Analog Devices engages in the design, manufacture, and marketing of analog, mixed-signal, and digital signal processing integrated circuits (ICs) for use in industrial, automotive, consumer, and communication markets worldwide. The company was founded in 1965 and is based in Norwood, Massachusetts.
ADI Price Forecast Based on DCF Valuation
DCF Fair Value Target:
Below please find a table outlining a discounted cash flow forecast for ADI, in which we model out valuation assuming a variety of terminal growth rates. To summarize, we found that Analog Devices Inc ranked in the 40th percentile in terms of potential gain offered. Our DCF analysis suggests the stock is overvalued by about 12.67%. In terms of the factors that were most noteworthy in this DCF analysis for ADI, they are:
ADI's estimated cost of debt, based largely on its market capitalization and its interest coverage ratio, is 2%; for context, that number is higher than 34.53% of tickers in our DCF set.
The weighted average cost of capital for the company is 8. This value is greater than just 23.04% stocks in the Technology sector that generate free cash flow.
Terminal Growth Rate in Free Cash Flow
Return Relative to Current Share Price
Want more companies with a valuation profile/forecast similar to that of Analog Devices Inc? See CRUS, DAKT, DIOD, FIVN, and G.
Under the strategic collaboration, Analog Devices (ADI) and Microsoft will mass produce 3D imaging products and solutions leveraging MSFT's 3D time-of-flight sensor technology.ADI is creating and selling a new product series of 3D ToF imagers, laser drivers, software, and hardware-based depth systems. The products are already being sample tested and the first...
Announcement of Periodic Review: Moody's announces completion of a periodic review of ratings of Analog Devices, Inc. New York, September 21, 2020 -- Moody's Investors Service ("Moody's") has completed a periodic review of the ratings of Analog Devices, Inc. and other ratings that are associated with the same analytical unit. The review was conducted through a portfolio review in which Moody's reassessed the appropriateness of the ratings in the context of the relevant principal methodology(ies), recent developments, and a comparison of the financial and operating profile to similarly rated peers.
Monolithic Power Systems (MPWR) is a relatively small, fabless semiconductor company that focuses on several business lines - among them are automotive, power, and battery management systems. The company's expertise in power management is a strategic advantage when it comes to achieving design wins in electric vehicles ("EV"), autonomous driving,...
Michael Fitzsimmons on Seeking Alpha | September 18, 2020