Stock Analysis on Net

Analog Devices Inc. (NASDAQ:ADI)

Common Stock Valuation Ratios (Price Multiples)

Microsoft Excel

Current Valuation Ratios

Analog Devices Inc., current price multiples

Microsoft Excel
Analog Devices Inc. Advanced Micro Devices Inc. Applied Materials Inc. Broadcom Inc. Intel Corp. KLA Corp. Lam Research Corp. Micron Technology Inc. NVIDIA Corp. ON Semiconductor Corp. Qualcomm Inc. Texas Instruments Inc. Semiconductors & Semiconductor Equipment Information Technology
Selected Financial Data
Current share price (P) $193.33
No. shares of common stock outstanding 495,908,150
Growth rate (g) 3.86%
 
Earnings per share (EPS) $6.68
Next year expected EPS $6.94
Operating profit per share $7.71
Sales per share $24.81
Book value per share (BVPS) $71.72
Valuation Ratios (Price Multiples)
Price to earnings (P/E) 28.92 339.79 25.21 43.40 109.57 27.82 28.07 75.81 14.80 26.10 24.15 88.34 45.75
Price to next year expected earnings 27.85 294.19 18.66 42.98 104.54 19.26 19.90 56.99 12.28 18.59 19.42 77.60 36.35
Price-earnings-growth (PEG) 7.48 21.92 0.72 44.72 22.78 0.63 0.68 2.29 0.72 0.65 0.99 6.38 1.77
Price to operating profit (P/OP) 25.08 723.64 22.58 37.71 1,989.89 23.59 24.46 68.43 12.73 24.24 21.44 81.19 38.47
Price to sales (P/S) 7.79 12.79 6.52 17.06 3.41 8.98 7.26 8.50 37.04 3.91 5.27 8.97 15.31 10.13
Price to book value (P/BV) 2.70 5.19 10.57 25.48 1.75 32.28 15.42 2.99 52.50 4.15 8.75 9.30 12.03 14.61

Based on: 10-K (reporting date: 2023-10-28).

If the company price multiple is lower then the price multiple of benchmark then company stock is relatively undervalued.
Otherwise, if the company price multiple is higher then the price multiple of benchmark then company stock is relatively overvalued.


Historical Valuation Ratios (Summary)

Analog Devices Inc., historical price multiples

Microsoft Excel
Oct 28, 2023 Oct 29, 2022 Oct 30, 2021 Oct 31, 2020 Nov 2, 2019 Nov 3, 2018
Price to earnings (P/E) 27.14 31.21 68.31 41.43 31.04 22.17
Price to operating profit (P/OP) 23.53 26.16 56.12 33.76 24.74 17.62
Price to sales (P/S) 7.31 7.14 12.98 9.03 7.06 5.35
Price to book value (P/BV) 2.53 2.35 2.50 4.22 3.61 3.02

Based on: 10-K (reporting date: 2023-10-28), 10-K (reporting date: 2022-10-29), 10-K (reporting date: 2021-10-30), 10-K (reporting date: 2020-10-31), 10-K (reporting date: 2019-11-02), 10-K (reporting date: 2018-11-03).

Valuation ratio Description The company
P/E ratio The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings. Analog Devices Inc. P/E ratio decreased from 2021 to 2022 and from 2022 to 2023.
P/OP ratio Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. Analog Devices Inc. P/OP ratio decreased from 2021 to 2022 and from 2022 to 2023.
P/S ratio An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. Analog Devices Inc. P/S ratio decreased from 2021 to 2022 but then slightly increased from 2022 to 2023.
P/BV ratio The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company required rate of return and its actual rate of return. Analog Devices Inc. P/BV ratio decreased from 2021 to 2022 but then increased from 2022 to 2023 exceeding 2021 level.

Price to Earnings (P/E)

Analog Devices Inc., historical P/E calculation, comparison to benchmarks

Microsoft Excel
Oct 28, 2023 Oct 29, 2022 Oct 30, 2021 Oct 31, 2020 Nov 2, 2019 Nov 3, 2018
No. shares of common stock outstanding1 496,261,678 509,295,941 525,330,672 369,484,899 368,302,369 370,159,553
Selected Financial Data (US$)
Net income (in thousands) 3,314,579 2,748,561 1,390,422 1,220,761 1,363,011 1,495,432
Earnings per share (EPS)2 6.68 5.40 2.65 3.30 3.70 4.04
Share price1, 3 181.25 168.43 180.79 136.89 114.89 89.58
Valuation Ratio
P/E ratio4 27.14 31.21 68.31 41.43 31.04 22.17
Benchmarks
P/E Ratio, Competitors5
Advanced Micro Devices Inc. 317.27 96.16 45.54 41.66 169.62
Applied Materials Inc. 19.63 13.55 22.05 22.31 20.25 9.75
Broadcom Inc. 36.78 20.70 40.73 66.37 47.09 8.14
Intel Corp. 109.27 14.54 9.85 11.02 13.91
KLA Corp. 20.04 16.89 25.97 25.92 18.44 23.02
Lam Research Corp. 19.27 13.77 21.03 24.22 13.64 11.70
Micron Technology Inc. 6.62 13.38 21.80 7.98 3.40
NVIDIA Corp. 131.68 68.09 78.52 67.57 22.79
ON Semiconductor Corp. 15.18 18.26 25.13 73.60 40.58
Qualcomm Inc. 17.07 9.75 17.15 28.06 22.03
Texas Instruments Inc. 22.24 18.88 20.38 27.95 24.47
P/E Ratio, Sector
Semiconductors & Semiconductor Equipment 46.92 22.77 24.31 25.46 19.37
P/E Ratio, Industry
Information Technology 35.25 26.57 28.96 30.85 22.48

Based on: 10-K (reporting date: 2023-10-28), 10-K (reporting date: 2022-10-29), 10-K (reporting date: 2021-10-30), 10-K (reporting date: 2020-10-31), 10-K (reporting date: 2019-11-02), 10-K (reporting date: 2018-11-03).

1 Data adjusted for splits and stock dividends.

2 2023 Calculation
EPS = Net income ÷ No. shares of common stock outstanding
= 3,314,579,000 ÷ 496,261,678 = 6.68

3 Closing price as at the filing date of Analog Devices Inc. Annual Report.

4 2023 Calculation
P/E ratio = Share price ÷ EPS
= 181.25 ÷ 6.68 = 27.14

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/E ratio The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings. Analog Devices Inc. P/E ratio decreased from 2021 to 2022 and from 2022 to 2023.

Price to Operating Profit (P/OP)

Analog Devices Inc., historical P/OP calculation, comparison to benchmarks

Microsoft Excel
Oct 28, 2023 Oct 29, 2022 Oct 30, 2021 Oct 31, 2020 Nov 2, 2019 Nov 3, 2018
No. shares of common stock outstanding1 496,261,678 509,295,941 525,330,672 369,484,899 368,302,369 370,159,553
Selected Financial Data (US$)
Operating income (in thousands) 3,823,112 3,278,700 1,692,201 1,498,244 1,710,608 1,881,735
Operating profit per share2 7.70 6.44 3.22 4.05 4.64 5.08
Share price1, 3 181.25 168.43 180.79 136.89 114.89 89.58
Valuation Ratio
P/OP ratio4 23.53 26.16 56.12 33.76 24.74 17.62
Benchmarks
P/OP Ratio, Competitors5
Advanced Micro Devices Inc. 675.69 100.42 39.48 75.77 91.66
Applied Materials Inc. 17.58 11.35 18.85 18.50 16.36 6.74
Broadcom Inc. 31.96 16.33 30.77 44.03 36.85 19.42
Intel Corp. 1,984.43 49.91 10.06 9.72 13.29
KLA Corp. 16.99 15.36 21.69 20.99 15.60 12.01
Lam Research Corp. 16.79 11.79 18.34 20.40 12.12 8.66
Micron Technology Inc. 5.93 12.48 19.51 6.83 3.20
NVIDIA Corp. 136.17 66.13 75.05 66.39 24.81
ON Semiconductor Corp. 13.06 14.72 19.70 49.43 19.86
Qualcomm Inc. 15.85 7.95 15.84 23.32 12.60 103.26
Texas Instruments Inc. 19.75 16.29 17.67 26.53 21.46
P/OP Ratio, Sector
Semiconductors & Semiconductor Equipment 43.12 21.12 22.05 22.54 16.64
P/OP Ratio, Industry
Information Technology 29.65 22.44 25.70 26.39 19.60

Based on: 10-K (reporting date: 2023-10-28), 10-K (reporting date: 2022-10-29), 10-K (reporting date: 2021-10-30), 10-K (reporting date: 2020-10-31), 10-K (reporting date: 2019-11-02), 10-K (reporting date: 2018-11-03).

1 Data adjusted for splits and stock dividends.

2 2023 Calculation
Operating profit per share = Operating income ÷ No. shares of common stock outstanding
= 3,823,112,000 ÷ 496,261,678 = 7.70

3 Closing price as at the filing date of Analog Devices Inc. Annual Report.

4 2023 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 181.25 ÷ 7.70 = 23.53

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/OP ratio Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. Analog Devices Inc. P/OP ratio decreased from 2021 to 2022 and from 2022 to 2023.

Price to Sales (P/S)

Analog Devices Inc., historical P/S calculation, comparison to benchmarks

Microsoft Excel
Oct 28, 2023 Oct 29, 2022 Oct 30, 2021 Oct 31, 2020 Nov 2, 2019 Nov 3, 2018
No. shares of common stock outstanding1 496,261,678 509,295,941 525,330,672 369,484,899 368,302,369 370,159,553
Selected Financial Data (US$)
Revenue (in thousands) 12,305,539 12,013,953 7,318,286 5,603,056 5,991,065 6,200,942
Sales per share2 24.80 23.59 13.93 15.16 16.27 16.75
Share price1, 3 181.25 168.43 180.79 136.89 114.89 89.58
Valuation Ratio
P/S ratio4 7.31 7.14 12.98 9.03 7.06 5.35
Benchmarks
P/S Ratio, Competitors5
Advanced Micro Devices Inc. 11.95 5.38 8.76 10.63 8.59
Applied Materials Inc. 5.08 3.43 5.63 4.69 3.75 1.87
Broadcom Inc. 14.46 7.00 9.55 7.40 5.62 4.78
Intel Corp. 3.40 1.85 2.48 2.96 4.07
KLA Corp. 6.47 6.09 7.80 5.43 4.74 4.57
Lam Research Corp. 4.99 3.68 5.62 5.43 3.10 2.51
Micron Technology Inc. 4.94 1.87 2.83 2.73 2.15 1.58
NVIDIA Corp. 21.32 24.67 20.40 17.31 8.06
ON Semiconductor Corp. 4.02 4.17 3.76 3.28 1.56
Qualcomm Inc. 3.45 2.85 4.62 6.20 3.98 3.37
Texas Instruments Inc. 8.26 8.25 8.63 10.81 8.54
P/S Ratio, Sector
Semiconductors & Semiconductor Equipment 8.13 5.78 6.19 5.74 4.64
P/S Ratio, Industry
Information Technology 7.80 6.39 7.39 6.58 4.98

Based on: 10-K (reporting date: 2023-10-28), 10-K (reporting date: 2022-10-29), 10-K (reporting date: 2021-10-30), 10-K (reporting date: 2020-10-31), 10-K (reporting date: 2019-11-02), 10-K (reporting date: 2018-11-03).

1 Data adjusted for splits and stock dividends.

2 2023 Calculation
Sales per share = Revenue ÷ No. shares of common stock outstanding
= 12,305,539,000 ÷ 496,261,678 = 24.80

3 Closing price as at the filing date of Analog Devices Inc. Annual Report.

4 2023 Calculation
P/S ratio = Share price ÷ Sales per share
= 181.25 ÷ 24.80 = 7.31

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/S ratio An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. Analog Devices Inc. P/S ratio decreased from 2021 to 2022 but then slightly increased from 2022 to 2023.

Price to Book Value (P/BV)

Analog Devices Inc., historical P/BV calculation, comparison to benchmarks

Microsoft Excel
Oct 28, 2023 Oct 29, 2022 Oct 30, 2021 Oct 31, 2020 Nov 2, 2019 Nov 3, 2018
No. shares of common stock outstanding1 496,261,678 509,295,941 525,330,672 369,484,899 368,302,369 370,159,553
Selected Financial Data (US$)
Shareholders’ equity (in thousands) 35,565,122 36,465,323 37,992,542 11,997,945 11,709,188 10,988,540
Book value per share (BVPS)2 71.67 71.60 72.32 32.47 31.79 29.69
Share price1, 3 181.25 168.43 180.79 136.89 114.89 89.58
Valuation Ratio
P/BV ratio4 2.53 2.35 2.50 4.22 3.61 3.02
Benchmarks
P/BV Ratio, Competitors5
Advanced Micro Devices Inc. 4.85 2.32 19.21 17.77 20.46
Applied Materials Inc. 8.23 7.25 10.60 7.63 6.67 4.73
Broadcom Inc. 21.59 10.23 10.50 7.40 5.09 3.74
Intel Corp. 1.75 1.15 2.05 2.84 3.78
KLA Corp. 23.25 40.05 15.98 11.83 8.15 11.39
Lam Research Corp. 10.59 10.10 13.64 10.55 6.39 4.28
Micron Technology Inc. 1.74 1.15 1.79 1.50 1.40 1.49
NVIDIA Corp. 26.02 24.95 20.13 15.48 10.10
ON Semiconductor Corp. 4.26 5.61 5.53 4.87 2.60
Qualcomm Inc. 5.72 7.00 15.59 24.00 19.69 82.57
Texas Instruments Inc. 8.57 11.33 11.87 17.02 13.79
P/BV Ratio, Sector
Semiconductors & Semiconductor Equipment 6.39 5.18 6.23 6.13 5.13
P/BV Ratio, Industry
Information Technology 11.26 10.27 12.31 10.87 8.24

Based on: 10-K (reporting date: 2023-10-28), 10-K (reporting date: 2022-10-29), 10-K (reporting date: 2021-10-30), 10-K (reporting date: 2020-10-31), 10-K (reporting date: 2019-11-02), 10-K (reporting date: 2018-11-03).

1 Data adjusted for splits and stock dividends.

2 2023 Calculation
BVPS = Shareholders’ equity ÷ No. shares of common stock outstanding
= 35,565,122,000 ÷ 496,261,678 = 71.67

3 Closing price as at the filing date of Analog Devices Inc. Annual Report.

4 2023 Calculation
P/BV ratio = Share price ÷ BVPS
= 181.25 ÷ 71.67 = 2.53

5 Click competitor name to see calculations.

Valuation ratio Description The company
P/BV ratio The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company required rate of return and its actual rate of return. Analog Devices Inc. P/BV ratio decreased from 2021 to 2022 but then increased from 2022 to 2023 exceeding 2021 level.