Wells Fargo Upgrades Analog Devices to Overweight

Wells Fargo analyst Joe Quatrochi upgraded Analog Devices (NASDAQ: ADI) from Equal Weight to Overweight with a price target of $340.00 (from $265.00).

“Our Call: We upgrade ADI to Overweight from Equal Weight as we expect momentum in the company’s growth markets can support continued above seasonal growth in F2026 and driving upward estimate revisions.

We increase our F2026, F2027 and F2028 revenue / EPS estimates to $13.18B / $10.14, $14.14B / $11.30, & $15.21B / $12.61 (vs. our prior $12.98B / $9.94, $13.56B / $10.77, & $14.26B / $11.75).

While ADI continues to trade at premium relative to its historical multiple at 25x P/E vs.

5-yr median at 23x, we expect continued momentum in industrial and communications (e.g., data center) to remain a key driver of positive estimate revisions.

We raise our PT to $340 based on 29x P/E and 19x EV/EBITDA our C2027 estimates.”

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