Over 87.0% of Analog Devices shares are held by
institutions such as insurance companies. Institutional ownership of Analog Devices refers to the amount of Analog Devices equity owned by mutual funds, pension funds, insurance companies, investment firms, foundations, or other large entities that manage money on behalf of others. Check out our latest analysis of Analog, including its current
ownership diagnostics.
There are currently many different techniques concerning forecasting the market as a whole as well as
predicting future values of individual securities such as Analog Devices. Regardless of method or technology, to accurately forecast the stock market is more a matter of luck rather than a particular technique. Nevertheless, trying to predict the stock market accurately is still an essential part of the overall investment decision process. Using different forecasting techniques and comparing the results might improve your chances of accuracy even though unexpected events may often change the
market sentiment and impact your forecasting results.
Predictive Modules for Analog Devices
Sophisticated investors, who have witnessed
many market ups and downs, anticipate that the market will even out over time. This tendency of Analog Devices' price to converge to an average value over time is called mean reversion. However, historically, high market prices usually discourage investors that believe in mean reversion to invest, while low prices are viewed as an opportunity to buy.
Please note, it is not enough to conduct a financial or market analysis of a single entity such as Analog Devices. Your research has to be compared to or analyzed against Analog Devices' peers to derive any actionable benefits. When done correctly, Analog Devices' competitive analysis will give you plenty of quantitative and qualitative data to validate your investment decisions or develop an entirely new strategy toward taking a position in Analog Devices.
How important is Analog Devices's Liquidity
Analog Devices
financial leverage refers to using borrowed capital as a funding source to finance Analog Devices ongoing operations. It is usually used to expand the firm's asset base and generate returns on borrowed capital. Analog Devices financial leverage is typically calculated by taking the company's all interest-bearing debt and dividing it by total capital. So the higher the debt-to-capital ratio (i.e., financial leverage), the riskier the company. Financial leverage can amplify the potential profits to Analog Devices' owners, but it also increases the potential losses and risk of financial distress, including bankruptcy, if the firm cannot cover its debt costs. The degree of Analog Devices' financial leverage can be measured in several ways, including by ratios such as the debt-to-equity ratio (total debt / total equity), equity multiplier (total assets / total equity), or the debt ratio (total debt / total assets). Please check the
breakdown between Analog Devices's total debt and its cash.
Analog Devices Gross Profit
Analog Devices Gross Profit growth is one of the most critical measures in evaluating the company. The Gross Profit growth rate is calculated simply by comparing Analog Devices previous period's values with its current period's values. Each time period you're measuring should be of equal lengths the increase or decrease, in a company's Gross Profit between two periods. Here we show Analog Devices Gross Profit growth over the last 10 years. Please check Analog Devices'
gross profit and other
fundamental indicators for more details.
Is Analog Devices valued properly by the market?
Analog Devices currently demonstrates below-average downside deviation. It has Information Ratio of 0.09 and Jensen Alpha of 0.28. However, we advise investors to further question Analog Devices expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Analog Devices' stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Analog Devices' stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.
Analog Devices Implied Volatility
Analog Devices' implied volatility exposes the market's sentiment of Analog Devices stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Analog Devices' implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Analog Devices stock will not fluctuate a lot when Analog Devices' options are near their expiration.
Returns Breakdown
| Return on Investment | 12.88 |
| Return on Assets | 0.0676 |
| Return on Equity | 0.11 |
| Return Capital | 0.17 |
| Return on Sales | 0.26 |
Will Analog Devices growth be feasible after the rise?
Analog Devices skewness is up to 0.0. Analog Devices currently demonstrates below-average downside deviation. It has Information Ratio of 0.09 and Jensen Alpha of 0.28. However, we advise investors to further question Analog Devices expected returns to ensure all indicators are consistent with the current outlook about its relatively low value at risk. Understanding different market volatility trends often help investors to time the market. Properly using volatility indicators enable traders to measure Analog Devices' stock risk against market volatility during both bullying and bearish trends. The higher level of volatility that comes with bear markets can directly impact Analog Devices' stock price while adding stress to investors as they watch their shares' value plummet. This usually forces investors to rebalance their portfolios by buying different stocks as prices fall.
Analog Devices Implied Volatility
Analog Devices' implied volatility exposes the market's sentiment of Analog Devices stock's possible movements over time. However, it does not forecast the overall direction of its price. In a nutshell, if Analog Devices' implied volatility is high, the market thinks the stock has potential for high price swings in either direction. On the other hand, the low implied volatility suggests that Analog Devices stock will not fluctuate a lot when Analog Devices' options are near their expiration.
The Current Takeaway on Analog Devices Investment
When is the right time to buy or sell Analog Devices? Buying stocks such as Analog Devices isn't very hard. However, what challenging for most investors is doing it at the right time. Proper
market timing is something most people cannot do without
sophisticated tools, which help to isolate the right opportunities, deliver winning trades and diversify portfolios on a daily basis.
With an optimistic outlook on your 90 days horizon, it may be a good time to trade new shares of Analog or increase your existing holdings in the Stock as it seems the potential growth has not yet been fully factored into the current price. Please use our equity advice module to run different scenarios to ensure your current risk level and investment horizon are fully reflective of your current investing preferences in regards to Analog Devices.
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Vlad Skutelnik is a Macroaxis Contributor. Vlad covers stocks, funds, cryptocurrencies, and ETFs that are traded in North America, focusing primarily on fundamentals, valuation and market volatility. He has many years of experience in fintech, predictive investment analytics, and risk management.
View Profile This story should be regarded as informational only and should not be considered a solicitation to sell or buy any financial products. Macroaxis does not express any opinion as to the present or future value of any investments referred to in this post. This post may not be reproduced without the consent of Macroaxis LLC. Macroaxis LLC and Vlad Skutelnik do not own shares of Analog Devices. Please refer to our
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