Jim Cramer on Analog Devices: "I Believe It's Not Worth Buying"

Analog Devices, Inc. (NASDAQ:ADI) is one of the stocks on Jim Cramer’s game plan for the week. Cramer showed mixed feelings about the company’s stock, as he stated:

“Analog Devices reports too, and I’ve been worried about this one because it’s all about the Internet of Things, industrial semiconductors, which have been very, very weak. I believe it’s not worth buying. But if the quarter’s good, get this, I’d like you to buy, well, at least think about buying the stock of Texas Instruments, which is an analog to Analog.”

Analog Devices, Inc. (NASDAQ:ADI) designs and manufactures integrated circuits, sensors, and software that convert, manage, and process analog and digital signals. Kovitz Investment Group Partners, LLC stated the following regarding Analog Devices, Inc. (NASDAQ:ADI) in its second quarter 2025 investor letter:

“We reestablished a position in Analog Devices, Inc. (NASDAQ:ADI) after the stock declined 30% from the point at which we sold it in late February. Analog is a technology leader in the analog semiconductor industry, a specialized market under the larger semiconductor banner. The company is characterized by 70% gross margins and #1 and #2 market positions in key segments within the industry. The company’s principal competitive advantage is its base of 11,000 analog engineers, skilled craftspeople with their education augmented by an average of over 7 years of on-the-job experience. We consider this engineering “asset” irreplaceable. While Analog does have exposure to economically sensitive industries like automotive production, industrial production, and “pro-sumer” electronics, its products are in high demand given that they enable most other cutting-edge technology products and processes that exist. High gross margins provide insulation against tariff effects. Given the better stock price, we think that having exposure to Analog stock over the next 5-7 years will be good for clients.”

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Disclosure: None. This article is originally published at Insider Monkey.