Analog Devices (NASDAQ:ADI) Shares Gap Down – Here’s What Happened

by · The Cerbat Gem

Analog Devices, Inc. (NASDAQ:ADI – Get Free Report)’s share price gapped down before the market opened on Friday . The stock had previously closed at $178.36, but opened at $172.13. Analog Devices shares last traded at $173.38, with a volume of 863,087 shares changing hands.

Analyst Ratings Changes

A number of brokerages have issued reports on ADI. Lake Street Capital initiated coverage on shares of Analog Devices in a research note on Friday, February 14th. They set a “buy” rating on the stock. Maxim Group began coverage on shares of Analog Devices in a research note on Friday, February 14th. They set a “buy” rating on the stock. Oppenheimer reissued an “outperform” rating and issued a $270.00 price target (up previously from $245.00) on shares of Analog Devices in a research report on Thursday, February 20th. Williams Trading set a $245.00 price objective on Analog Devices in a research report on Friday, February 14th. Finally, Barclays decreased their target price on Analog Devices from $250.00 to $210.00 and set an “equal weight” rating for the company in a report on Friday, January 17th. Six research analysts have rated the stock with a hold rating and eighteen have assigned a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $255.41.

Get Our Latest Report on ADI

Analog Devices Trading Down 1.5 %

The firm has a market capitalization of $87.15 billion, a price-to-earnings ratio of 55.96, a price-to-earnings-growth ratio of 2.85 and a beta of 1.06. The business’s 50 day moving average price is $209.43 and its 200-day moving average price is $216.37. The company has a debt-to-equity ratio of 0.19, a current ratio of 1.93 and a quick ratio of 1.43.

Analog Devices (NASDAQ:ADI – Get Free Report) last released its earnings results on Wednesday, February 19th. The semiconductor company reported $1.63 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.54 by $0.09. Analog Devices had a return on equity of 8.91% and a net margin of 16.75%. The company had revenue of $2.42 billion for the quarter, compared to analysts’ expectations of $2.36 billion. During the same quarter in the previous year, the firm posted $1.73 EPS. The firm’s quarterly revenue was down 3.6% on a year-over-year basis. Equities analysts forecast that Analog Devices, Inc. will post 7.14 EPS for the current fiscal year.

Analog Devices Increases Dividend

The business also recently announced a quarterly dividend, which was paid on Monday, March 17th. Shareholders of record on Tuesday, March 4th were given a dividend of $0.99 per share. This is a positive change from Analog Devices’s previous quarterly dividend of $0.92. This represents a $3.96 annualized dividend and a yield of 2.25%. The ex-dividend date of this dividend was Tuesday, March 4th. Analog Devices’s dividend payout ratio is presently 126.11%.

Analog Devices announced that its board has initiated a share buyback plan on Tuesday, February 18th that authorizes the company to buyback $10.00 billion in shares. This buyback authorization authorizes the semiconductor company to repurchase up to 9.2% of its stock through open market purchases. Stock buyback plans are generally an indication that the company’s management believes its shares are undervalued.

Insider Transactions at Analog Devices

In other Analog Devices news, CEO Vincent Roche sold 10,000 shares of Analog Devices stock in a transaction dated Wednesday, March 12th. The shares were sold at an average price of $209.12, for a total transaction of $2,091,200.00. Following the completion of the transaction, the chief executive officer now owns 64,918 shares in the company, valued at approximately $13,575,652.16. The trade was a 13.35 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CFO Richard C. Puccio, Jr. sold 4,000 shares of the stock in a transaction that occurred on Wednesday, March 19th. The shares were sold at an average price of $209.19, for a total transaction of $836,760.00. Following the completion of the sale, the chief financial officer now owns 49,916 shares in the company, valued at $10,441,928.04. This represents a 7.42 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold 26,684 shares of company stock valued at $5,591,600 in the last quarter. 0.33% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors have recently modified their holdings of the stock. Orion Capital Management LLC purchased a new stake in shares of Analog Devices in the fourth quarter valued at $27,000. Menard Financial Group LLC acquired a new position in Analog Devices during the fourth quarter worth approximately $27,000. Mainstream Capital Management LLC purchased a new position in shares of Analog Devices in the 4th quarter worth $30,000. Hopwood Financial Services Inc. acquired a new position in shares of Analog Devices in the 4th quarter valued at about $30,000. Finally, Cassady Schiller Wealth Management LLC grew its stake in Analog Devices by 63.2% during the fourth quarter. Cassady Schiller Wealth Management LLC now owns 142 shares of the semiconductor company’s stock worth $30,000 after buying an additional 55 shares during the period. 86.81% of the stock is currently owned by institutional investors and hedge funds.

Analog Devices Company Profile

(Get Free Report)

Analog Devices, Inc designs, manufactures, tests, and markets integrated circuits (ICs), software, and subsystems products in the United States, rest of North and South America, Europe, Japan, China, and rest of Asia. The company 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.

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