Analog Devices Q1 Earnings: Revenue Decline Offset by Automotive Growth and Dividend Hike
Portfolio Pulse from Anusuya Lahiri
Analog Devices, Inc (NASDAQ:ADI) reported Q1 fiscal 2024 results with a revenue decline of 22.7% Y/Y to $2.513 billion, slightly beating consensus. Adjusted EPS was $1.73, above the consensus of $1.71. The company saw a decline in Industrial and Communications revenue, but Automotive revenue grew by 9% Y/Y. The adjusted gross and operating margins declined due to lower revenue. The quarterly dividend was raised by 7% to $0.92 per share. The outlook for Q2 revenue and adjusted EPS is below consensus. ADI's stock traded higher by 1.66% to $192.49, with an average 1-year price target of $201.0.
February 21, 2024 | 5:17 pm
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Analog Devices reported a revenue decline but beat earnings consensus and raised its dividend. Q2 outlook is below consensus. Stock traded higher by 1.66%.
Despite the revenue decline, the earnings beat and dividend hike are positive signals for investors, leading to a short-term positive impact on ADI's stock. However, the lower-than-expected outlook for Q2 might temper the optimism slightly.
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