Analog Devices (ADI) To Report Earnings Tomorrow: Here Is What To Expect

Jabin Bastian /
2022/05/17 7:06 am EDT
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Manufacturer of analog chips, Analog Devices (NASDAQ:ADI) will be announcing earnings results tomorrow morning. Here's what to expect.

Last quarter Analog Devices reported revenues of $2.68 billion, up 72.2% year on year, beating analyst revenue expectations by 2.87%. It was a very strong quarter for the company, with a significant improvement in inventory levels and a beat on the bottom line.

Is Analog Devices buy or sell heading into the earnings? Read our full analysis here, it's free.

This quarter analysts are expecting Analog Devices's revenue to grow 70.9% year on year to $2.84 billion, improving on the 26.1% year-over-year increase in revenue the company had recorded in the same quarter last year. Adjusted earnings are expected to come in at $2.11 per share.

Analog Devices Total Revenue

Majority of analysts covering the company have reconfirmed their estimates over the last thirty days, suggesting they are expecting the business to stay the course heading into the earnings. The company only missed Wall St's revenue estimates once over the last two years, and has on average exceeded top line expectations by 2.62%.

Looking at Analog Devices's peers in the analog semiconductors segment, some of them have already reported Q2 earnings results, giving us a hint of what we can expect. Microchip Technology delivered top-line growth of 25.7% year on year, beating analyst estimates by 1.29% and Texas Instruments reported revenues up 14.3% year on year, exceeding estimates by 3.62%. Microchip Technology traded up 3.49% on the results, and Texas Instruments was down 7.51%. Read our full analysis of Microchip Technology's results here and Texas Instruments's results here.

Investors in the analog semiconductors segment have had steady hands going into the earnings, with the stocks down on average 1.25% over the last month. Analog Devices is down 2.13% during the same time, and is heading into the earnings with analyst price target of $201.9, compared to share price of $156.91.

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The author has no position in any of the stocks mentioned.