Vincent Roche Sells Shares in Analog Devices, Inc.

On March 12th, CEO Vincent Roche of Analog Devices, Inc. (NASDAQ:ADI - Get Free Report) sold 10,000 shares of the company's stock. The average selling price was $209.12, resulting in a total value of $2,091,200.00. After this sale, Roche holds 64,918 shares, which are now valued at roughly $13,575,652.16. This transaction reflects a 13.35% reduction in Roche's ownership stake in the company. The details of this sale were made public in a filing with the Securities and Exchange Commission (SEC).

In addition to this recent sale, Vincent Roche sold another 10,000 shares on January 2nd, at an average price of $215.49, totaling $2,154,900.00.

Current Trading Situation

As of midday trading on Thursday, shares of Analog Devices were down by 1.4%, priced at $203.80. The trading volume reached 2,574,011 shares, which is lower than the average volume of 3,920,038 shares. The company stands with a current ratio of 1.93, a quick ratio of 1.43, and a debt-to-equity ratio of 0.19. Its market capitalization is $101.08 billion, and the stock has a price-to-earnings ratio of 64.90, along with a PEG ratio of 2.85 and a beta of 1.07. Over the last fifty days, the average stock price was $218.37, and the 200-day average was $220.89. Analog Devices has experienced a low of $182.57 and a high of $247.10 in the past year.

Recent Earnings Announcement

Analog Devices reported its latest earnings on February 19th. The semiconductor company achieved earnings of $1.63 per share, surpassing the forecasted $1.54 by $0.09. The total revenue for the quarter reached $2.42 billion, exceeding the expected $2.36 billion. The company's net margin stood at 16.75%, with a return on equity of 8.91%. Despite these gains, the quarterly revenue fell by 3.6% compared to the same quarter last year, where they posted $1.73 EPS. Analysts currently predict an earnings per share of 7.14 for this year.

Dividend Increase

Analog Devices has recently announced a quarterly dividend that will be paid on March 17th to shareholders who were recorded by March 4th. The company will distribute a dividend of $0.99, which shows an increase from the previous dividend of $0.92. This results in an annualized dividend of $3.96 and yields about 1.94%, with an ex-dividend date set for March 4th. The current payout ratio is 126.11%.

Stock Buyback Program

On February 18th, Analog Devices approved a significant stock buyback program allowing it to repurchase up to $10.00 billion in shares. This authorization enables the company to buy back about 9.2% of its stock through open market transactions. Such buyback programs often indicate that the board believes the stock is undervalued.

Analyst Insights

The stock has also attracted attention from several research analysts. Truist Financial increased its price target from $230.00 to $248.00, maintaining a "hold" rating. Oppenheimer reaffirmed their "outperform" rating and raised the price target from $245.00 to $270.00. Morgan Stanley followed suit by boosting their price target from $248.00 to $250.00 while maintaining an "overweight" rating. Maxim Group initiated coverage on Analog Devices with a "buy" rating. Meanwhile, TD Cowen reduced their price objective from $270.00 to $260.00 while still recommending a "buy." The stock has received six "hold" ratings and eighteen "buy" ratings. Current consensus ratings suggest a "Moderate Buy" with a target price averaging $255.41.

Institutional Investment Trends

Several hedge funds have recently adjusted their stakes in Analog Devices. Orion Capital Management LLC and Menard Financial Group LLC both acquired new positions valued at about $27,000 in the fourth quarter. Mainstream Capital Management LLC also obtained a new stake worth approximately $30,000. Cassady Schiller Wealth Management LLC increased its holdings by 63.2%, now owning 142 shares worth $30,000. Institutional investors currently hold about 86.81% of the company's stock.

Company Overview

Analog Devices, Inc. is involved in designing, manufacturing, testing, and marketing integrated circuits (ICs), software, and subsystems. The company operates in the United States and internationally, providing products that convert real-world analog signals into digital data, along with power management and reference items catered to automotive, communications, industrial, and consumer markets.

CEO, Shares, Sale, Stock, Dividend