Morgan Stanley has revised its price target for Analog Devices (ADI, Financial), lowering it from $250 to $214. The firm maintains its Overweight rating on the stock despite the adjustment. This change comes as the analog sector is already seven months into its current upcycle, yet showing limited recovery signs. Specifically, Analog Devices has experienced only a modest 2-point improvement, compared to the typical 13-point gain observed in previous cycles.
A recent survey among distributors revealed that market indicators are not promising. Expectations for quarter-over-quarter growth leading into the June quarter remain largely unchanged from the March quarter. Furthermore, most respondents anticipate that the performance for the quarter ending in June will be either in line with or weaker than usual seasonal trends. This cautious outlook reflects the broader challenges facing the analog device market.
Wall Street Analysts Forecast
Based on the one-year price targets offered by 26 analysts, the average target price for Analog Devices Inc (ADI, Financial) is $245.59 with a high estimate of $300.00 and a low estimate of $192.00. The average target implies an upside of 39.33% from the current price of $176.27. More detailed estimate data can be found on the Analog Devices Inc (ADI) Forecast page.
Based on the consensus recommendation from 32 brokerage firms, Analog Devices Inc's (ADI, Financial) average brokerage recommendation is currently 2.1, indicating "Outperform" status. The rating scale ranges from 1 to 5, where 1 signifies Strong Buy, and 5 denotes Sell.
Based on GuruFocus estimates, the estimated GF Value for Analog Devices Inc (ADI, Financial) in one year is $176.50, suggesting a upside of 0.13% from the current price of $176.27. GF Value is GuruFocus' estimate of the fair value that the stock should be traded at. It is calculated based on the historical multiples the stock has traded at previously, as well as past business growth and the future estimates of the business' performance. More detailed data can be found on the Analog Devices Inc (ADI) Summary page.
