Analog Devices Stock Hits 52-Week High Thanks To Data Center Demand

Analog Devices, Inc. (NASDAQ:ADI) stock gained on Wednesday after the company reported fiscal first-quarter 2026 results.

The company's quarterly revenue increased 30% year-on-year (Y/Y) to $3.16 billion, beating the analyst consensus estimate of $3.12 billion. Adjusted EPS of $2.46 beat the analyst consensus estimate of $2.31.

Analog Devices reported 38% year-over-year growth in Industrial revenue to $1.49 billion.

Automotive revenue rose 8% year over year to $794.4 million.

Consumer revenue increased 27% to $399.81 million.

Communications revenue grew 63% to $476.8 million.

The adjusted gross margin improved by 240 bps to 71.2%.

The adjusted operating margin climbed by 500 bps to 45.5%.

Analog Devices held $4.05 billion in cash and equivalents as of January 31, 2026, generating $1.37 billion in operating cash flow.

Dividend

Analog Devices Board of Directors voted to increase its quarterly dividend by 11% to $1.10 per outstanding share of common stock, marking 22 consecutive years of higher dividends.

Richard Puccio, CFO, pointed out that bookings growth persisted in the first quarter, driven by robust performance in the Industrial sector and record orders in the Data Center segment.

Despite the challenging macroeconomic and geopolitical environment, Puccio noted that ADI's revenue outlook for the second quarter reflects a new high.

Outlook

Analog Devices expects fiscal second-quarter 2026 revenue of $3.40 billion-$3.60 billion, above the analyst consensus estimate of $3.23 billion.

The company projects quarterly adjusted EPS of $2.73-$3.03 above the analyst consensus estimate of $2.46.

ADI Price Action: Analog Devices shares were up 2.60% at $346.27 at the time of publication on Wednesday. The stock is trading at a new 52-week high.

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