ADI

The company's stock price increased, indicating strong performance in the analog sector.

Analogs: Wells likes MPWR/ALGM/ADI into 3Q despite tougher beat/raise expectations

Wells says analog sentiment has cooled, but strong beat/raise expectations still make the group setup demanding; preferred risk/reward is MPWR, ALGM and ADI.

MPWR should beat/raise again, with 2026 Enterprise Data growth now >145% y/y vs. ≥130% prior; ALGM’s ~25% pullback creates a better setup as data-center demand stays strong and auto recovers; ADI should benefit from industrial recovery + DC strength.

Management was notably constructive on cycle duration, with bookings holding steady and approximately 50% of revenue still below prior peaks, suggesting a potential second recovery leg.

The data center segment is a standout, with management sizing incremental analog SAM at $1.0-1.5B/GW, implying a potential $6-7B annual revenue opportunity over the next three years.

Analog market conditions have materially strengthened, with extended lead times, rising supplier decommits, increased pricing, lean inventories, and backlog visibility extending into 1H27.

AI demand is increasingly consuming capacity, coinciding with non-AI end markets recovering, creating a favorable setup for analog stocks.

Cantor's CY28 stretch EPS cases imply significant upside compared to consensus estimates, with ADI projected at $23 versus the consensus of $19.86.

ADI/MCHP/NXPI/TXN/ON: Cantor says go long analog as lead times, pricing and backlog all inflect higher

BMO initiated coverage with an Outperform rating and a $430 price target, anticipating a continued industrial recovery and a turnaround in the automotive sector.

ADI/NVDA/MU/MCHP/SWKS: BMO initiates ADI/NVDA/MU/MCHP at Outperform, SWKS at Market Perform ADI/NVDA/MU/MCHP/SWKS BMO ADI NVDA

BMO starts NVDA at Outperform/$340, highlighting 12+ months of largely sold-out capacity, a differentiated full-stack AI platform and strong margins/FCF; MU at Outperform/$1,300 on a prolonged memory supercycle driven by tight supply and broad-based demand....

Bernstein upgraded the stock to Outperform and raised its price target to $465 from $430, citing broad-based growth and building datacenter upside.

FQ3 was a broad-based beat, and FQ4 guidance significantly exceeded Street expectations, with Industrial, Auto, Comms, and Consumer all projected for positive sequential growth.

Gross margin is guided approximately 150bps higher quarter-over-quarter to approximately 74%, and operating margin of approximately 52% is approximately 200bps above Street.

Bernstein sees the industrial recovery continuing and datacenter becoming a more sustainable growth driver for Comms, supporting upside to forward estimates.

The stock's valuation has de-risked enough to warrant getting off the sidelines, trading in the low-20s on FY27 EPS, with approximately $20 of FY28 EPS viewed as plausible.

The company reported solid Q3 results that beat expectations and provided a better-than-expected Q4 guidance, with revenue midpoint approximately 5% above Street estimates and slightly above the buyside bogey.

Q4 revenue guidance implies approximately 7% sequential growth, significantly exceeding normal seasonality and Street expectations, while also surpassing the buyside bogey.

Upside was driven by strong performance in the Automotive and Communications segments, with Industrial performing as expected.

Margin and EPS guidance for Q4 were better than anticipated, alleviating investor concerns.

Mizuho identified ADI as a leading beneficiary of the 800VDC architecture in AI data centers, which is expected to drive a substantial increase in power semiconductor content.

The analog semiconductor group is well positioned into 2Q earnings, with improving cyclical demand, pricing power, AI-driven content growth, and easing capacity constraints supporting upside to estimates through 2H26.

The company is a preferred name due to underappreciated AI and power exposure, stronger leverage to edge AI and industrial recovery, and attractive valuations.

The stock performed strongly, aligning with a bullish earnings preview for analog semiconductors.

Analog semiconductors are seeing increased demand driven by AI infrastructure expansion and recovery in industrial, automotive, and telecom sectors.

The stock was helped by reports that the company informed customers of extended delivery times for some products, prompting earlier order placements.

ADI +3% helped by reports they send customers a letter saying delivery times for some products extending up to six months and asking customers to place orders ahead of time accordingly. Rest of analogs also strong: STM +4.5%; TXN/MCHP/ON +3-4%

The company is considered a relative winner among Western companies due to its long product cycles, deep customer relationships, and highly integrated solutions, making it well-positioned to defend market share against Chinese competition.

The stock was generally strong.

Analog generally strong: ON +8%; TXN/ADI/STM/NXPI

The company's stock received a boost following STM's positive data center revenue target raise, indicating positive sentiment across the analog space.

BofA highlights the company as a top AI power semiconductor pick, arguing the transition toward 800V AI data center architectures remains materially underappreciated.

BofA notes that the company's acquisition of Empower strengthens its exposure to integrated voltage regulators and AI power delivery, positioning it well for the 800V data center transition.

BofA raised price targets across its top AI power semiconductor picks, including this company, on the view that AI-driven content gains could materially exceed current Street expectations.

grow >6x as SiC/GaN adoption and solid-state transformer infrastructure ramps accelerate. The firm raised PTs across TXN, ADI, and ON on the view that AI-driven content gains could materially exceed current Street expectations.

The analog power trade is strong, with the MS power basket performing well, and analog sentiment has seen the largest rate of change among investors in the AI semi trade recently.

The transition to 800V power solutions for AI racks is underappreciated, and the company is a top pick for AI power.

The company's April quarter revenue exceeded street expectations by 3% and was slightly above internal targets, indicating solid performance.

Gross margins in the April quarter were 73%, surpassing the street's expectation of 72.2%.

The July quarter guidance implies 8% sequential growth at the midpoint, which is in line with internal targets and significantly higher than the 10-year seasonality of +3%.

Implied gross margins for the July quarter are 73%, which is 150 basis points above street estimates.

Strength in the automotive sector drove the positive performance.

The acquisition of Empower Semiconductor enhances its exposure to AI data center power, particularly in integrated voltage regulators and silicon capacitors for next-generation AI processors.

The Empower acquisition is viewed as an extension of ADI's existing power delivery efforts, deepening its position in the growing AI power stack.

Integrated voltage regulators are becoming increasingly crucial as hyperscalers and AI silicon vendors adopt higher-density GPU/ASIC architectures and more efficient power conversion.

The company reported better-than-expected earnings, which were considered solid.

TXN +1%; however NXPI +6%/ON +4% as ADI called out better Auto demand.

The company's stock caught a bid, indicating positive sentiment for analog companies.

The company's stock was strong due to a bullish note indicating B2B bookings are accelerating through mid-March to 1.3x from 1.1x in January, in what is the most tight supply/demand setup since Covid, with pricing inflecting industrywide.

Cantor notes that while the analog industry is showing signs of a “cyclical recovery,” ADI’s AI exposure could support a “beat/raise” performance.

ADI & MCHP: Cantor’s Top Analog Picks Amid Rising Cyclical Optimism

Specifically, the firm says ADI’s AI exposure could support a “beat/raise” performance, while MCHP’s leadership appears “bulled up” on its structural growth prospects. Conversely, the analyst remains on the “sidelines” for ON and TXN, citing concerns

The firm upgrades the stock to Overweight, citing improving analog sentiment on easier 1H26 comps, end-demand-aligned shipments, replacement upside, and broadening enterprise and non-enterprise demand supporting upward estimate revisions.

AMAT / LRCX / KLAC / ADI / MPWR / HDDs / MU / SNDK: Wells Fargo Raises Multiple Names to OW on WFE, Analog, and Memory Upside

Wells Fargo reiterates AMAT as its top semi-cap pick for 2026 and upgrades LRCX and KLAC to Overweight, saying demand data point to tightening logic and memory supply that could drive a WFE acceleration in 2027, with the firm lifting CY26–CY27 WFE estimates...