⚡What does Analog Devices do, in 30 seconds?
Analog Devices makes chips such as data converters, amplifiers, power chips and sensors, with more than 75,000 products in all 13. It sold $11.0bn ✓ in FY2025. Industrial customers made up 45% ✓ of that, and the car market another 30% ✓.
📱What does Analog Devices sell?
Analog Devices reports its sales in four markets, and Industrial is by far the biggest. Here is what it sells into each one and who buys it.
Industrial
Chips for factory robots and automation, test and measurement gear, and defence systems such as radar 1. They also go into medical scanners such as ultrasound and MRI, and into utility meters and solar inverters 1. This market brought in $4.9bn ✓ in FY2025.
👥 Makers of factory, medical, defence and energy equipment, often buying through distributors 3.
Automotive
Chips that monitor and manage car batteries, run in-car audio and voice, carry video and network data, and manage power 1. This market brought in $3.3bn ✓ in FY2025.
👥 Car makers and the companies that build parts for them.
Consumer
Chips for smartphones, tablets, wearables, headphones and earbuds, plus professional audio and video gear 1. This market brought in $1.4bn ✓ in FY2025.
👥 Makers of phones, gadgets and studio equipment.
Communications
Chips for mobile phone base stations, microwave links and broadband gear, plus power and optical parts for data centres 1. In FY2025, this market brought in $1.4bn ✓. In the quarter to August 2026, data centres grew fastest here, driven by AI spending 45.
👥 Makers of telecom equipment and companies building data centres.
How the mix has shifted
Where the customers are
The United States and China are Analog Devices' two biggest markets. The United States took 29% ✓ of FY2025 sales and China 26% ✓. Europe added 21% ✓, the rest of Asia 13% ✓ and Japan 9% ✓. The company says US export rules limit its sales to some Chinese firms and have hurt its revenue in China 24.
💸How does Analog Devices make money?
Follow the money from left to rightfrom top to bottom: what customers pay for, what it costs to make, and what is left as profit.
Analog Devices sold $11.0bn ✓ of chips in FY2025. Making those chips cost $4.2bn ✓. What is left is gross profit, the money kept after paying for what was sold. That came to $6.8bn ✓.
Next come the costs of running the company. Research and development took $1.8bn ✓, and sales, marketing and admin took $1.3bn ✓. Other operating costs took $0.8bn ✓. That left operating profit, the profit from the main business, of $2.9bn ✓. Interest and other items came to -$0.2bn ✓, and tax took $0.4bn ✓. Net income was $2.3bn ✓. Put simply, out of every hundred dollars of sales, Analog Devices kept about $21 ✓ as profit.
Out of every $100 customers paid in FY2025…
⏱️ Analog Devices by the clock
Spread the FY2025 totals evenly over its 364 days and you get this. Source: ANALOG DEVICES INC 10-K [6].
📈How is Analog Devices doing?
Analog Devices has grown a lot over ten years, but in jumps rather than in a straight line. From FY2015 to FY2025, sales grew 12.4% ✓ a year on average. Sales rose in 6 ✓ of those 10 ✓ years. Two big leaps did much of the work: 53.3% ✓ in FY2017 and 64.2% ✓ in FY2022. Then sales growth was -23.4% ✓ in FY2024, before a rebound of 16.9% ✓ in FY2025. Gross margin slipped from 65.8% ✓ to 61.5% ✓, while operating margin was 26.6% ✓ in FY2025.
The latest four quarters, to 1 August 2026, look much stronger. Sales reached $13.9bn ✓, up 33.6% ✓ on the four quarters before. In the quarter to August alone, revenue was $4,022 million, up 40% on a year earlier 45. Operating margin rose to 35.5% ✓, and free cash flow reached $4.9bn ✓. For the last quarter of FY2026, the company forecast revenue of $4.3 billion, give or take $100 million 5.
📝 The report card
Analog Devices earns top marks for cash and a good mark for profit, but low marks for growth, its balance sheet and steadiness. Every company is graded on the same fixed scale, so an A means the same thing on every page. The strip shows where Analog Devices (orange) and its 4 peers land; further right is better.
Growth
Analog Devices' sales growth was -2.8% ✓ a year over its last three fiscal years, which earns an F ✓. That is because FY2025 sales of $11.0bn ✓ were still below the $12.0bn ✓ of FY2022. Most peers also shrank, such as Texas Instruments at -4.1% ✓, while Broadcom grew 24.4% ✓ a year, good for an A ✓.
Why this measure? (higher is better)
Growing sales is the engine of a business. Mature giants rarely grow fast, so 5% a year already earns a C.
Profitability
Over the last three years combined, Analog Devices kept 26.8% ✓ of sales as operating profit, which earns a B ✓. NXP is about level at 26.5% ✓, while Texas Instruments keeps more at 37.0% ✓.
Why this measure? (higher is better)
Operating margin is the share of each sales dollar left after running the business. Software and platforms often clear 30%; hardware makers usually sit below 10%.
Cash generation
Over the last three years combined, Analog Devices turned 33.5% ✓ of sales into free cash flow, comfortably an A ✓. Among its peers, only Broadcom did better, at 42.3% ✓.
Why this measure? (higher is better)
Free cash flow is the cash left after paying for factories, data centres and equipment. It funds dividends, buybacks and new bets.
Balance sheet
Analog Devices' cash and investments minus its borrowings (leases not counted) came to -44.8% ✓ of a year's sales, which earns an F ✓. Net cash stood at -$4.9bn ✓ at the end of FY2025 and -$6.8bn ✓ by 1 August 2026. Even so, it ranks 1 ✓ of 5 ✓, because every peer has even less net cash for its size, such as Microchip at -111.5% ✓.
Why this measure? (higher is better)
More cash than debt gives a company room to ride out bad years. Some debt is normal; a lot of it makes a company fragile.
Steadiness
Analog Devices' yearly growth swings with a standard deviation of 27.5% ✓, which earns an F ✓. Big jumps such as 64.2% ✓ in FY2022 and falls such as FY2024's -23.4% ✓ add to that. The company says its revenue moves with the chip industry cycle 12. Microchip swings about as much, at 27.0% ✓.
Why this measure? (lower is better)
Steady growers are easier to plan around. Big swings mean sales depend on product cycles, the economy or one-off events.
🧑🏫 How the grades work
- Same scale for everyone. Each measure has fixed cut-offs (shown under each strip). Clear the A line and you get an A, whatever your peers do.
- Three years together. Profitability and cash generation add up the last three fiscal years before dividing, so one unusual year counts for less than it would on its own (a year much bigger than the others still weighs most).
- Peers for context. The rank shows how Analog Devices compares with the group. Companies within 0.1 percentage point share a rank.
- Same source. Every company's figures come from its own latest annual report (10-K), so fiscal years end in different months.
- Judgement, openly stated. The cut-offs are QuantVantage.ai's view of what good looks like for a large, established company. They are not a forecast or a recommendation.
11 years at a glance
Where the cash goes
From FY2015 to FY2025, Analog Devices handed back almost all of its free cash flow. It spent $24.7bn ✓ on dividends and buybacks, against $26.0bn ✓ of free cash flow. In FY2025, payouts equalled 96% ✓ of free cash flow. In August 2026, the board raised the quarterly dividend to $1.10 per share, from $0.99 in November 2025 413.
🧮Ratios 101: what are Analog Devices' key financial ratios?
Ratios shrink Analog Devices' numbers into easy comparisons, and a few show how large its balance sheet is next to its yearly sales. A ratio divides one number by another so companies of any size can be compared. Each card shows the formula with Analog Devices' real FY2025 numbers, the peer median and the trend.
💰 Profitability: how much of each sale is kept?
Gross margin
What is left from each sale after paying to make the product or deliver the service.
👉 At 61.5% ✓, down from 65.8% ✓ in FY2015, Analog Devices still beats the 57.4% ✓ peer median.
📏 Rule of thumb: Above 40% usually signals pricing power or a big software or services mix.
Operating margin
What is left after also paying for research, marketing and running the company.
👉 Analog Devices' 26.6% ✓ is up from 24.2% ✓ in FY2015 but below the 29.4% ✓ peer median.
📏 Rule of thumb: Above 20% is strong for a large company.
Net margin
The bottom line: profit after interest and taxes, per dollar of sales.
👉 Analog Devices keeps 20.6% ✓ of sales as final profit, about the same as 20.3% ✓ in FY2015 and a little below the 22.4% ✓ peer median.
📏 Rule of thumb: Above 15% is strong; one-off tax items can move it in a single year.
Return on equity (ROE)
Profit earned for each dollar that shareholders have left in the company.
👉 ROE of 6.7% ✓ is less than half its 13.7% ✓ of FY2015 and far below the 24.3% ✓ peer median, partly because shareholders' equity is large, at $33.8bn ✓.
📏 Rule of thumb: Around 15% or more is good, but buybacks shrink equity and can make ROE look huge.
⚙️ Efficiency: how hard do the assets work?
Return on assets (ROA)
Profit earned from everything the company owns, however it was paid for.
👉 ROA of 4.7% ✓, down from 9.9% ✓ in FY2015, trails the 10.6% ✓ peer median, as total assets reach $48.0bn ✓.
📏 Rule of thumb: Above 10% is strong; banks and factories usually earn less.
Asset turnover
Dollars of sales squeezed out of each dollar of assets.
👉 Analog Devices' sales are 0.2x ✓ the value of everything it owns, down from 0.5x ✓ in FY2015 and below the 0.4x ✓ peer median.
📏 Rule of thumb: Retailers often top 2x; asset-heavy businesses can sit below 0.5x.
Inventory days
How many days of products sit in warehouses before they are sold.
👉 Analog Devices holds 142 ✓ days of stock, up from 128 ✓ in FY2015 but below the peer median of 180 ✓ days.
📏 Rule of thumb: Fewer days means less cash tied up and less risk of products going stale.
🛟 Safety: could it survive a bad year?
Current ratio
Can short-term assets (cash, money owed by customers, stock) pay the bills due within a year?
👉 At 2.2x ✓, short-term assets cover short-term bills about twice, close to the 2.1x ✓ peer median but below its own 3.7x ✓ in FY2015.
📏 Rule of thumb: Above 1.0x is the classic comfort line, but cash-rich giants can run below it on purpose.
Debt to equity
How much the company has borrowed for each dollar shareholders have in it.
👉 Analog Devices' 0.3x ✓, against 0.1x ✓ in FY2015 and a 0.9x ✓ peer median, shows $8.6bn ✓ of debt set against a large equity base.
📏 Rule of thumb: Below 1.0x is conservative. Like ROE, it can rise when buybacks shrink equity, even if debt has not changed.
Interest cover
How many times over operating profit could pay the year's interest bill.
👉 Operating profit covers interest 9.2x ✓, above the 6.5x ✓ peer median but well down from 30.7x ✓ in FY2015. Interest cost $0.3bn ✓ in FY2025.
📏 Rule of thumb: Above 5x is comfortable; below 2x is a warning sign.
💵 Cash and owners: where does the money end up?
Cash conversion
Does reported profit turn into real cash? Free cash flow is operating cash minus capital spending.
👉 Analog Devices turns profit into cash at 1.9x ✓, above the 1.2x ✓ peer median, with $4.3bn ✓ of free cash flow against $2.3bn ✓ of net income.
📏 Rule of thumb: Near or above 1.0x means profits are backed by cash.
R&D intensity
How much of each sales dollar goes into inventing future products.
👉 Analog Devices spends 16.0% ✓ of sales on R&D, down from 18.6% ✓ in FY2015 and below the 18.2% ✓ peer median.
📏 Rule of thumb: Tech companies often spend 10% to 20%; more is not always better if it does not pay off.
Stock pay
Pay given to staff in shares instead of cash. It is a real cost to owners because it adds shares.
👉 Stock pay is 2.9% ✓ of sales, below the 4.6% ✓ peer median but up from 2.0% ✓ in FY2015.
📏 Rule of thumb: Under 5% of sales is modest for a tech company.
Shareholder payout
How much of the year's profit was handed back to owners.
👉 Analog Devices returned 180.3% ✓ of FY2025 profit, above the 112.3% ✓ peer median, yet only 96% ✓ of its larger free cash flow.
📏 Rule of thumb: Above 100% means it returned more than it earned, using cash savings or debt.
Ratios use fiscal-year-end balance sheet values. Inputs are shown rounded, so dividing them can differ from the result in the last digit. A peer median leaves out peers that do not report the inputs, or where the ratio means nothing (for example, negative shareholders' equity). Rules of thumb are general guides from QuantVantage.ai, not hard limits. No share-price ratios (like price-to-earnings) are shown on this page.
🥊Who are Analog Devices' competitors?
Analog Devices' closest rivals are other big makers of analog and car chips. Texas Instruments sells many of the same analog chips 151617. NXP and Microchip compete in car and analog chips 201 1819, and Broadcom overlaps in a few industrial parts 1413.
| Company | Where they compete | Revenue | Growth/yr (3y) | Op. margin | FCF margin |
|---|---|---|---|---|---|
| Analog Devices (ADI, FY2025) | Data converters, amplifiers, power chips, sensors and signal processors 13 | $11.0bn | -2.8% | 26.6% | 38.8% |
| Broadcom (AVGO, FY2025) | Industrial isolation chips: Broadcom's optocouplers against Analog Devices' isolators 1413 | $63.9bn | 24.4% | 39.9% | 42.1% |
| Texas Instruments (TXN, FY2025) | Analog chips such as amplifiers, data converters and power parts, mostly for industrial and car makers 151617 | $17.7bn | -4.1% | 34.1% | 14.7% |
| Microchip (MCHP, FY2026) | Analog chips, plus microcontrollers, a field Analog Devices plans to enter more through its Alif deal 1819 | $4.7bn | -17.6% | 10.4% | 18.5% |
| NXP (NXPI, FY2025) | Car chips; NXP names Analog Devices among its main rivals 201 | $12.3bn | -2.4% | 24.8% | 19.7% |
Analog Devices says many rivals have the money and resources to compete with it 12. These include companies backed by foreign governments that are building their own chip industries 12.
🧭Analog Devices SWOT: strengths, weaknesses, opportunities and threats
💪 Strengths
- Over the last three years combined, Analog Devices turned 33.5% ✓ of sales into free cash flow, an A ✓ on our report card.
- It sells more than 75,000 chip products across many markets 13.
- Its analog chips typically have long product lives, and many are used by hundreds of customers 13.
- Industrial, its biggest market, spans factories, medical scanners, defence and energy 1.
🩹 Weaknesses
- In FY2024, sales growth was -23.4% ✓. The company says its revenue moves with the chip industry cycle 12.
- Borrowings are bigger than cash, with net cash at -$6.8bn ✓ on 1 August 2026.
- Its two largest distributors made up 24% and 13% of fiscal 2025 revenue 3.
- It buys more than half of its wafers from outside foundries such as TSMC 21.
🚀 Opportunities
- Revenue in the quarter to August 2026 grew 40% on a year earlier, with data centres growing fastest in Communications 45.
- In July 2026 it completed a $1.5 billion purchase of Empower Semiconductor, which makes power-delivery chips for AI processors 234.
- A pending deal for Alif Semiconductor would add AI microcontrollers and processors 19.
- Its Communications chips include power and optical parts for data centres 1.
⚠️ Threats
- US export rules limit its sales to some Chinese companies, and tariffs could harm the business 24.
- Well-funded rivals compete, including some backed by foreign governments 12.
- The US tax authority assessed about $267 million against it over transfer pricing; the company disagrees and is preparing an appeal 4.
- In June 2026, someone got into some of its systems without permission and took some files, though the company did not expect a material impact 25.
🏰Does Analog Devices have a moat?
Why 3?
Analog Devices calls itself one of the world's largest suppliers of high-performance analog chips, a business built over six decades 13. It counts brand recognition among its strengths, alongside know-how, new products and support 12. But about 56% of its revenue comes through distributors rather than straight from customers 3.
A moat is what keeps rivals from taking a company's customers and profits. Scores are QuantVantage.ai's judgement (5 = strongest), set with the same rubric on every explainer (orange is Analog Devices; grey dots are peers).
🔭What should you watch next?
Results for the last quarter of FY2026
Analog Devices forecast revenue of $4.3 billion, give or take $100 million, for the quarter 5. Figures on this page run to FY2025 and the four quarters to 1 August 2026.
Tax dispute with the IRS
The IRS assessed about $267 million for fiscal 2018 and 2019, and the company is preparing an appeal 4.
Export rules and tariffs
US export rules already limit sales to some Chinese companies, and tariffs could harm the business 24.
New debt
Analog Devices issued $3.0 billion of new notes on September 17, 2026, maturing between 2029 and 2036 29.
📚Learn the words
❓Frequently asked questions about Analog Devices
What does Analog Devices make?
Analog Devices makes chips, with more than 75,000 products such as data converters, amplifiers, power chips, sensors and signal processors 13. It also makes tiny MEMS sensors that sense movement and rotation 13.
How does Analog Devices make money?
Analog Devices makes money by selling chips to equipment, car and gadget makers. In FY2025, Industrial brought in $4.9bn ✓ and Automotive $3.3bn ✓. Consumer brought in $1.4bn ✓ and Communications $1.4bn ✓.
Is Analog Devices' revenue growing?
Yes, Analog Devices' revenue is growing again after a dip. Sales rose 16.9% ✓ in FY2025 and 33.6% ✓ in the four quarters to August 2026. That came after growth of -23.4% ✓ in FY2024.
Who are Analog Devices' biggest competitors?
Its main rivals are other big chip makers. Texas Instruments sells many of the same analog chips, mostly to the same industrial and car markets 151617. NXP names Analog Devices among its main rivals in car chips 201. Microchip and Broadcom also overlap in parts of its business 1819 1413.
Who is Analog Devices' CEO?
Vincent Roche has been CEO since May 2013 and also became Chair of the Board in March 2022 27. He joined the company in 1988 27.
Where is Analog Devices based, and how many people work there?
Analog Devices is based in Wilmington, Massachusetts, near Boston 13. It had about 24,500 employees on 1 November 2025, about 13,000 of them in engineering 28.
Does Analog Devices pay a dividend?
Yes, Analog Devices pays a dividend every quarter. It paid $1.9bn ✓ in dividends in FY2025. In August 2026, the board declared $1.10 per share for the quarter, up from $0.99 in November 2025 413.
Is Analog Devices in the S&P 500?
Yes, Analog Devices is in the S&P 500, and its shares trade on the Nasdaq under the symbol ADI 13.
🎮Play: higher or lower, then test yourself
Figures come from each company's latest annual report (10-K); fiscal years end in different months. Sources: [6] [8] [7] [11] [9].
🧠 Test yourself
5 quick questions. Score: 0 / 5
1. Which market gave Analog Devices the biggest slice of its sales in FY2025?
2. About how many chip products does Analog Devices sell?
3. What does a MEMS gyroscope from Analog Devices sense?
4. About how long did co-founder Ray Stata chair the board?
5. About how much of Analog Devices' FY2025 revenue came through distributors?
🔎Sources and method
Every figure comes from a source listed here or is calculated from those sources (marked ✓). Company financials are taken from SEC filings (10-K and 10-Q) as tagged in XBRL. Peer grades rank the same measures across the company and its peers. This page contains no share-price data and no valuation.
- Analog Devices 10-K, fiscal 2025 (filed 2025-11-25) — Item 1: end markets and customer applications (accessed 2026-10-29)
- Analog Devices (ADI) Form 10-K for fiscal year 2025, filed 2025-11-25 — revenue and cost of sales by product, segment and geography (accessed 2026-10-28)
- Analog Devices 10-K, fiscal 2025 (filed 2025-11-25) — Item 1A and Note 2: sales to distributors, distributor concentration (accessed 2026-10-29)
- Analog Devices 10-Q, third quarter fiscal 2026 (filed 2026-08-19) — Empower completion, revenue drivers, tax assessment, dividend, buyback authorization (accessed 2026-10-29)
- Analog Devices 8-K, Exhibit 99.1: third quarter fiscal 2026 results (2026-08-19) — Third-quarter fiscal 2026 revenue and fourth-quarter revenue outlook (accessed 2026-10-29)
- SEC EDGAR companyfacts: Analog Devices (ADI) — annual 10-K facts (accessed 2026-10-28)
- SEC EDGAR companyfacts: TEXAS INSTRUMENTS INC (TXN) — annual 10-K facts (accessed 2026-10-28)
- SEC EDGAR companyfacts: Broadcom Inc. (AVGO) — annual 10-K facts (accessed 2026-10-28)
- SEC EDGAR companyfacts: NXP Semiconductors N.V. (NXPI) — annual 10-K facts (accessed 2026-10-28)
- SEC EDGAR companyfacts: Analog Devices (ADI) — balance sheet at 2026-08-01 (accessed 2026-10-28)
- SEC EDGAR companyfacts: MICROCHIP TECHNOLOGY INC (MCHP) — annual 10-K facts (accessed 2026-10-28)
- Analog Devices 10-K, fiscal 2025 (filed 2025-11-25) — Item 1: competition, seasonality, patents (accessed 2026-10-29)
- Analog Devices 10-K, fiscal 2025 (filed 2025-11-25) — Item 1: company overview, history, fiscal year, products, listing (accessed 2026-10-29)
- Broadcom 10-K, fiscal 2025 (filed 2025-12-18) — Industrial end market products (accessed 2026-10-29)
- Texas Instruments Form 10-K for fiscal year 2025 — Item 1 product information and Analog segment (Power, Signal Chain) (accessed 2026-10-29)
- Texas Instruments Form 10-K for fiscal year 2025 — Item 1 markets table, customers, sales and distribution (accessed 2026-10-29)
- Analog Devices Form 10-K for fiscal year 2025 — Item 1 products (data converters, power management, amplifiers) and revenue by end market (accessed 2026-10-29)
- Microchip Technology 10-K, fiscal 2026 (filed 2026-05-21) — Products and net sales by product line (accessed 2026-10-29)
- Analog Devices 8-K, Exhibit 99.1: agreement to acquire Alif Semiconductor (2026-09-09) — Alif deal terms, purpose and expected closing (accessed 2026-10-29)
- NXP Semiconductors 10-K, 2025 (filed 2026-02-19) — Named competitors; 2025 revenue by end market (accessed 2026-10-29)
- Analog Devices 10-K, fiscal 2025 (filed 2025-11-25) — Item 1: manufacturing, wafer fabs and foundries (accessed 2026-10-29)
- Analog Devices 10-K, fiscal 2025 (filed 2025-11-25) — Item 7: research and development spending (accessed 2026-10-29)
- Analog Devices 8-K, Exhibit 99.1: agreement to acquire Empower Semiconductor (2026-05-19) — Empower deal terms and purpose (accessed 2026-10-29)
- Analog Devices 10-K, fiscal 2025 (filed 2025-11-25) — Item 1A: tariffs, export rules and China risks (accessed 2026-10-29)
- Analog Devices 8-K, Item 8.01: cybersecurity incident (filed 2026-07-29) — June 2026 unauthorized access to company systems (accessed 2026-10-29)
- SEC EDGAR companyfacts: Analog Devices (ADI) — quarterly 10-Q/10-K facts (accessed 2026-10-28)
- Analog Devices proxy statement (DEF 14A, filed 2026-01-23) — Director and officer biographies (Vincent Roche, Ray Stata) (accessed 2026-10-29)
- Analog Devices 10-K, fiscal 2025 (filed 2025-11-25) — Item 1: human capital, employee count (accessed 2026-10-29)
- Analog Devices 8-K, Item 1.01: senior notes issued (filed 2026-09-17) — September 2026 senior notes (accessed 2026-10-29)