Analog Devices (ADI) ended the recent trading session at $218.06, demonstrating a -0.01% swing from the preceding day's closing price. This change was narrower than the S&P 500's daily loss of 0.04%. Meanwhile, the Dow gained 0.07%, and the Nasdaq, a tech-heavy index, lost 0.05%.

The semiconductor maker's stock has climbed by 0.42% in the past month, falling short of the Computer and Technology sector's gain of 5.93% and the S&P 500's gain of 1.05%.

Market participants will be closely following the financial results of Analog Devices in its upcoming release. It is anticipated that the company will report an EPS of $1.54, marking a 10.98% fall compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $2.36 billion, reflecting a 6.18% fall from the equivalent quarter last year.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $7.11 per share and a revenue of $10.17 billion, representing changes of +11.44% and +7.88%, respectively, from the prior year.

Investors should also note any recent changes to analyst estimates for Analog Devices. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.

Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 4.86% lower. Right now, Analog Devices possesses a Zacks Rank of #3 (Hold).

Looking at valuation, Analog Devices is presently trading at a Forward P/E ratio of 30.68. This valuation marks a discount compared to its industry's average Forward P/E of 36.81.

We can additionally observe that ADI currently boasts a PEG ratio of 2.49. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Semiconductor - Analog and Mixed industry had an average PEG ratio of 2.58 as trading concluded yesterday.

The Semiconductor - Analog and Mixed industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 141, which puts it in the bottom 44% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.

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Analog Devices, Inc. (ADI) : Free Stock Analysis Report

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