With a market cap of $112.4 billion, Analog Devices, Inc. (ADI) is a leading original equipment manufacturer of semiconductor devices, specializing in analog, mixed-signal, and digital signal processing ICs. Its products include data converters, amplifiers, MEMS sensors, RF components, and power ICs, serving industries such as automotive, industrial, healthcare, and communications globally.

Shares of the Wilmington, Massachusetts-based company have underperformed the broader market over the past 52 weeks. ADI stock has risen nearly 7% over this time frame, while the broader S&P 500 Index ($SPX) has rallied 12.7%. However, shares of Analog Devices are up 6.7% on a YTD basis, outpacing SPX's marginal return.

In addition, the semiconductor maker has lagged behind the Technology Select Sector SPDR Fund's (XLK) 12.1% return over the past 52 weeks.

Shares of Analog Devices surged 9.7% on Feb. 19 after the company reported better-than-expected Q1 2025 results, with revenue of $2.4 billion and adjusted EPS of $1.63. Optimism was further fueled by a robust 19% growth in the consumer segment and a positive Q2 forecast, with projected revenue of $2.5 billion and adjusted EPS of $1.68. Additionally, shareholder-focused moves like an 8% dividend increase and a $10 billion share repurchase authorization reinforced confidence.

For the current fiscal year, ending in October 2025, analysts expect ADI's adjusted EPS to grow 11.4% year-over-year to $7.11. The company's earnings surprise history is promising. It beat the consensus estimates in the last four quarters.

Among the 31 analysts covering the stock, the consensus rating is a “Moderate Buy.” That’s based on 20 “Strong Buy” ratings, one “Moderate Buy,” nine “Holds,” and one “Strong Sell.”

On May 12, UBS lowered its price target for Analog Devices to $295 but maintained a “Buy” rating.

As of writing, ADI is trading below the mean price target of $244.11. The Street-high price target of $300 implies a potential upside of 32.9% from the current price levels.