Analog Devices, Inc.

NASDAQ Global Select
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Bullish +65

Analog Devices, Inc. $ADI Shares Sold by Dimensional Fund Advisors LP

AI-generated analysis

📉 Dimensional Fund Advisors LP reduced its ADI stake by 1.6% (38,101 shares) in Q1 2026, holding $740.9 million worth of the stock.

📈 Vanguard Group boosted its position by 1.0% to own over $13.8 billion in ADI shares during the fourth quarter.

🏦 Bank of America Corp DE significantly increased its stake by 42.8%, purchasing an additional 2.9 million shares worth $2.6 billion.

📊 Q1 2026 revenue reached $3.62 billion, representing a 37.2% year-over-year increase compared to analyst expectations of $3.51 billion.

💰 The company reported earnings per share of $3.09, topping the consensus estimate of $2.89 by $0.20.

🎯 Analyst consensus target price is set at $441.00, with Wells Fargo raising its objective to $515.00 and an 'overweight' rating.

💵 ADI declared a quarterly dividend of $1.10 per share paid on June 16th, resulting in a 1.2% annualized yield.

📉 Insiders sold shares recently, with CEO Vincent Roche selling 30,000 shares and SVP Martin Cotter selling 17,594 shares.

🏛️ Institutional ownership stands at 86.81%, indicating strong hedge fund and mutual fund participation in the stock.

📈 The stock trades at a P/E ratio of 55.77 with a market capitalization of $182.83 billion.

Bullish Signals
  • Revenue surged 37.2% year-over-year to $3.62 billion, significantly exceeding analyst expectations of $3.51 billion.
  • Earnings per share beat consensus estimates by $0.20, reaching $3.09 versus the expected $2.89.
  • Net margin expanded to 26.01% and return on equity reached 14.37% for the quarter.
  • Major institutional investors including Vanguard, State Street, Morgan Stanley, Bank of America, and Norges Bank increased their holdings.
  • Analyst consensus target price is $441.00, with multiple major firms raising targets to between $450 and $515.
  • The stock has a strong technical setup, trading above its 200-day moving average of $357.54.
  • Balance sheet remains robust with a low debt-to-equity ratio of 0.21 and a healthy current ratio of 1.75.
Risk Factors
  • Insiders sold shares recently, with CEO Vincent Roche reducing his position by 17.91% and SVP Martin Cotter decreasing ownership by 23.80%.
  • Total insider selling over the last three months amounted to $42 million in company stock.
Full Analysis
Analog Devices, Inc. (ADI) saw mixed institutional activity in the first quarter of 2026, with Dimensional Fund Advisors LP trimming its stake by 1.6% to hold approximately $740.9 million worth of shares. Conversely, major investors including Vanguard Group, State Street Corp, Morgan Stanley, Bank of America, and Norges Bank increased their positions, collectively signaling strong institutional confidence in the semiconductor leader. Analyst sentiment remains robust with a consensus 'Moderate Buy' rating and an average target price of $441.00, significantly higher than recent trading levels. Major firms like Robert W. Baird, Evercore, and Wells Fargo raised their price targets to between $450 and $515, citing strong fundamentals. The stock currently trades with a P/E ratio of 55.77 and has recently outperformed its 200-day moving average. Financially, ADI reported impressive Q1 results with revenue surging 37.2% year-over-year to $3.62 billion, beating consensus estimates by $110 million. The company posted earnings per share of $3.09 against expectations of $2.89, achieving a net margin of 26.01%. Management has provided Q3 guidance for EPS between $3.15 and $3.45, while insiders have sold shares recently, though institutional accumulation continues to outweigh insider selling. The company maintains a strong balance sheet with a debt-to-equity ratio of 0.21 and a current ratio of 1.75. It recently declared a quarterly dividend of $1.10 per share, yielding 1.2% on an annualized basis. As a leading supplier of analog and mixed-signal integrated circuits, ADI continues to serve global markets with a diverse portfolio including data converters, RF components, and sensors.