Jim Hin Kwong Au, an analyst from DBS, maintained the Buy rating on Analog Devices (ADI – Research Report). The associated price target is $287.00.
Jim Hin Kwong Au has given his Buy rating due to a combination of factors including Analog Devices’ strong growth prospects and strategic positioning in key markets. The company is expected to see a significant recovery in revenue and earnings, driven by increased demand in the industrial and automotive sectors, particularly with the rise of AI-driven power solutions and the strength of the Chinese electric vehicle market.
Additionally, the acquisition of Maxim has enhanced ADI’s product offerings and market reach, allowing it to capitalize on the growing demand for chips in the automotive and data center markets. The company’s diversified portfolio and strong cash flow support a robust dividend payout, which is projected to grow at a healthy rate over the coming years. These factors, combined with a favorable valuation and strong market performance, underpin the Buy rating with a target price of $287 per share.
In another report released on February 20, J.P. Morgan also maintained a Buy rating on the stock with a $300.00 price target.