- Analog Devices has been more or less keeping pace with the analog sector during this period of stretched lead-times, but has arguably underappreciated long-term growth opportunities.
- Sentiment remains the biggest risk to my view; an eventual correction in lead-times could lead to some temporary weakness in revenue and margin leverage across the sector.
- Long-term core revenue growth of more than 6% and further margin leverage can support a high single-digit return today, but mind the short-term sentiment risk.
For further details see:
Cycle Risks Remain, But Analog Devices Has Solid Long-Term Credentials