Analog Devices (ADI, $190.95) entered a monthly bullish trend. Expect an Uptrend continuation
Analog Devices (ADI, $190.95) recently entered a monthly bullish trend, according to A.I.dvisor's predictions. The stock is expected to grow by 4% to $198.59 or more within the next month, with an 84% chance of an uptrend continuation based on historical analysis of similar scenarios.
One key indicator to consider is ADI's Stochastic Oscillator, which recently recovered from the overbought zone on April 06, 2023. This could be a bearish sign for the stock, indicating a potential reversal or pullback. A.I.dvisor analyzed 69 similar instances in the past where the Stochastic Oscillator exited the overbought zone, and found that in 46 of those cases, the stock moved lower, suggesting a 67% probability of a downward move.
Investors should keep a close eye on ADI's Stochastic Oscillator, as it may signal a potential trend reversal or correction in the stock's price. It's important to consider multiple technical indicators and factors when making investment decisions, and to always do thorough research and analysis before taking any action in the stock market.
In terms of earnings results, it's important to note that the article does not provide any specific information about ADI's recent earnings performance. As a technical analyst, my focus is on analyzing price trends and technical indicators, rather than fundamental factors such as earnings. However, it's important for investors to consider a company's overall financial health, including its earnings performance, when making investment decisions. Strong earnings growth and positive financial metrics can often be supportive of a bullish trend in a stock's price, while weak earnings or negative financials may indicate potential risks or challenges. Investors should conduct comprehensive fundamental analysis in addition to technical analysis to make well-informed investment decisions.
ADI saw its Stochastic Oscillator recovers from the overbought zone
The Stochastic Oscillator for ADI moved out of overbought territory on May 24, 2023. This could be a bearish sign for the stock and investors may want to consider selling or taking a defensive position. A.I.dvisor looked at 69 similar instances where the indicator exited the overbought zone. In of the 69 cases the stock moved lower. This puts the odds of a downward move at .
Technical Analysis (Indicators)
Bearish Trend Analysis
The Momentum Indicator moved below the 0 level on May 24, 2023. You may want to consider selling the stock, shorting the stock, or exploring put options on ADI as a result. In of 102 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .
The Moving Average Convergence Divergence Histogram (MACD) for ADI turned negative on May 24, 2023. This could be a sign that the stock is set to turn lower in the coming weeks. Traders may want to sell the stock or buy put options. Tickeron's A.I.dvisor looked at 46 similar instances when the indicator turned negative. In of the 46 cases the stock turned lower in the days that followed. This puts the odds of success at .
ADI moved below its 50-day moving average on May 24, 2023 date and that indicates a change from an upward trend to a downward trend.
Following a 3-day decline, the stock is projected to fall further. Considering past instances where ADI declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
The Aroon Indicator for ADI entered a downward trend on May 08, 2023. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Bullish Trend Analysis
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where ADI advanced for three days, in of 323 cases, the price rose further within the following month. The odds of a continued upward trend are .
ADI may jump back above the lower band and head toward the middle band. Traders may consider buying the stock or exploring call options.
Fundamental Analysis (Ratings)
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 63, placing this stock better than average.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is slightly undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (2.511) is normal, around the industry mean (7.004). P/E Ratio (25.641) is within average values for comparable stocks, (54.222). Projected Growth (PEG Ratio) (1.767) is also within normal values, averaging (2.573). Dividend Yield (0.018) settles around the average of (0.024) among similar stocks. P/S Ratio (7.205) is also within normal values, averaging (11.793).
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. ADI’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating weak sales and an unprofitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
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Industry description
Market Cap
High and low price notable news
Volume
Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
General Information
a manufacturer of integrated circuits used in analog and digital signal process
Industry Semiconductors
ADI and
Correlation & Price change
A.I.dvisor indicates that over the last year, ADI has been closely correlated with MCHP. These tickers have moved in lockstep 89% of the time. This A.I.-generated data suggests there is a high statistical probability that if ADI jumps, then MCHP could also see price increases.
| Ticker / NAME | Correlation To ADI | 1D Price Change % | ||
|---|---|---|---|---|
| ADI | 100% | +1.35% | ||
| MCHP - ADI | 89% Closely correlated | +4.50% | ||
| NXPI - ADI | 85% Closely correlated | +2.85% | ||
| TXN - ADI | 84% Closely correlated | +0.96% | ||
| LSCC - ADI | 82% Closely correlated | +0.31% | ||
| DIOD - ADI | 82% Closely correlated | +3.83% | ||
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