes of +46.08% and +26.26%, respectively, from the prior year.
Investors should also take note of any recent adjustments to analyst estimates for Analog Devices. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 1.48% upward. Currently, Analog Devices is carrying a Zacks Rank of #2 (Buy).
From a valuation perspective, Analog Devices is currently exchanging hands at a Forward P/E ratio of 32.97. This represents a discount compared to its industry average Forward P/E of 39.76.
Meanwhile, ADI's PEG ratio is currently 1.51. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Semiconductor - Analog and Mixed industry currently had an average PEG ratio of 0.92 as of yesterday's close.
The Semiconductor - Analog and Mixed industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 19, placing it within the top 8% of over 250 industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Analog Devices (ADI) Beats Stock Market Upswing: What Investors Need to Know
Analog Devices (ADI - Free Report) closed the most recent trading day at $381.42, moving +1.64% from the previous trading session. This change outpaced the S&P 500's 1.05% gain on the day. Meanwhile, the Dow experienced a rise of 0.69%, and the technology-dominated Nasdaq saw an increase of 1.64%.
Heading into today, shares of the semiconductor maker had gained 16.6% over the past month, outpacing the Computer and Technology sector's gain of 12.58% and the S&P 500's gain of 8.59%.
Market participants will be closely following the financial results of Analog Devices in its upcoming release. The company's upcoming EPS is projected at $2.88, signifying a 55.68% increase compared to the same quarter of the previous year. Alongside, our most recent consensus estimate is anticipating revenue of $3.51 billion, indicating a 32.99% upward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates are projecting earnings of $11.38 per share and revenue of $13.91 billion, which would represent changes of +46.08% and +26.26%, respectively, from the prior year.
Investors should also take note of any recent adjustments to analyst estimates for Analog Devices. These revisions help to show the ever-changing nature of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 1.48% upward. Currently, Analog Devices is carrying a Zacks Rank of #2 (Buy).
From a valuation perspective, Analog Devices is currently exchanging hands at a Forward P/E ratio of 32.97. This represents a discount compared to its industry average Forward P/E of 39.76.
Meanwhile, ADI's PEG ratio is currently 1.51. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. The Semiconductor - Analog and Mixed industry currently had an average PEG ratio of 0.92 as of yesterday's close.
The Semiconductor - Analog and Mixed industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 19, placing it within the top 8% of over 250 industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.