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Analog Devices Achieves Record High Following Strong Fiscal Q1 Results

Company Performance Surpasses Expectations

Shares of Analog Devices (ADI) reached a historic peak on Wednesday, propelled by impressive fiscal first-quarter earnings that exceeded market forecasts. The semiconductor manufacturer reported revenue of $2.42 billion for the quarter, representing a 4% decline compared to the previous year, yet it outperformed analysts’ projections established by Visible Alpha. Additionally, the company announced an adjusted earnings per share (EPS) of $1.63, which also surpassed expectations.

Growth Projections in 2025

Chief Financial Officer Richard Puccio expressed optimism for the upcoming fiscal year, predicting a return to growth in fiscal 2025 primarily due to an increase in bookings and robust performance in the industrial and automotive sectors. The company anticipates Q2 revenue to fall between $2.4 billion and $2.6 billion, again exceeding consensus estimates at the midpoint of this range.

Increased Share Repurchase Authorization

In a notable development for investors, Analog Devices has authorized an additional $10 billion for its share repurchase program, raising the total authorization to $11.5 billion. Furthermore, the company has increased its quarterly dividend by 8%, bringing it to 99 cents per share, a move likely to be welcomed by shareholders.

Market Reactions and Stock Performance

Following the announcement, Analog Devices’ stock surged over 9% to reach $241.17 during Wednesday’s trading session, positioning it to close at a record high. The stock achieved an intraday peak of $242.51, reflecting a substantial gain of approximately 25% over the last twelve months.

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