Citi Raises Analog Target to $250 Amid Solid Profits According to Investing.com

On Wednesday, Citi increased the target price for the company’s shares Analog devices (NASDAQ:) to $250 from the previous $220, maintaining a Buy rating on the stock. The correction comes after the company released financial results and guidance that exceeded market expectations, driven by recovery in the Industrial and Consumer segments, which accounted for 47% and 11% of sales, respectively, in the second quarter of 2024.

Analog Devices had a book-to-bill ratio above 1.0, indicating strong demand for its products. Citi stressed that Analog Devices is poised for significant growth in sales and earnings per share (EPS) during the replenishment period, citing the company’s low resource utilization as a factor that could drive expansion.

The company’s positive outlook on Analog Devices is based on the company’s current performance and near-term growth potential. The new price target suggests Citi’s confidence in the company’s ability to capitalize on market conditions and continue its upward trajectory in sales and EPS.

The company’s recent financial achievements and optimistic forecasts reinforced Citi’s Buy recommendation. The increased price target to $250 reflects the company’s expectations for continued success for Analog Devices in the coming months.

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