UBS Lifts Analog Devices (ADI) Target, Keeps Buy Rating

Analog Devices, Inc. (NASDAQ:ADI) is included among the 15 Best Blue-Chip Stocks with Growing Dividends.

On December 8, UBS analyst Timothy Arcuri raised his price target on Analog Devices, Inc. (NASDAQ:ADI) to $320 from $280, keeping a Buy rating on the shares.

In its fiscal Q4 2025 report, Analog Devices, Inc. (NASDAQ:ADI) showed solid growth. Revenue and earnings per share both came in above the midpoint of expectations. Every end market grew by double digits in 2025, helped by strong execution on Maxim revenue synergy targets.

The company also delivered over 20% growth in earnings per share and posted record free cash flow above $4 billion. In Communications, Analog Devices, Inc. (NASDAQ:ADI) had a record year for its data center business, thanks to AI CapEx spending. Wireless communications, which had been weak, “bottomed during the year,” with recovery expected.

In the consumer segment, Analog Devices, Inc. (NASDAQ:ADI) highlighted new products for hearables, wearables, and gaming. Its new Acoustics platform lets ADI triple the value created compared with older designs.

Analog Devices, Inc. (NASDAQ:ADI) is an American company that designs, makes, and sells high-performance semiconductors.

While we acknowledge the potential of ADI as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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