MXIM - Analog Devices upped at Bernstein on tailwind from 'imminent' Maxim deal

With the near- to medium-term view improved after yesterday's earnings, Bernstein upgrades Analog Devices (ADI) from Market Perform to Outperform with a $185 price target.Analyst Stacy Rasgon notes the "continued solid demand 2H comm pickup, and a burgeoning EV narrative."Rasgon says the Maxim Integrated (MXIM) deal looks "imminent," which could "markedly accelerate" cash return, "rapidly" returning ADI to $2-3B with leverage back to 1.5x targets. The combination could potentially drive over $4B in FCF by FY23, which will all be returned to shareholders.Analog Devices shares are up slightly pre-market to $154.36.Related: Yesterday, ADI reported FQ2 beats with upside sales guidance, driven by auto and industiral strength.

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Analog Devices upped at Bernstein on tailwind from 'imminent' Maxim deal