Why Analog Devices Is Poised to Outperform

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, semiconductor company Analog Devices has earned a respected four-star ranking.

With that in mind, let's take a closer look at Analog Devices and see what CAPS investors are saying about the stock right now.

Analog Devicesfacts

Headquarters (founded)

Norwood, Mass. (1965)

Market Cap

$12.7 billion

Industry

Semiconductors

Trailing-12-Month Revenue

$2.7 billion

Management

CEO Jerald Fishman (since 1996)
CFO David Zinsner (since 2009)

Return on Equity (average, past 3 years)

21.9%

Cash/Debt

$3.9 billion / $821.6 million

Dividend Yield

2.8%

Competitors

NXP Semiconductors
STMicroelectronics
Texas Instruments


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 92% of the 405 members who have rated Analog Devices believe the stock will outperform the S&P 500 going forward.

Earlier this month, one of those Fools, Acolin, helped bring the opportunity to our community's attention:

Thirteen billion dollar Analog Devices designs, manufactures and markets analog, mixed-signal and digital signal processing integrated circuits used in virtually all types of electronic equipment. This stock will pay Fools to hold it as they gain higher prices! [Analog Devices] pays almost 3% in a dividend. ... P/E is average 19. P/S and P/B ratios are 4.4 and 3.

If you want market-thumping returns, you need to put together the best portfolio you can. Of course, despite a strong four-star rating, Analog Devices may not be your top choice.

If you're looking for other great stock ideas for your portfolio, start by getting the inside scoop on what Motley Fool superinvestor David Gardner will be buying this year. He's crushed the market in his Stock Advisor and Rule Breakers portfolios for years, and now you can get a personal tour of his flagship stock picking service: Supernova. Just click here now for instant access.

Want to see how well (or not so well) the stocks in this series are performing? Follow the TrackPoisedTo CAPS account.

The article Why Analog Devices Is Poised to Outperform originally appeared on Fool.com.

Fool contributor Brian Pacampara has no position in any stocks mentioned. The Motley Fool recommends NXP Semiconductors . Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Copyright © 1995 - 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Advertisement