295.69 USD
+2.8 (+0.96%)
Taking everything into account, ADI scores 6 out of 10 in our fundamental rating. ADI was compared to 113 industry peers in the Semiconductors & Semiconductor Equipment industry. While ADI belongs to the best of the industry regarding profitability, there are some minor concerns on its financial health. ADI is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! These ratings would make ADI suitable for growth investing!
1. Profitability
1.1 Basic Checks
In the past year ADI was profitable.
ADI had a positive operating cash flow in the past year.
Each year in the past 5 years ADI has been profitable.
In the past 5 years ADI always reported a positive cash flow from operatings.
1.2 Ratios
ADI has a Return On Assets of 4.72%. This is in the better half of the industry: ADI outperforms 68.14% of its industry peers.
Looking at the Return On Equity, with a value of 6.70%, ADI is in the better half of the industry, outperforming 62.83% of the companies in the same industry.
ADI has a better Return On Invested Capital (6.01%) than 68.14% of its industry peers.
The Average Return On Invested Capital over the past 3 years for ADI is below the industry average of 10.75%.
The last Return On Invested Capital (6.01%) for ADI is above the 3 year average (5.97%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.72% | ||
| ROE | 6.7% | ||
| ROIC | 6.01% |
ROA(3y)4.97%
ROA(5y)4.61%
ROE(3y)6.89%
ROE(5y)6.37%
ROIC(3y)5.97%
ROIC(5y)5.69%
1.3 Margins
ADI's Profit Margin of 20.58% is amongst the best of the industry. ADI outperforms 81.42% of its industry peers.
ADI's Profit Margin has been stable in the last couple of years.
The Operating Margin of ADI (27.25%) is better than 85.84% of its industry peers.
ADI's Operating Margin has been stable in the last couple of years.
ADI's Gross Margin of 61.47% is amongst the best of the industry. ADI outperforms 85.84% of its industry peers.
ADI's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 27.25% | ||
| PM (TTM) | 20.58% | ||
| GM | 61.47% |
OM growth 3Y-4.17%
OM growth 5Y-0.56%
PM growth 3Y-3.48%
PM growth 5Y-1.14%
GM growth 3Y-0.66%
GM growth 5Y-1.37%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) below the Cost of Capital (WACC), ADI is destroying value.
Compared to 1 year ago, ADI has less shares outstanding
Compared to 5 years ago, ADI has more shares outstanding
ADI has a worse debt/assets ratio than last year.
2.2 Solvency
ADI has an Altman-Z score of 6.91. This indicates that ADI is financially healthy and has little risk of bankruptcy at the moment.
The Altman-Z score of ADI (6.91) is better than 63.72% of its industry peers.
ADI has a debt to FCF ratio of 2.01. This is a good value and a sign of high solvency as ADI would need 2.01 years to pay back of all of its debts.
ADI has a Debt to FCF ratio of 2.01. This is in the better half of the industry: ADI outperforms 69.03% of its industry peers.
ADI has a Debt/Equity ratio of 0.25. This is a healthy value indicating a solid balance between debt and equity.
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 | 2.01 | ||
| Altman-Z | 6.91 |
ROIC/WACC0.56
WACC10.79%
2.3 Liquidity
A Current Ratio of 2.19 indicates that ADI has no problem at all paying its short term obligations.
With a Current ratio value of 2.19, ADI is not doing good in the industry: 72.57% of the companies in the same industry are doing better.
A Quick Ratio of 1.68 indicates that ADI should not have too much problems paying its short term obligations.
The Quick ratio of ADI (1.68) is worse than 67.26% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 2.19 | ||
| Quick Ratio | 1.68 |
3. Growth
3.1 Past
ADI shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 22.10%, which is quite impressive.
The Earnings Per Share has been growing by 9.67% on average over the past years. This is quite good.
The Revenue has grown by 16.89% in the past year. This is quite good.
Measured over the past years, ADI shows a quite strong growth in Revenue. The Revenue has been growing by 14.49% on average per year.
EPS 1Y (TTM)22.1%
EPS 3Y-6.69%
EPS 5Y9.67%
EPS Q2Q%35.33%
Revenue 1Y (TTM)16.89%
Revenue growth 3Y-2.84%
Revenue growth 5Y14.49%
Sales Q2Q%25.9%
3.2 Future
Based on estimates for the next years, ADI will show a very strong growth in Earnings Per Share. The EPS will grow by 20.64% on average per year.
Based on estimates for the next years, ADI will show a quite strong growth in Revenue. The Revenue will grow by 11.20% on average per year.
EPS Next Y27.8%
EPS Next 2Y20.53%
EPS Next 3Y19.13%
EPS Next 5Y20.64%
Revenue Next Year18.97%
Revenue Next 2Y13.56%
Revenue Next 3Y12.69%
Revenue Next 5Y11.2%
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 37.96 indicates a quite expensive valuation of ADI.
ADI's Price/Earnings ratio is a bit cheaper when compared to the industry. ADI is cheaper than 72.57% of the companies in the same industry.
ADI's Price/Earnings ratio indicates a valuation a bit more expensive than the S&P500 average which is at 26.92.
The Price/Forward Earnings ratio is 29.70, which means the current valuation is very expensive for ADI.
Based on the Price/Forward Earnings ratio, ADI is valued a bit cheaper than the industry average as 69.91% of the companies are valued more expensively.
When comparing the Price/Forward Earnings ratio of ADI to the average of the S&P500 Index (23.57), we can say ADI is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.96 | ||
| Fwd PE | 29.7 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of ADI indicates a somewhat cheap valuation: ADI is cheaper than 69.03% of the companies listed in the same industry.
83.19% 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 | 33.84 | ||
| EV/EBITDA | 29.12 |
4.3 Compensation for Growth
The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.
ADI has a very decent profitability rating, which may justify a higher PE ratio.
A more expensive valuation may be justified as ADI's earnings are expected to grow with 19.13% in the coming years.
PEG (NY)1.37
PEG (5Y)3.92
EPS Next 2Y20.53%
EPS Next 3Y19.13%
5. Dividend
5.1 Amount
ADI has a Yearly Dividend Yield of 1.46%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 0.57, ADI pays a better dividend. On top of this ADI pays more dividend than 84.96% of the companies listed in the same industry.
ADI's Dividend Yield is slightly below the S&P500 average, which is at 1.94.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.46% |
5.2 History
The dividend of ADI is nicely growing with an annual growth rate of 10.17%!
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)10.17%
Div Incr Years21
Div Non Decr Years21
5.3 Sustainability
84.88% 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.
DP84.88%
EPS Next 2Y20.53%
EPS Next 3Y19.13%
NASDAQ:ADI (1/8/2026, 10:17:06 AM)
295.69
+2.8 (+0.96%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSemiconductors & Semiconductor Equipment
GICS IndustrySemiconductors & Semiconductor Equipment
Earnings (Last)
Earnings (Next)
Inst Owners93.84%
Inst Owner Change0%
Ins Owners0.05%
Ins Owner Change-7.82%
Market Cap144.78B
Revenue(TTM)11.02B
Net Income(TTM)2.27B
Analysts79.51
Price Target287.18 (-2.88%)
Short Float %2.25%
Short Ratio2.9
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 1.46% |
Yearly Dividend3.9
Dividend Growth(5Y)10.17%
DP84.88%
Div Incr Years21
Div Non Decr Years21
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)2.33%
Min EPS beat(2)0.75%
Max EPS beat(2)3.92%
EPS beat(4)4
Avg EPS beat(4)4.24%
Min EPS beat(4)0.75%
Max EPS beat(4)7.67%
EPS beat(8)8
Avg EPS beat(8)3.99%
EPS beat(12)10
Avg EPS beat(12)2.98%
EPS beat(16)14
Avg EPS beat(16)4%
Revenue beat(2)2
Avg Revenue beat(2)2.08%
Min Revenue beat(2)1.29%
Max Revenue beat(2)2.87%
Revenue beat(4)4
Avg Revenue beat(4)2.51%
Min Revenue beat(4)1.29%
Max Revenue beat(4)4.23%
Revenue beat(8)7
Avg Revenue beat(8)1.52%
Revenue beat(12)9
Avg Revenue beat(12)1.08%
Revenue beat(16)13
Avg Revenue beat(16)1.33%
PT rev (1m)4.8%
PT rev (3m)5.84%
EPS NQ rev (1m)0%
EPS NQ rev (3m)5.81%
EPS NY rev (1m)0.88%
EPS NY rev (3m)5.01%
Revenue NQ rev (1m)0.13%
Revenue NQ rev (3m)4.77%
Revenue NY rev (1m)1.26%
Revenue NY rev (3m)5.1%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 37.96 | ||
| Fwd PE | 29.7 | ||
| P/S | 13.14 | ||
| P/FCF | 33.84 | ||
| P/OCF | 30.09 | ||
| P/B | 4.28 | ||
| P/tB | N/A | ||
| EV/EBITDA | 29.12 |
EPS(TTM)7.79
EY2.63%
EPS(NY)9.96
Fwd EY3.37%
FCF(TTM)8.74
FCFY2.96%
OCF(TTM)9.83
OCFY3.32%
SpS22.51
BVpS69.06
TBVpS-2.33
PEG (NY)1.37
PEG (5Y)3.92
Graham Number110.02
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 4.72% | ||
| ROE | 6.7% | ||
| ROCE | 6.71% | ||
| ROIC | 6.01% | ||
| ROICexc | 6.54% | ||
| ROICexgc | 41.26% | ||
| OM | 27.25% | ||
| PM (TTM) | 20.58% | ||
| GM | 61.47% | ||
| FCFM | 38.83% |
ROA(3y)4.97%
ROA(5y)4.61%
ROE(3y)6.89%
ROE(5y)6.37%
ROIC(3y)5.97%
ROIC(5y)5.69%
ROICexc(3y)6.28%
ROICexc(5y)5.97%
ROICexgc(3y)40.03%
ROICexgc(5y)44.98%
ROCE(3y)6.67%
ROCE(5y)6.33%
ROICexgc growth 3Y-8.68%
ROICexgc growth 5Y-1.94%
ROICexc growth 3Y-3.41%
ROICexc growth 5Y-2.59%
OM growth 3Y-4.17%
OM growth 5Y-0.56%
PM growth 3Y-3.48%
PM growth 5Y-1.14%
GM growth 3Y-0.66%
GM growth 5Y-1.37%
F-Score8
Asset Turnover0.23
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.25 | ||
| Debt/FCF | 2.01 | ||
| Debt/EBITDA | 1.72 | ||
| Cap/Depr | 26.69% | ||
| Cap/Sales | 4.84% | ||
| Interest Coverage | 11.75 | ||
| Cash Conversion | 96.22% | ||
| Profit Quality | 188.71% | ||
| Current Ratio | 2.19 | ||
| Quick Ratio | 1.68 | ||
| Altman-Z | 6.91 |
F-Score8
WACC10.79%
ROIC/WACC0.56
Cap/Depr(3y)38.81%
Cap/Depr(5y)35.77%
Cap/Sales(3y)7.61%
Cap/Sales(5y)6.67%
Profit Quality(3y)162.3%
Profit Quality(5y)159.26%
High Growth Momentum
Growth
EPS 1Y (TTM)22.1%
EPS 3Y-6.69%
EPS 5Y9.67%
EPS Q2Q%35.33%
EPS Next Y27.8%
EPS Next 2Y20.53%
EPS Next 3Y19.13%
EPS Next 5Y20.64%
Revenue 1Y (TTM)16.89%
Revenue growth 3Y-2.84%
Revenue growth 5Y14.49%
Sales Q2Q%25.9%
Revenue Next Year18.97%
Revenue Next 2Y13.56%
Revenue Next 3Y12.69%
Revenue Next 5Y11.2%
EBIT growth 1Y45.04%
EBIT growth 3Y-6.89%
EBIT growth 5Y13.85%
EBIT Next Year57.13%
EBIT Next 3Y23.65%
EBIT Next 5Y20.25%
FCF growth 1Y37.05%
FCF growth 3Y4.25%
FCF growth 5Y18.35%
OCF growth 1Y24.91%
OCF growth 3Y2.45%
OCF growth 5Y19.1%
ANALOG DEVICES INC / ADI FAQ
What is the fundamental rating for ADI stock?
ChartMill assigns a fundamental rating of 6 / 10 to ADI.
What is the valuation status for ADI stock?
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 7 / 10.
Can you provide the financial health for ADI stock?
The financial health rating of ANALOG DEVICES INC (ADI) is 5 / 10.
Is the dividend of ANALOG DEVICES INC sustainable?
The dividend rating of ANALOG DEVICES INC (ADI) is 6 / 10 and the dividend payout ratio is 84.88%.