Analog Devices (ADI) Stock Hits Record High After Q4 Beat and Wave of Analyst Upgrades

Analog Devices, Inc. (NASDAQ: ADI) continued its post-earnings surge on Wednesday, November 26, 2025, driving to fresh record territory as investors cheered a beat‑and‑raise quarter, robust guidance for 2026 and a barrage of bullish analyst calls.

Analog Devices (ADI) stock price today

As of late trading on Wednesday, Analog Devices shares were changing hands at around $258.50, up roughly 2.5–2.6% on the day from Tuesday’s close near $252.02. ^[1]

Key price metrics for today, November 26, 2025:

Intraday range: roughly $250–$261, with several feeds showing a session high near $260.7. ^[2]
New record: ADI has set fresh all‑time highs, with an Investing.com report highlighting a milestone print at $258.15 earlier in the session. ^[3]
52‑week range: about $158.65 to $260.74, placing today’s trade right at the top of its one‑year band. ^[4]
Market capitalization: roughly $125–126 billion at current levels. ^[5]

The move caps an explosive multi‑day rally. From Friday, November 21’s close near $232.32 to today’s ~$258+, ADI has climbed around 11% in just a few trading sessions, aided by Q4 earnings and guidance that surprised to the upside. ^[6]

Year to date, Analog Devices is now up roughly 22% in 2025, according to Yahoo Finance’s total return figures. ^[7]

What lit the fuse: Q4 2025 beat and a “supercycle” narrative

Analog Devices’ breakout follows its fiscal Q4 2025 and full‑year results, released on Tuesday, November 25, 2025.

Strong Q4 numbers

According to the company’s official release and subsequent analyst summaries:

Q4 revenue:$3.08 billion, up about 26% year‑over‑year from roughly $2.44 billion and ahead of Wall Street estimates. ^[8]
Non‑GAAP EPS:$2.26, up roughly 35% year‑over‑year from $1.67 and beating consensus by a few cents. ^[9]
Margins: adjusted gross margin expanded to about 69.8% and adjusted operating margin to around 43.5%, reflecting solid operating leverage as volumes recovered. ^[10]

Growth was broad‑based across all of ADI’s major end markets: ^[11]

Industrial: ~$1.43 billion (≈46% of revenue), up ~34% year‑on‑year
Automotive: ≈$852 million (~28%), up ~19%
Communications: ≈$390 million (~13%), up ~37%
Consumer: ≈$408 million (~13%), up ~7%

Management highlighted particularly strong momentum in industrial and communications, echoing broader commentary that an “industrial semiconductor supercycle” is gaining traction and lifting pricing power and demand across ADI’s portfolio. ^[12]

For the full fiscal year 2025, ADI delivered: ^[13]

Revenue: about $11.0 billion, up 17% versus 2024
Operating cash flow: roughly $4.8 billion (~44% of revenue)
Free cash flow: about $4.3 billion, or ~39% of revenue

Guidance that beat expectations

Crucially for the stock, Analog Devices paired its strong Q4 print with upbeat guidance for the start of fiscal 2026:

Q1 FY26 revenue outlook: around $3.1 billion ± $100 million, above prior analyst expectations in the ~$2.9–3.0 billion range. ^[14]
Q1 adjusted EPS guidance:~$2.29 ± $0.10, again ahead of consensus estimates in the low $2.10s. ^[15]
Management also flagged healthy bookings and continued momentum in Industrial and Communications, even as it acknowledged ongoing macro uncertainty. ^[16]

Analyst commentary has increasingly framed ADI’s results as a classic “beat‑and‑raise” quarter and evidence that the cyclical recovery in analog and mixed‑signal chips is accelerating into 2026. Some research notes now model around 19% revenue growth in fiscal 2026, with gross margins approaching ~71% by year‑end as mix shifts further toward higher‑value industrial and communications products. ^[17]

Wall Street reaction: target hikes and mostly bullish ratings

Wednesday’s price action is being amplified by a flurry of analyst upgrades and target increases published around the same time as the Q4 report.

Fresh target raises this week

Among the notable moves reported today, November 26, 2025:

Baird raised its price target from $250 to $275 and reiterated an Outperform rating, pointing to management’s positive 2026 outlook and expecting all end markets to grow year‑over‑year, with Industrial and Communications leading the way. ^[18]
Benchmark reaffirmed Buy and maintained a $285 target, noting that ADI is trading close to its 52‑week highs and up over 20% year‑to‑date. ^[19]
Bernstein lifted its target from $240 to $270, maintaining a Market Perform stance but acknowledging a strong recovery in the analog cycle. ^[20]
Wells Fargo maintained an Equal‑Weight rating while raising its target from $250 to $265, citing ongoing strength but a valuation that already discounts much of the good news. ^[21]
Morgan Stanley boosted its target to $293 and kept an Overweight rating, adding to the chorus of large brokers expecting upside into 2026. ^[22]
Evercore ISI trimmed its target from $303 to $282 yet stuck with an Outperform call, framing the move more as a valuation reset after the recent rally than a change in fundamental thesis. ^[23]

An Investing.com roundup of recent research also highlights Wolfe Research’s target lift to $300 and Bank of America’s increased target of $290, with BofA continuing to call Analog Devices one of its top analog semiconductor picks thanks to a mix of cyclical recovery and secular growth. ^[24]

Consensus: “Moderate/Outperform” Buy with high‑$200s target

The broader analyst community remains constructive:

Average 12‑month target estimates cluster in the mid‑to‑high $270s, with various aggregators citing averages from about $275–$282 per share. ^[25]
Most brokers rate ADI a Buy or Outperform. MarketBeat notes a “Moderate Buy” consensus, with roughly 21 of 29 analysts rating the stock a Buy and an average target near $281.87. ^[26]
GuruFocus’ tally shows an average target around $275.20, with a high estimate of $330 and a low near $155, plus an average recommendation equivalent to “Outperform” (2.0 on a 1–5 scale). ^[27]

At the same time, some valuation models flag caution. GuruFocus’ proprietary GF Value places fair value closer to $208, implying potential downside from current prices, while InvestingPro notes ADI is trading at a steep trailing P/E around the mid‑60s, above many peers. ^[28]

Capital returns: dividend, buybacks and “cash‑flow machine” status

A major piece of the bullish story — and a reason many institutional investors stick with ADI through cycles — is its capital‑return strategy.

Dividend growth

From its November 25 update and recent commentary:

ADI’s board declared a quarterly cash dividend of $0.99 per share, payable on December 22, 2025 to shareholders of record on December 8, 2025. ^[29]
At today’s price near $258–259, that works out to a forward dividend yield of roughly 1.5–1.6%. ^[30]
The company has now raised its dividend for about 22 consecutive years, and one recent analysis pegs the dividend’s compound annual growth rate near 10%. ^[31]

A separate piece on ADI’s “robust capital return plan” notes the new dividend alongside authorization for more than $800 million in additional share repurchases, underscoring management’s confidence in long‑term cash generation. ^[32]

Aggressive buybacks and free cash flow

On the buyback and cash‑flow front:

For fiscal 2025, ADI generated about $4.3 billion in free cash flow and returned roughly 96% of that to shareholders via $2.2 billion in share repurchases and $1.9 billion in dividends. ^[33]
MarketBeat’s review emphasizes ADI as a “cash flow and capital return machine,” noting that buybacks reduced share count by roughly 1% in Q4 alone, with repurchases expected to continue. ^[34]

Taken together, the story is of a company that’s not only growing quickly but also returning most of its excess cash to shareholders, a combination that often supports premium valuations.

Technical picture: breakout above a key buy point

From a technical and momentum perspective, ADI is getting attention from growth‑oriented traders as well:

Investor’s Business Daily reports that Analog Devices has joined its “elite list” of stocks with a 95‑plus Composite Rating, raising ADI’s mark to 96, meaning it now outperforms about 96% of all stocks on a blend of fundamental and technical metrics. ^[35]
The same analysis notes an EPS Rating of 89, reflecting robust earnings growth, and describes ADI as forming a flat base with a buy point at $258.13. ^[36]
With today’s trade pushing above that $258.13 level on relatively strong volume and setting new highs up toward $260+, ADI has effectively triggered that breakout zone, at least by classic growth‑stock playbook rules. ^[37]

Short‑term, traders will be watching whether the stock holds above the breakout area and whether volume remains elevated — both common confirmation signals in technical frameworks like IBD’s.

Strategic drivers: industrial, auto, AI – and even defense

Fundamentally, investors are betting that Analog Devices is well‑positioned at the crossroads of several long‑duration themes.

Industrial and communications “supercycle”

MarketBeat characterizes ADI’s latest quarter as evidence that an industrial semiconductor supercycle is gaining momentum, citing: ^[38]

Accelerating revenue growth across industrial and communications customers
Normalized channel inventories, allowing new demand to flow through to sales
A pipeline of design wins tied to automation, robotics, AI at the edge, and next‑gen connectivity

Benzinga’s analyst recap similarly points out that many of ADI’s end markets appear to have bottomed and are now in early recovery, with lean inventories and increased utilization setting the stage for upside to fiscal 2026 expectations. Some analysts now expect all of ADI’s end markets to grow in 2026, with industrial and communications leading the charge. ^[39]

Automotive strength

Several notes highlight automotive as a key contributor:

Q4 automotive revenue grew nearly 20% year‑over‑year, helped by rising chip content per vehicle and ongoing adoption of advanced driver‑assistance, electrification and power‑management solutions. ^[40]
A financial‑data summary today specifically credits auto strength with helping ADI’s Q4 results top estimates and supporting the post‑earnings share move. ^[41]

New product news: GaN amplifier for electronic warfare

Adding to the fundamental narrative, ADI also announced a new high‑performance gallium nitride (GaN) power amplifier, the ADPA1112, on November 26. ^[42]

The device targets electronic warfare and broadband test systems, operating from 1 GHz to 22 GHz with high output power and efficiency, and is built on a GaN process suitable for harsh environments. ^[43]
While any single part is unlikely to move the stock by itself, the launch underscores ADI’s ongoing push into high‑value defense, RF and test‑and‑measurement markets, which tend to be sticky and margin‑rich.

Combined with its well‑established presence in industrial, communications, automotive and consumer devices, these developments support the view of ADI as a diversified analog powerhouse that “bridges the physical and digital worlds” in everything from factory automation to connectivity and mobility. ^[44]

Valuation check: priced for perfection?

Even the bulls acknowledge that at current levels, Analog Devices is not cheap:

Multiple data providers put ADI’s trailing P/E in the mid‑60s, versus lower multiples for many other large‑cap semis. ^[45]
InvestingPro describes the stock as “overvalued at current levels”, noting a P/E around 65 and pointing out that ADI now trades well above some fair‑value models. ^[46]
GuruFocus’ GF Value metric, for example, estimates a one‑year fair value near $207.75, implying downside from the current ~$258 level if growth falls short of expectations. ^[47]

That said, the Street appears willing — for now — to pay a premium for a company delivering:

High‑20s revenue growth in the latest quarter
Mid‑30s EPS growth
High‑60s to low‑70s gross margins
High‑30s to low‑40s free‑cash‑flow margins and a commitment to returning the lion’s share of that cash to shareholders ^[48]

The key question is whether ADI can sustain this growth and margin profile into 2026 and beyond. If the industrial/communications “supercycle” lasts longer than expected, current targets in the high‑$200s or low‑$300s could prove conservative; if not, valuation could become a headwind.

What to watch next for ADI stock

For traders and longer‑term investors following Analog Devices after today’s move, several catalysts and risks stand out:

Execution vs. guidance
- Q1 FY26 results will need to confirm the higher revenue and EPS trajectory the company just laid out. Any misstep could trigger profit‑taking after the recent run.
Macro and rate environment
- Broader indices have been rallying on expectations of another Federal Reserve rate cut, as highlighted in Nasdaq’s market recap, with ADI a notable beneficiary. A reversal in rate‑cut expectations or macro data could weigh on high‑multiple names like ADI. ^[49]
Industrial spending and AI‑related demand
- The bullish thesis leans heavily on ongoing capex in automation, AI at the edge, data‑center infrastructure and 5G/communications. A slowdown in these themes would challenge the “supercycle” narrative. ^[50]
Competition and pricing
- Rivals such as Texas Instruments remain aggressive in core analog markets. A recent comparison piece notes that TI has lagged the Nasdaq this year, but leadership can shift quickly in the sector. ^[51]
Capital‑return policy
- With 96% of free cash flow returned to shareholders in 2025 and a nearly 1.6% yield, any change in dividend growth or buyback pace would be closely scrutinized. ^[52]

Is Analog Devices (ADI) stock a buy after today’s rally?

From a news perspective, November 26, 2025 is about as strong a snapshot as ADI investors could hope for:

A beat‑and‑raise quarter with double‑digit growth in every major segment
Q1 guidance comfortably above consensus
A cluster of target hikes from major Wall Street firms
Record‑high share prices and elite technical rankings
A long history of dividend growth and aggressive buybacks

On the other side of the ledger, valuation is demanding, and some models now flag meaningful downside if the industrial and communications tailwinds fade faster than expected or if execution stumbles.

Whether ADI is a buy, hold or trim at these levels ultimately depends on your risk tolerance, time horizon and view on the 2026 semiconductor cycle. This article is informational only and does not constitute investment advice. Before making any trading or investing decisions, consider your own financial situation and, if needed, consult a qualified financial adviser.

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