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Analog Devices (ADI) Declines More Than Market: Some Information for Investors
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Analog Devices (ADI - Free Report) ended the recent trading session at $388.98, demonstrating a -2.06% change from the preceding day's closing price. The stock's performance was behind the S&P 500's daily loss of 0.22%. On the other hand, the Dow registered a loss of 0.03%, and the technology-centric Nasdaq decreased by 0.66%.
The semiconductor maker's shares have seen a decrease of 6.15% over the last month, not keeping up with the Computer and Technology sector's loss of 2.58% and the S&P 500's loss of 1.21%.
The investment community will be closely monitoring the performance of Analog Devices in its forthcoming earnings report. In that report, analysts expect Analog Devices to post earnings of $3.33 per share. This would mark year-over-year growth of 62.44%. Our most recent consensus estimate is calling for quarterly revenue of $3.93 billion, up 36.28% from the year-ago period.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $12.41 per share and a revenue of $14.58 billion, representing changes of +59.31% and +32.29%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Analog Devices. These recent revisions tend to reflect the evolving nature of short-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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. As of now, Analog Devices holds a Zacks Rank of #2 (Buy).
Investors should also note Analog Devices's current valuation metrics, including its Forward P/E ratio of 32. This denotes a discount relative to the industry average Forward P/E of 57.47.
It is also worth noting that ADI currently has a PEG ratio of 1.11. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Semiconductor - Analog and Mixed industry currently had an average PEG ratio of 1.02 as of yesterday's close.
The Semiconductor - Analog and Mixed industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 4, this industry ranks in the top 2% of all industries, numbering over 250.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow ADI in the coming trading sessions, be sure to utilize Zacks.com.
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Analog Devices (ADI) Declines More Than Market: Some Information for Investors
Analog Devices (ADI - Free Report) ended the recent trading session at $388.98, demonstrating a -2.06% change from the preceding day's closing price. The stock's performance was behind the S&P 500's daily loss of 0.22%. On the other hand, the Dow registered a loss of 0.03%, and the technology-centric Nasdaq decreased by 0.66%.
The semiconductor maker's shares have seen a decrease of 6.15% over the last month, not keeping up with the Computer and Technology sector's loss of 2.58% and the S&P 500's loss of 1.21%.
The investment community will be closely monitoring the performance of Analog Devices in its forthcoming earnings report. In that report, analysts expect Analog Devices to post earnings of $3.33 per share. This would mark year-over-year growth of 62.44%. Our most recent consensus estimate is calling for quarterly revenue of $3.93 billion, up 36.28% from the year-ago period.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $12.41 per share and a revenue of $14.58 billion, representing changes of +59.31% and +32.29%, respectively, from the prior year.
Investors should also note any recent changes to analyst estimates for Analog Devices. These recent revisions tend to reflect the evolving nature of short-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, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. As of now, Analog Devices holds a Zacks Rank of #2 (Buy).
Investors should also note Analog Devices's current valuation metrics, including its Forward P/E ratio of 32. This denotes a discount relative to the industry average Forward P/E of 57.47.
It is also worth noting that ADI currently has a PEG ratio of 1.11. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Semiconductor - Analog and Mixed industry currently had an average PEG ratio of 1.02 as of yesterday's close.
The Semiconductor - Analog and Mixed industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 4, this industry ranks in the top 2% of all industries, numbering over 250.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow ADI in the coming trading sessions, be sure to utilize Zacks.com.