What Is Happening With Analog Devices Stock?
Analog Devices (ADI)’s stock skyrocketed, fueled by a brighter outlook amid a rebounding semiconductor market. With a sharp revenue lift and soaring profit margins, recent analyst upgrades only added fuel to the fire—let’s unpack the key moves behind this 74% surge.
Below is an analytical breakdown of stock movement into key contributing metrics.
| 4212025 | 1162026 | Change | |
|---|---|---|---|
| Stock Price ($) | 172.9 | 300.2 | 73.7% |
| Change Contribution By | LTM | LTM | |
| Total Revenues ($ Mil) | 9,337.6 | 11,019.7 | 18.0% |
| Net Income Margin (%) | 16.7% | 20.6% | 22.9% |
| P/E Multiple | 54.9 | 65.0 | 18.5% |
| Shares Outstanding (Mil) | 496.1 | 490.8 | 1.1% |
| Cumulative Contribution | 73.6% |
So what is happening here? The stock surged 74%, driven by an 18% revenue boost, a 23% rise in net margin, and a 19% jump in P/E multiple. Let’s dig into the key events behind these gains.
Here Is Why Analog Devices Stock Moved
- The Nvidia Threat Masked Inside Cisco’s Results
- Catalysts That Could Propel Advanced Micro Devices Stock to the Moon
- 3 Forces That Could Shake Tesla Stock
- Could FactSet Research Systems Stock’s Cash Flow Spark the Next Rally?
- Should You Pay Attention To Caterpillar Stock’s Momentum?
- Is Royal Caribbean Stock Undervalued Stock Or Value Trap?
- Q2 FY2025 Earnings Beat: ADI reported strong Q2 FY2025 results, beating revenue and EPS expectations, signaling recovery.
- Q3 FY2025 Mixed Results: Q3 FY2025 revenue beat estimates, but EPS lagged, reflecting market volatility.
- Q4 FY2025 & FY26 Outlook: Strong Q4 FY2025 performance and robust Q1 FY2026 guidance fueled investor confidence.
- Semiconductor Market Rebd: Industry recovery, driven by AI and automotive demand, positively impacted ADI.
- Analyst Upgrades/Prc Hike: Analyst upgrades and planned price increases (Feb 2026) boosted future sentiment.
Our Current Assesment Of ADI Stock
Opinion: We currently find ADI stock relatively expensive. Why so? Have a look at the full story. Read Buy or Sell ADI Stock to see what drives our current opinion.
Risk: A good way to gauge risk is by seeing how much ADI stock can fall in major market downturns. It sank nearly 70% in the Dot-Com crash and about 59% during the Global Financial Crisis. More recent shocks hit too — a 34% drop in the Covid pandemic and around 26% in the 2022 inflation surge. Even the smaller sell-offs, like the 2018 correction, sliced 23% off the price. Solid fundamentals matter, but when the market turns south, ADI isn’t immune to sizable dips.
ADI stock may have seen strong gains recently, but investing in a single stock without detailed, thorough analysis can be risky. The Trefis High Quality (HQ) Portfolio, with a collection of 30 stocks, has a track record of comfortably outperforming its benchmark that includes all 3 — the S&P 500, S&P mid-cap, and Russell 2000 indices. Why is that? As a group, HQ Portfolio stocks provided better returns with less risk versus the benchmark index; less of a roller-coaster ride, as evident in HQ Portfolio performance metrics.