251.175 USD
+11.78 (+4.92%)
Taking everything into account, ADI scores 6 out of 10 in our fundamental rating. ADI was compared to 112 industry peers in the Semiconductors & Semiconductor Equipment industry. ADI has only an average score on both its financial health and profitability. ADI has a correct valuation and a medium growth rate.
1. Profitability
1.1 Basic Checks
ADI had positive earnings in the past year.
ADI had a positive operating cash flow in the past year.
In the past 5 years ADI has always been profitable.
ADI had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
ADI has a better Return On Assets (4.06%) than 68.75% of its industry peers.
The Return On Equity of ADI (5.74%) is better than 65.18% of its industry peers.
With a decent Return On Invested Capital value of 5.21%, ADI is doing good in the industry, outperforming 65.18% of the companies in the same industry.
The Average Return On Invested Capital over the past 3 years for ADI is below the industry average of 10.75%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.06% | ||
| ROE | 5.74% | ||
| ROIC | 5.21% |
ROA(3y)5.22%
ROA(5y)4.8%
ROE(3y)7.17%
ROE(5y)7.07%
ROIC(3y)6.33%
ROIC(5y)5.91%
1.3 Margins
Looking at the Profit Margin, with a value of 18.85%, ADI belongs to the top of the industry, outperforming 83.04% of the companies in the same industry.
ADI's Profit Margin has declined in the last couple of years.
ADI has a Operating Margin of 25.32%. This is amongst the best in the industry. ADI outperforms 83.93% of its industry peers.
ADI's Operating Margin has declined in the last couple of years.
Looking at the Gross Margin, with a value of 60.15%, ADI belongs to the top of the industry, outperforming 85.71% of the companies in the same industry.
ADI's Gross Margin has declined in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 25.32% | ||
| PM (TTM) | 18.85% | ||
| GM | 60.15% |
OM growth 3Y-5.6%
OM growth 5Y-6.15%
PM growth 3Y-2.98%
PM growth 5Y-5.24%
GM growth 3Y-2.63%
GM growth 5Y-3.15%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so ADI is destroying value.
The number of shares outstanding for ADI remains at a similar level compared to 1 year ago.
ADI has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, ADI has a worse debt to assets ratio.
2.2 Solvency
ADI has an Altman-Z score of 5.80. This indicates that ADI is financially healthy and has little risk of bankruptcy at the moment.
ADI has a better Altman-Z score (5.80) than 63.39% of its industry peers.
ADI has a debt to FCF ratio of 2.36. This is a good value and a sign of high solvency as ADI would need 2.36 years to pay back of all of its debts.
ADI has a better Debt to FCF ratio (2.36) than 66.96% of its industry peers.
A Debt/Equity ratio of 0.25 indicates that ADI is not too dependend on debt financing.
ADI has a Debt to Equity ratio (0.25) which is comparable to the rest of the industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 2.36 | ||
| Altman-Z | 5.8 |
ROIC/WACC0.49
WACC10.57%
2.3 Liquidity
A Current Ratio of 2.32 indicates that ADI has no problem at all paying its short term obligations.
ADI's Current ratio of 2.32 is on the low side compared to the rest of the industry. ADI is outperformed by 63.39% of its industry peers.
ADI has a Quick Ratio of 1.79. This is a normal value and indicates that ADI is financially healthy and should not expect problems in meeting its short term obligations.
The Quick ratio of ADI (1.79) is worse than 62.50% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.32 | ||
| Quick Ratio | 1.79 |
3. Growth
3.1 Past
ADI shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 7.14%.
ADI shows a small growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 4.42% yearly.
ADI shows a small growth in Revenue. In the last year, the Revenue has grown by 7.08%.
ADI shows quite a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 9.49% yearly.
EPS 1Y (TTM)7.14%
EPS 3Y-0.26%
EPS 5Y4.42%
EPS Q2Q%29.75%
Revenue 1Y (TTM)7.08%
Revenue growth 3Y8.81%
Revenue growth 5Y9.49%
Sales Q2Q%24.57%
3.2 Future
ADI is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 20.93% yearly.
The Revenue is expected to grow by 12.86% on average over the next years. This is quite good.
EPS Next Y22.53%
EPS Next 2Y21.45%
EPS Next 3Y20.06%
EPS Next 5Y20.93%
Revenue Next Year16.58%
Revenue Next 2Y14.91%
Revenue Next 3Y12.84%
Revenue Next 5Y12.86%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
ADI is valuated quite expensively with a Price/Earnings ratio of 34.89.
Based on the Price/Earnings ratio, ADI is valued a bit cheaper than the industry average as 69.64% of the companies are valued more expensively.
The average S&P500 Price/Earnings ratio is at 25.65. ADI is valued slightly more expensive when compared to this.
With a Price/Forward Earnings ratio of 26.69, ADI can be considered very expensive at the moment.
Compared to the rest of the industry, the Price/Forward Earnings ratio of ADI indicates a somewhat cheap valuation: ADI is cheaper than 66.07% of the companies listed in the same industry.
When comparing the Price/Forward Earnings ratio of ADI to the average of the S&P500 Index (34.45), we can say ADI is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.89 | ||
| Fwd PE | 26.69 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, ADI is valued a bit cheaper than the industry average as 66.07% of the companies are valued more expensively.
77.68% of the companies in the same industry are more expensive than ADI, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 33.59 | ||
| EV/EBITDA | 26.07 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
The decent profitability rating of ADI may justify a higher PE ratio.
ADI's earnings are expected to grow with 20.06% in the coming years. This may justify a more expensive valuation.
PEG (NY)1.55
PEG (5Y)7.9
EPS Next 2Y21.45%
EPS Next 3Y20.06%
5. Dividend
5.1 Amount
ADI has a Yearly Dividend Yield of 1.76%.
ADI's Dividend Yield is rather good when compared to the industry average which is at 2.35. ADI pays more dividend than 85.71% of the companies in the same industry.
ADI's Dividend Yield is slightly below the S&P500 average, which is at 2.41.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.76% |
5.2 History
On average, the dividend of ADI grows each year by 11.42%, which is quite nice.
ADI has been paying a dividend for at least 10 years, so it has a reliable track record.
ADI has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)11.42%
Div Incr Years21
Div Non Decr Years21
5.3 Sustainability
96.76% of the earnings are spent on dividend by ADI. This is not a sustainable payout ratio.
ADI's earnings are growing more than its dividend. This makes the dividend growth sustainable.
DP96.76%
EPS Next 2Y21.45%
EPS Next 3Y20.06%
NASDAQ:ADI (11/25/2025, 3:37:04 PM)
251.175
+11.78 (+4.92%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners94.65%
Inst Owner Change-0.79%
Ins Owners0.05%
Ins Owner Change-5.55%
Market Cap123.57B
Revenue(TTM)10.39B
Net Income(TTM)1.96B
Analysts79.5
Price Target274.03 (9.1%)
Short Float %1.91%
Short Ratio2.94
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.76% |
Yearly Dividend3.62
Dividend Growth(5Y)11.42%
DP96.76%
Div Incr Years21
Div Non Decr Years21
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)5.79%
Min EPS beat(2)3.92%
Max EPS beat(2)7.67%
EPS beat(4)4
Avg EPS beat(4)4.3%
Min EPS beat(4)1.02%
Max EPS beat(4)7.67%
EPS beat(8)7
Avg EPS beat(8)3.83%
EPS beat(12)10
Avg EPS beat(12)3.3%
EPS beat(16)14
Avg EPS beat(16)4%
Revenue beat(2)2
Avg Revenue beat(2)3.55%
Min Revenue beat(2)2.87%
Max Revenue beat(2)4.23%
Revenue beat(4)4
Avg Revenue beat(4)2.3%
Min Revenue beat(4)0.46%
Max Revenue beat(4)4.23%
Revenue beat(8)6
Avg Revenue beat(8)1.3%
Revenue beat(12)9
Avg Revenue beat(12)1.14%
Revenue beat(16)13
Avg Revenue beat(16)1.27%
PT rev (1m)0.99%
PT rev (3m)2.02%
EPS NQ rev (1m)-0.31%
EPS NQ rev (3m)9.44%
EPS NY rev (1m)-0.08%
EPS NY rev (3m)0.93%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)6.94%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)1.02%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 34.89 | ||
| Fwd PE | 26.69 | ||
| P/S | 11.9 | ||
| P/FCF | 33.59 | ||
| P/OCF | 29.69 | ||
| P/B | 3.63 | ||
| P/tB | N/A | ||
| EV/EBITDA | 26.07 |
EPS(TTM)7.2
EY2.87%
EPS(NY)9.41
Fwd EY3.75%
FCF(TTM)7.48
FCFY2.98%
OCF(TTM)8.46
OCFY3.37%
SpS21.11
BVpS69.29
TBVpS-2.57
PEG (NY)1.55
PEG (5Y)7.9
Graham Number105.95
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.06% | ||
| ROE | 5.74% | ||
| ROCE | 5.82% | ||
| ROIC | 5.21% | ||
| ROICexc | 5.64% | ||
| ROICexgc | 34.34% | ||
| OM | 25.32% | ||
| PM (TTM) | 18.85% | ||
| GM | 60.15% | ||
| FCFM | 35.41% |
ROA(3y)5.22%
ROA(5y)4.8%
ROE(3y)7.17%
ROE(5y)7.07%
ROIC(3y)6.33%
ROIC(5y)5.91%
ROICexc(3y)6.53%
ROICexc(5y)6.17%
ROICexgc(3y)44.45%
ROICexgc(5y)45.96%
ROCE(3y)7.03%
ROCE(5y)6.55%
ROICexgc growth 3Y-18.89%
ROICexgc growth 5Y-14.51%
ROICexc growth 3Y4.4%
ROICexc growth 5Y-12.69%
OM growth 3Y-5.6%
OM growth 5Y-6.15%
PM growth 3Y-2.98%
PM growth 5Y-5.24%
GM growth 3Y-2.63%
GM growth 5Y-3.15%
F-Score8
Asset Turnover0.22
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 2.36 | ||
| Debt/EBITDA | 1.87 | ||
| Cap/Depr | 23.9% | ||
| Cap/Sales | 4.66% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 89.44% | ||
| Profit Quality | 187.9% | ||
| Current Ratio | 2.32 | ||
| Quick Ratio | 1.79 | ||
| Altman-Z | 5.8 |
F-Score8
WACC10.57%
ROIC/WACC0.49
Cap/Depr(3y)40.05%
Cap/Depr(5y)34.52%
Cap/Sales(3y)7.94%
Cap/Sales(5y)6.29%
Profit Quality(3y)145.19%
Profit Quality(5y)151.71%
High Growth Momentum
Growth
EPS 1Y (TTM)7.14%
EPS 3Y-0.26%
EPS 5Y4.42%
EPS Q2Q%29.75%
EPS Next Y22.53%
EPS Next 2Y21.45%
EPS Next 3Y20.06%
EPS Next 5Y20.93%
Revenue 1Y (TTM)7.08%
Revenue growth 3Y8.81%
Revenue growth 5Y9.49%
Sales Q2Q%24.57%
Revenue Next Year16.58%
Revenue Next 2Y14.91%
Revenue Next 3Y12.84%
Revenue Next 5Y12.86%
EBIT growth 1Y17.06%
EBIT growth 3Y2.72%
EBIT growth 5Y2.76%
EBIT Next Year63.45%
EBIT Next 3Y24.53%
EBIT Next 5Y19.93%
FCF growth 1Y-0.31%
FCF growth 3Y9.29%
FCF growth 5Y9.56%
OCF growth 1Y-12.92%
OCF growth 3Y12.1%
OCF growth 5Y11.33%
ANALOG DEVICES INC / ADI FAQ
What is the fundamental rating for ADI stock?
ChartMill assigns a fundamental rating of 6 / 10 to ADI.
Can you provide the valuation status for ANALOG DEVICES INC?
ChartMill assigns a valuation rating of 5 / 10 to ANALOG DEVICES INC (ADI). This can be considered as Fairly Valued.
How profitable is ANALOG DEVICES INC (ADI) stock?
ANALOG DEVICES INC (ADI) has a profitability rating of 6 / 10.
What is the financial health of ANALOG DEVICES INC (ADI) stock?
The financial health rating of ANALOG DEVICES INC (ADI) is 5 / 10.
How sustainable is the dividend of ANALOG DEVICES INC (ADI) stock?
The dividend rating of ANALOG DEVICES INC (ADI) is 6 / 10 and the dividend payout ratio is 96.76%.