Analog Devices Q4 Results Down, Yet Beat Market; Issues Q1 View; Stock Up - Update

(RTTNews) - Semiconductor company Analog Devices Inc. (ADI), while reporting weak earnings and revenues in its fourth quarter, but above market estimates, on Tuesday issued forecast for its first quarter.

In pre-market activity on the Nasdaq, the shares were gaining around 5.6 percent to trade at $236.01.

For the first quarter of fiscal 2025, the company projects earnings per share to be $0.80, plus or minus $0.10, and adjusted earnings per share to be $1.53, plus or minus $0.10.

Revenue for the quarter is projected to be $2.35 billion, plus or minus $100 million.

Analysts on average expect the company to report earnings of $1.57 per share on revenues of $2.34 billion, according to figures compiled by Thomson Reuters. Analysts' estimates typically exclude special items.

At the midpoint of the revenue outlook, the company expects reported operating margin of around 22 percent, plus or minus 130 bps, and adjusted operating margin of around 40 percent, plus or minus 100 bps.

Further, the ADI Board of Directors has declared a quarterly cash dividend of $0.92 per share. The dividend will be paid on December 20 to all shareholders of record at the close of business on December 9.

In its fourth quarter, Analog Devices' earnings totaled $478.07 million or $0.96 per share, compared to $498.43 million or $1.00 per share last year.

Adjusted earnings were $1.67 per share for the period, compared to $2.01 per share last year. Analysts had expected the company to earn $1.64 per share.

The company's revenue for the quarter fell 10.1 percent to $2.443 billion from $2.716 billion last year. The Street was looking for revenues of $2.41 billion.

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