Analog Devices(US:ADI) Zhi Tong Cai Jing·2025-11-25 13:45Core Viewpoint - Analog Devices, Inc. (ADI) has reported strong financial results, indicating a robust recovery in demand for analog chips, particularly driven by electric vehicles and industrial applications, as well as the integration of generative AI into various sectors [1][3][5]. Financial Performance - For Q4, ADI reported total revenue of approximately $3.076 billion, representing a year-over-year growth of 26%, exceeding Wall Street's expectations by about $60 million [2]. - The company's adjusted earnings per share (EPS) for Q4 were $2.26, reflecting a 35% year-over-year increase and surpassing analyst expectations by approximately $0.03 [2]. - For the first quarter of fiscal year 2026, ADI expects revenue to reach $3.1 billion, exceeding the average analyst forecast of $2.98 billion, with an anticipated adjusted EPS of $2.29, higher than the expected $2.18 [1][2]. Market Segments - All end markets showed growth, with electric vehicles and smart driving significantly contributing to revenue increases [2][3]. - Breakdown of Q4 performance by market: - Industrial revenue was approximately $1.43 billion, a 34% year-over-year increase, though slightly below market expectations [2]. - Communication revenue was about $390 million, up 37% year-over-year, slightly above expectations [2]. - Automotive revenue reached approximately $852 million, significantly exceeding expectations and showing a 19% year-over-year growth [2]. - Consumer electronics revenue grew by 7% to $408 million, slightly above market expectations [2]. Industry Outlook - The analog chip industry is experiencing a comprehensive recovery, driven by increasing demand in key markets such as automotive and industrial sectors, alongside the growing integration of AI functionalities in consumer electronics [3][5]. - ADI's CEO highlighted the company's strong performance as a testament to its business model's resilience and commitment to delivering value to shareholders [3]. - Citigroup has expressed a bullish long-term outlook on ADI, rating it as a preferred stock in the semiconductor sector, with a target price of $290 within 12 months [5].